M.E.S., Inc. v. Snell

712 F.3d 666, 2013 WL 1110703, 2013 U.S. App. LEXIS 5415
CourtCourt of Appeals for the Second Circuit
DecidedMarch 19, 2013
DocketDocket 12-1657-cv
StatusPublished
Cited by66 cases

This text of 712 F.3d 666 (M.E.S., Inc. v. Snell) is published on Counsel Stack Legal Research, covering Court of Appeals for the Second Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
M.E.S., Inc. v. Snell, 712 F.3d 666, 2013 WL 1110703, 2013 U.S. App. LEXIS 5415 (2d Cir. 2013).

Opinion

REENA RAGGI, Circuit Judge:

Plaintiff M.E.S., Inc. (“MES”), claims that the U.S. Army Corps of Engineers (“Corps”) unfairly terminated three of its construction/renovation contracts. After its administrative challenges to these terminations were dismissed without prejudice — to allow MES and its insurer to determine which of them would manage those proceedings — MES and its President, George Makhoul, filed this action in the United States District Court for the Southern District of New York (Laura Taylor Swain, Judge). Invoking Bivens v. Six Unknown Named Agents of Federal Bureau of Narcotics, 403 U.S. 388, 91 S.Ct. 1999, 29 L.Ed.2d 619 (1971), MES and Makhoul sued named Corps personnel in their individual capacities, alleging that their contracts were terminated in retaliation for criticism by MES of the Corps’ mismanagement of construction projects, that these terminations negatively impacted MES’s business, and that, as a result, they were deprived of their constitutionally protected rights to free speech and substantive due process. MES and Makhoul now appeal from a judgment entered on March 27, 2012, dismissing their complaint. See M.E.S., Inc. v. Snell, 10 Civ. 9513(LTS), 2012 WL 1003570 (S.D.N.Y. Mar. 26, 2012). They contend that the district court erred as a matter of law in ruling that their Bivens action was precluded by the Contract Disputes Act of 1978 (“CDA”), see 41 U.S.C. § 7101 et seq.

As a preliminary matter, we lack jurisdiction to review this claim as advanced by Makhoul because the text and caption of the original timely notice of appeal, dated April 24, 2012, failed to identify him as a party appealing from the judgment. See generally Fed. R.App. P. 3(c)(1)(A) (stating that notice of appeal must “specify the party or parties taking the appeal by naming each one in the caption or body of the notice”). “The requirement that a party seeking to appeal be specified in the notice of appeal is jurisdictional.” Gusler v. City of Long Beach, 700 F.3d 646, 648 (2d Cir.2012) (dismissing appeal by party identified in caption but not named in body of notice of appeal); see Torres v. Oakland Scavenger Co., 487 U.S. 312, 314, 108 S.Ct. 2405, 101 L.Ed.2d 285 (1988) (holding that failure to name party in notice of appeal is “more than excusable ‘informality’; it constitutes a failure of that party to appeal”). An amended notice naming Makhoul as an appellant was not filed until June 14, 2012, beyond the 60-day limit prescribed by Fed. R.App. P. 4(a)(1)(B). That time limit is also jurisdictional in civil cases, see Napoli v. Town of New Windsor, 600 F.3d 168, 170 (2d Cir.2010) (citing Bowles v. Russell, 551 U.S. 205, 214, 127 S.Ct. 2360, 168 L.Ed.2d 96 (2007)), and Makhoul’s failure to abide by it or to seek an extension renders his belated filing inoperative, see Gusler v. City of Long Beach, 700 F.3d at 650. Accordingly, we hereby dismiss Makhoul’s appeal and hereafter address only MES’s challenge to the judgment of dismissal.

Although this court has not previously considered the preclusive effect of the CDA on Bivens claims, two of our sister circuits have done so and concluded that the statute’s complex procedural and substantive framework is comprehensive, precluding Bivens claims by aggrieved government contractors that relate to or derive from contract disputes. See Evers v. Astrue, 536 F.3d 651, 657 (7th Cir.2008); Janicki Logging Co. v. Mateer, 42 *669 F.3d 561, 564-65 (9th Cir.1994). District courts appear uniformly to have reached the same conclusion in published and unpublished decisions. See Aryai v. Forfeiture Support Assocs., LLC, No. 10 Civ. 8952(LAP), 2012 U.S. Dist. LEXIS 125227, at *55 (S.D.N.Y. Aug. 27, 2012); Kesler Enters., Inc. v. U.S. Dep’t of Agric., No. 4:10-CV-169-BLW, 2010 WL 4641360, at *5-6 (D.Idaho Nov. 4, 2010); Research Air, Inc. v. Norton, No. 05-623(RMC), 2006 WL 508341, at *8 n. 8 (D.D.C. Mar. 1, 2006); Teel v. DiLeonardi, No. 98 C 2568, 1999 WL 133997, at *3 (N.D.Ill. Mar. 5, 1999); Information Sys. & Networks Corp. v. U.S. Dep’t of HHS, 970 F.Supp. 1, 10 (D.D.C.1997); Advanced Materials, Inc. v. Burgess, No. 94-2808, 1995 WL 25891, at *2 (E.D.La. Jan. 23, 1995), aff'd, 95 F.3d 47 (5th Cir.1996) (unpublished table decision). We agree with these courts’ analysis of the CDA, as well as with the district court’s application of that reasoning to MES’s Bivens claims in this case. Accordingly, we affirm the challenged judgment of dismissal.

I. Background

A. Termination of MES’s Contracts

MES is a New York corporation that specializes in building complex structures such as laboratories, weapons testing facilities, and warehouses for munitions and explosives. Since 1992, it has performed construction work for the United States Department of Defense, specifically for the Army Corps of Engineers. Between September 19, 2003, and September 29, 2006, the Corps awarded MES three contracts for work to be performed at the Picatinny Arsenal in Dover, New Jersey (“Arsenal contracts”).

The first contract, awarded to MES as part of a joint venture, related to the construction of a High Energy Propellant Formulation Facility, requiring the design and erection of thirteen new buildings and the renovation of three existing structures at a price of $16,549,000. The second contract, concerning the construction of an Explosive Research and Development Loading Facility, required MES to design and erect three new buildings and to renovate one existing building for a sum of $7,262,975. The third contract, relating to development of a Pyrotechnics Research and Technology Facility, called on MES to construct a pyrotechnics research center and flare tunnel for $10,628,832. Each of these contracts incorporated the “Disputes” provision of the Federal Acquisition Regulations, which subjected the agreements “to the Contract Disputes Act of 1978, as amended.” 48 C.F.R. § 52.233-1(a).

It is undisputed that none of the Arsenal contracts was performed according to its specifications. Thus, between March and December 2008, the Corps provided MES with written notice that, as a result of significant and unacceptable delays, it was terminating each of the contracts for default.

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712 F.3d 666, 2013 WL 1110703, 2013 U.S. App. LEXIS 5415, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mes-inc-v-snell-ca2-2013.