Keene Corp. v. United States

12 Cl. Ct. 197, 1987 U.S. Claims LEXIS 58
CourtUnited States Court of Claims
DecidedApril 6, 1987
DocketNos. 579-79C, 585-81C, 465-83C, 688-83C & 1-84C, 170-83C, 287-83C, 16-84C, 514-84C and 515-85C
StatusPublished
Cited by22 cases

This text of 12 Cl. Ct. 197 (Keene Corp. v. United States) is published on Counsel Stack Legal Research, covering United States Court of Claims primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Keene Corp. v. United States, 12 Cl. Ct. 197, 1987 U.S. Claims LEXIS 58 (cc 1987).

Opinion

ORDER

NETTESHEIM, Judge.

Defendant has moved to dismiss all the captioned actions other than UNR Industries, Inc., et al., No. 16-84C, for lack of jurisdiction based on 28 U.S.C. § 1500 (1982). An order entered on February 13, 1987, limited the initial ruling on defendant’s motion to the three cases pending as Johns-Manville Corp. et al., Nos. 465-83C, 688-83C & 1-84C, because trial in No. 465-83C was scheduled to begin on April 20, 1987. Argument has been heard.1

[199]*199The genesis of defendant’s motion was an order entered sua sponte on January 20, 1987, directing defendant to state its position on the applicability of 28 U.S.C. § 1500 concerning litigation brought by plaintiffs Johns-Manville Corporation and Johns-Manville Sales Corporation (collectively referred to as “Johns-Manville”). It is regrettable that this court raised the matter at such a late date. The earliest of the Johns-Manville cases was filed in 1983, and this court received them on transfer in July 1986. After defendant on January 15, 1987, described pending litigation in the United States District Court for the Northern District of California (which had been pending since 1981), this court, impressed with the similarity of the claims, entered its January 20, 1987 order.

For its part defendant’s failure to file its motion earlier is outrageous. On August 1, 1980, defendant moved for summary judgment in Keene Corp., Nos. 579-79C & 585-81C, based inter alia, on 28 U.S.C. § 1500. According to one of defendant’s counsel, the argument was abandoned for “tactical reasons” in defendant’s reply brief. Declaration of Paul Honigsberg, Feb. 26,1987, ¶ 3. Defendant also referred to 28 U.S.C. § 1500 in 1983 in connection with a motion to dismiss in the nature of a motion for a more definite statement filed with respect to Eagle-Picher Industries, Inc., No. 170-83C. The Government had elected not to pursue a section 1500 motion at that time, ostensibly because the pleadings were too indefinite. Declaration of Robert M. Hollis, Feb. 27, 1987, Ml 3, 5. Significantly, defendant does not take the position that it was unaware that grounds existed to support a motion based on 28 U.S.C. § 1500 in the Eagle-Picher case; nonetheless, six weeks before the scheduled trial in the lead case, defendant demands dismissal of Johns-Manville’s cases in this court unless Johns-Manville dismisses all of its direct and third-party litigation against the United States in federal district court.

As a court of limited jurisdiction, the United States Claims Court must be acute to statutes that deprive it of jurisdiction, such as 28 U.S.C. § 1500, which precludes the exercise of jurisdiction with respect to claims against the United States that are also pending in other courts. Even though section 1500 may be harsh, see Corona Coal Co. v. United States, 263 U.S. 537, 540, 44 S.Ct. 156, 156, 68 L.Ed. 431 (1924), the timing of the motion urging that the court refrain from exercising its jurisdiction was a matter within defendant’s control. A jurisdictional motion can be made at any time, but it is unclear whether defendant would have waited until the case was presented to the United States Supreme Court to point out that the trial court lacked jurisdiction to proceed.

BACKGROUND

The potentially affected parties in the asbestos cases pending in this court are displeased that the court sua sponte raised 28 U.S.C. § 1500 after they had engaged in extensive and costly pretrial proceedings since 1983. The record discloses, however, that no court has ruled, sub silento or expressly, on the subject. In these circumstances prudence dictates resolving all jurisdictional issues before trial.

In order to understand the labyrinthine procedural history of this issue, some terms shall be defined. “Later-filed suits” refer to actions filed elsewhere after suit was filed in the United States Court of Claims or United States Claims Court. “Earlier-filed suits” refer to actions filed in [200]*200other courts before a case was commenced in the Court of Claims or Claims Court.

With respect to suits filed after actions were begun in the Court of Claims or Claims Court, defendant argued in its August 1, 1980 moving brief in Keene Corp., No. 579-79C, that 28 U.S.C. § 1500 barred the prosecution in the Claims Court of suit on the same claim later filed in district court. After defendant abandoned this argument on reply, the Court of Claims issued an unpublished order that did not discuss the issue. Keene Corp. v. United States, No. 579-79C (Ct.Cl. May 1, 1981) (per curiam) (order denying motion for summary judgment and granting leave to file first amended petition). This court ruled recently in Johns-Manville Corp. v. United States, No. 465-83C, slip op. at 17-19 & n. 2 (Cl.Ct. Mar. 6, 1987) (order granting and denying motion for judgment on the pleadings), that the May 1, 1981 order should be accorded law of the case effect as to its ruling that several breach of contract claims were cognizable by the Court of Claims, but declined to adhere to the doctrine insofar as the May 1, 1981 order allowed a claim for breach of a warranty of safe use. However, law of the case does not enter the picture when the judicial utterance is silent. See Argus Chemical Corp. v. Fibre Glass-Evercoat Co., 812 F.2d 1381 (Fed.Cir.1987) (additional views of Nies, J.) (trial court correctly perceived that Federal Circuit’s silence on issue was not law of the case); cf. International Elec. Corp. v. United States, 2 Cl.Ct. 570, 573, aff'd mem., 727 F.2d 1120 (Fed.Cir.1983) (published opinion of Court of Claims appellate division considered law of the case by successor Claims Court when prior court expressly considered issue and said that it was unnecessary to reach it; Court of Claims also had denied motion for reconsideration on same ground); Department of Natural Resources & Conservation v. United States, 1 Cl.Ct. 727, 731 n. 2 (1983) (decision on jurisdictional argument considered and rejected in published order of Court of Claims law of the case in same case before successor Claims Court).

Moreover, the Court of Claims knew how to reject a section 1500 argument when defendant abandoned it on reply. In Camero v. United States, 170 Ct.Cl. 490, 493, 345 F.2d 798, 800 (1965), the Court of Claims said:

In the case at bar, defendant had included as one ground for its motion for summary judgment the assertion that, by virtue of 28 U.S.C.

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12 Cl. Ct. 197, 1987 U.S. Claims LEXIS 58, Counsel Stack Legal Research, https://law.counselstack.com/opinion/keene-corp-v-united-states-cc-1987.