Napier v. Thirty or More Unidentified Federal Agents, Employees or Officers

855 F.2d 1080
Court of Appeals for the Third Circuit·Decided August 31, 1988·No. Nos. 87-5394, 87-5511·Published·Cited by 26 cases

Opinion

OPINION OF THE COURT

BECKER, Circuit Judge.

This opinion addresses appeals from a substantial award of sanctions imposed [1083]*1083against plaintiffs counsel under Rule 11 of the Federal Rules of Civil Procedure. George Napier, the plaintiff and appellant, is a black man who was assigned to a segregated unit while serving in the U.S. Army during World War II. Napier’s suit contends that he suffered constitutional deprivations and lasting physical and psychological injuries from the experience. This case is, however, the third lawsuit that Napier has brought seeking redress for these events, which occurred over 40 years ago. Both of the previous suits were determined adversely to Napier on the merits. The district court dismissed Napier’s complaint on res judicata, statute of limitations and other grounds. The district court also imposed sanctions against Napier’s lawyer, Samuel E. Bass, on the ground that he had filed a frivolous lawsuit.

Addressing the merits of Napier’s appeal, we conclude that the district court correctly dismissed Napier’s complaint. We are faced, however, with three other questions which arise out of Bass’ appeal of the sanction. First, we must determine whether the district court’s order determining sanctions liability (entered coincident with final judgment on the merits) was appealable before the district court determined the amount of the sanctions. Consonant with our precedent, In re Jeannette Corp., 832 F.2d 43 (3d Cir.1987), we conclude that it was not, and, more importantly, that Jeannette is unaffected by the recent Supreme Court decision in Budinich v. Becton Dickinson & Co., — U.S. -, 108 S.Ct. 1717, 100 L.Ed.2d 178 (1988). We therefore have jurisdiction over Bass’ appeal, which was filed within sixty days of the determination of the sanctions amount but not within sixty days of the entry of the order fixing liability for sanctions.

Second, we must determine whether, when the United States is the beneficiary of a Rule 11 sanctions award for defending a frivolous lawsuit, the time of the Assistant U.S. Attorney on the case is valued at a market rate, or at some other rate, such as the $75 per hour rate established by the Equal Access to Justice Act (EAJA), 28 U.S.C. § 2412(d) (1982), or the government’s actual costs. We conclude that the $100 per hour awarded on this case for the services of the Assistant U.S. Attorney was an appropriate exercise of discretion, as was the total amount awarded the government ($4,260).

Third, we must determine the propriety of the district court’s award of $17,163 to the defendant American Legion for the work of its several counsel in defending the lawsuit in view of the fact that there was not only duplication of effort with counsel for the government but also that three attorneys for the Legion expended over 117 hours to defend this patently frivolous lawsuit. We conclude that defendants had a duty to mitigate,' and that the district court’s determination of a reasonable fee need not include full compensation for all expenses incurred. Because the district court did not assess the reasonableness of the fee in light of these principles, we conclude that it abused its discretion in making this large award, and we will remand for further proceedings on that aspect of the case.

I. PROCEDURAL HISTORY

On August 25, 1986, Napier filed a complaint, signed by his attorney, Bass, naming as defendants “Thirty or More Unidentified Federal Agents, Employees or Officers,” the Veterans’ Administration (VA), “Ten or More Unidentified Veterans’ Administration Agents, Servants or Employees,” the American Legion, the Disabled American Veterans, the American Red Cross, and three fictitious defendants. After noting that Napier had served in a segregated unit of the Army between October 31, 1942 and June 20, 1944, the complaint alleged, inter alia, that Napier suffered physical and psychic injuries and various constitutional deprivations as a result of his service, and that the defendant veterans’ support organizations had perpetuated the harms by failing to advise him of his rights and remedies and by failing to provide fair proceedings to redress his grievances. Because the district court dismissed plaintiffs complaint on the pleadings, we will treat the complaint’s allega[1084]*1084tions as true. See Labov v. Lalley, 809 F.2d 220, 221-22 (3d Cir.1987).

The complaint sought damages and costs against the defendants and an order requiring the Veterans’ Administration to reopen Napier’s request for disability benefits. Several motions quickly followed: the government moved for dismissal on res ju-dicata grounds; the Legion moved for dismissal for defective service of process; both the government defendants and Legion moved for summary judgment on statute of limitations grounds; and both moved for attorney sanctions under Fed.R.Civ.P. 11. Finally, Napier moved for an enlargement of time within which to serve the Legion.

The district court, by order entered May 20, 1987, granted the defendants’ motions. The district court’s decision was based on a number of discrete grounds. First, the court held that Napier’s action was barred by res judicata in view of the fact that Napier had filed two earlier actions which had been decided adversely to him on the merits: (1) an action filed in 1960 seeking recovery for disability arising from his World War II military service and subsequent treatment, which was dismissed for lack of jurisdiction and on statute of limitations grounds, see Napier v. Veterans’ Administration, 187 F.Supp. 723 (D.N.J.1960), aff'd per curiam, 298 F.2d 445 (3d Cir.), cert. denied, 371 U.S. 186, 83 S.Ct. 266, 9 L.Ed.2d 228 (1962); and (2) an action filed in 1976 alleging that he “suffered deprivation of his constitutional rights ... as a result of the circumstances to which he was subjected during his period of active duty with the United States Army,” App. at 98, which was dismissed for want of prosecution in 1977.1

Second, the district court dismissed the complaint against the American Legion for improper service, Fed.R.Civ.P. 4(d). The complaint was served on Raymond L. Za-wacki, an employee of the Department of New Jersey of the American Legion, but the Department is a legal entity separate from the named defendant, the national organization, and neither Zawacki nor anyone in his office is the designated agent of the American Legion. Third, because 38 U.S.C. § 211(a) divests federal courts of the power to review determinations involving the Veterans’ Administration, the district court determined that it lacked jurisdiction to review Napier’s claims against the Veterans’ Administration.

Fourth, the district court granted the motion to dismiss on grounds of statute of limitations.

Free access — add to your briefcase to read the full text and ask questions with AI

Napier v. Thirty or More Unidentified Federal Agents, Employees or Officers, 855 F.2d 1080 (3d Cir. 1988).

855 F.2d 1080 (Napier v. Thirty or More Unidentified Federal Agents, Employees or Officers) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

Shammas v. Focarino
990 F. Supp. 2d 587 (E.D. Virginia, 2014)
Moultrie v. Wall
143 So. 3d 128 (Supreme Court of Alabama, 2013)
Grider v. Keystone Health Plan Central, Inc.
580 F.3d 119 (Third Circuit, 2009)
Del Sontro v. Cendant Corp., Inc.
223 F. Supp. 2d 563 (D. New Jersey, 2002)
Chatterjee v. School District of Philadelphia
170 F. Supp. 2d 509 (E.D. Pennsylvania, 2001)
Brunner v. Alliedsignal, Inc.
198 F.R.D. 612 (D. New Jersey, 2001)
Slater v. Skyhawk Transportation, Inc.
187 F.R.D. 185 (D. New Jersey, 1999)
Baker v. Alderman
158 F.3d 516 (Eleventh Circuit, 1998)
Liebersohn v. Ali (In Re Fineberg)
202 B.R. 206 (E.D. Pennsylvania, 1996)
Martin v. Brown
63 F.3d 1252 (Third Circuit, 1995)