James Rieves v. Smyrna, Tenn.

67 F.4th 856
CourtCourt of Appeals for the Sixth Circuit
DecidedMay 16, 2023
Docket23-5106
StatusPublished
Cited by20 cases

This text of 67 F.4th 856 (James Rieves v. Smyrna, Tenn.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Sixth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
James Rieves v. Smyrna, Tenn., 67 F.4th 856 (6th Cir. 2023).

Opinion

RECOMMENDED FOR PUBLICATION Pursuant to Sixth Circuit I.O.P. 32.1(b) File Name: 23a0100p.06

UNITED STATES COURT OF APPEALS FOR THE SIXTH CIRCUIT

┐ JAMES SWAIN RIEVES, │ Plaintiff-Appellant, │ │ v. > No. 23-5106 │ │ TOWN OF SMYRNA, TENNESSEE, et al., │ Defendants, │ │ │ RUTHERFORD COUNTY, TENNESSEE; MIKE FITZHUGH, │ in his official and individual capacities, │ Defendants-Appellees. │ ┘

Appeal from the United States District Court for the Middle District of Tennessee at Nashville. No. 3:18-cv-00965—Aleta Arthur Trauger, District Judge.

Decided and Filed: May 16, 2023

Before: GIBBONS, KETHLEDGE, and BUSH, Circuit Judges.

_________________

COUNSEL

ON BRIEF: Wesley Ben Clark, Frank Ross Brazil, BRAZIL CLARK PLLC, Nashville, Tennessee, for Appellant. Nick C. Christiansen, Daniel W. Ames, D. Randall Mantooth, Murfreesboro, Tennessee, for Appellees. _________________

OPINION _________________

JULIA SMITH GIBBONS, Circuit Judge. Local law enforcement officials in Rutherford County, Tennessee raided twenty-three stores selling cannabidiol (“CBD”) products because No. 23-5106 Rieves v. Town of Smyrna, Tenn. Page 2

they falsely believed that such products were illegal under state drug laws. The charges were dropped, as the products were legal under both state and federal law. The shop owners then sued the responsible law enforcement agencies, asserting violations of their constitutional rights and conspiracy to violate those rights. All but one of the shop owners ultimately settled. The sole remaining plaintiff, James Rieves, sought to progress to trial on his claims against the City of Smyrna and its police chief as well as Rutherford County and its sheriff. However, the district court granted summary judgment to the County and sheriff and certified the decision for interlocutory appeal.

We granted interlocutory appeal to clarify the scope of our civil conspiracy doctrine. Because the plaintiff presented evidence to support a claim of § 1983 civil conspiracy, we reverse the district court’s judgment and remand for further proceedings.

I.

This case concerns “Operation Candy Crush,” a joint operation by the Rutherford County District Attorney’s (“DA’s”) office, the Rutherford County Sheriff’s Office (“RCSO”), and the Smyrna Police Department (“SPD”).1 It began in February 2017, when an RCSO officer opened an investigation into cannabidiol (“CBD”) products being advertised on Facebook by a local store. An undercover officer purchased a selection of CBD products from the store and submitted the products to the Tennessee Bureau of Investigation (“TBI”) for lab testing. The resulting TBI laboratory report noted that the products contained CBD and categorized CBD as a Schedule VI drug. Several RCSO detectives met with Assistant DA John Zimmerman to “seek prosecutorial direction” because the detectives could not find a legal source to indicate that CBD was in fact a Schedule VI drug. DE 122-3, RCSO Summary, Page ID 1284. Over the coming months, RCSO detectives were repeatedly assured by members of the DA’s office that CBD was illegal.

Independently of the RCSO investigation, SPD learned of shops selling CBD products and began investigating. One of these shops was Platinum Vapor, LLC, d/b/a Cloud 9 Hemp

1Because this appeal is taken from the district court’s order granting the defendants’ motion for summary judgment, we draw all facts and inferences in the light most favorable to the plaintiff. Matsushita Elec. Indus. Co. v. Zenith Radio Corp., 475 U.S. 574, 600-01 (1986) (White, J., dissenting). No. 23-5106 Rieves v. Town of Smyrna, Tenn. Page 3

(“Cloud 9”), which SPD Sergeant Eric Elstran began investigating in August 2017. On September 15, 2017, SPD became aware that RCSO was conducting its own investigation into CBD products in the area and Elstran contacted RCSO for more information. RCSO also asked SPD if it would assist in future raids of businesses being investigated. On September 26, 2017, Elstran executed a search warrant at Cloud 9 and seized products labelled as CBD. In response, James Swain Rieves, the owner of Cloud 9, emailed Elstran and detailed exactly how all of the store’s CBD products were legal. No criminal charges were brought against Rieves at that time.

In the following months, Operation Candy Crush continued to move forward, despite concerns from RCSO officials that the CBD products might be legal. On January 11, 2018, two assistant DAs, RCSO Detective Curtis Beane, Elstran, and members of TBI met at the TBI headquarters in Nashville. At the meeting, TBI agents informed the other agencies that their tests could not conclude whether the products contained illegal substances and that “under no circumstances” would TBI agree to testify that the CBD products were illegal or qualified as Schedule VI drugs. DE 122-14, TBI Report, Page ID 1393. Members of the RCSO, particularly Major Bill Sharp, continued to express reservations about moving forward with the operation. Sharp briefed RCSO Sheriff Mike Fitzhugh about the case on January 22, 2018, and met with five other RCSO members on January 30, 2018, where consensus was that “no one [was] comfortable moving ahead at [that] time.” DE 122-13, Sharp Report, Page ID 1389. Sharp explicitly shared those concerns with Fitzhugh. Sharp further attempted to stop the search warrants associated with Operation Candy Crush.

Rather than pausing and fully addressing these concerns, members of the DA’s office escalated the case directly to Fitzhugh, the head of RCSO. According to one RCSO officer, “Sheriff Fitzhugh ignored [the officers’] concerns and decided to move forward anyway.” DE 142-2, Mathis Decl., Page ID 1815. Fitzhugh then directed Sharp and other detectives to attend another meeting with the DA’s office. That meeting, on February 2, 2018, was “contentious” as the RCSO detectives continued to express concerns. In the meeting, Sharp raised concerns about “civil action” by the store owners, to which Zimmerman responded: “We will put off the court dates, attorneys will get tired of coming to court and settle.” DE 122-13, Sharp Report, Page ID 1389. No. 23-5106 Rieves v. Town of Smyrna, Tenn. Page 4

Once again, despite the concerns raised, the operation moved forward and a simultaneous raid of twenty-three stores selling CBD products in Rutherford County was set for February 12, 2018. Although it had previously been searched by SPD, Cloud 9 was included on the list of stores to be raided. RCSO hosted a meeting about procedures for the raids, protocols for collection of evidence, and assignment of teams. RCSO was assigned to twenty-one locations. SPD was assigned to Cloud 9 and one other location.

On February 12 at 11:50 a.m., the operation took place as planned. Law enforcement officials from RCSO, SPD, and other agencies simultaneously executed raids on twenty-three stores selling CBD products in Rutherford County, including Cloud 9. The stores were padlocked, their inventory was seized, and the owners were arrested and charged with violating the Tennessee Drug Control Act and creating a public nuisance.

That same day, the DA’s office organized a press conference led by Fitzhugh. Fitzhugh explained Operation Candy Crush to reporters and stated that the seized products contained an illegal marijuana derivative that was dangerous to children. Fitzhugh then stated that the products were created by taking real candy products, spraying them with “this illegal substance” and then repackaging them. DE 122-20, Press Conference Tr., Page ID 1445. He finally claimed that “some of the synthetic products” had caused two deaths in the United States. Id. at Page ID 1447.

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