New Orleans Steamship Ass'n v. Plaquemines Port, Harbor & Terminal District

690 F. Supp. 1515, 1988 WL 68697
CourtDistrict Court, E.D. Louisiana
DecidedJune 15, 1988
DocketCiv. A. 87-2548
StatusPublished
Cited by1 cases

This text of 690 F. Supp. 1515 (New Orleans Steamship Ass'n v. Plaquemines Port, Harbor & Terminal District) is published on Counsel Stack Legal Research, covering District Court, E.D. Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
New Orleans Steamship Ass'n v. Plaquemines Port, Harbor & Terminal District, 690 F. Supp. 1515, 1988 WL 68697 (E.D. La. 1988).

Opinion

SEAR, District Judge.

This action by the New Orleans Steamship Association (NOSA), a non-profit organization of owners, stevedores, and vessel agents, challenges the port and harbor dues imposed by the Plaquemines Port, Harbor and Terminal District (the Port) on the grounds that they violate the Harbor Development and Navigation Improvement Act of 1986, 33 U.S.C.A. secs. 2231-2241; the statute admitting Louisiana into the Union, 33 U.S.C.A. sec. 10; the U.S. Constitution, Art. I, sec. 10, cl. 2 (prohibiting imposts or duties on imports or exports); the U.S. Constitution, Art. I, sec. 10, cl. 3 (prohibiting duty of tonnage); and the U.S. Constitution, Art. I, sec. 8 (commerce clause).

The plaintiff seeks injunctive and declaratory relief.

The constitutionality of the Port’s tariffs was first challenged in 1978 but not determined. 1 Instead, in 1980 the case was stayed to allow the Federal Maritime Commission to determine a complaint filed by Louis Dreyfus Corporation challenging the same tariff, pursuant to 46 U.S.C.A. App. sec. 821. 2 The Federal Maritime Commis *1517 sion (the FMC) has jurisdiction to regulate the imposition of rates or charges by persons “carrying on the business of forwarding or furnishing wharfage, dock, warehouse, or other terminal facilities in connection with a common carrier by water in interstate commerce.” 46 U.S.C.A. App. secs. 801 and 816 (West Supp.1988). 3

The Commission found the tariff to be in violation of the Shipping Act of 1916, 46 U.S.C.A. App. secs. 801-842. 4 The Port appealed the FMC’s order to the Court of Appeals for the District of Columbia Circuit, but the parties settled the matter before a decision was rendered. Under the terms of the settlement, the Port refunded 80% of the fees assessed and held hearings on the redrafting of the contested tariff provisions.

The Port published a new tariff in 1982. NOSA challenged this tariff before the FMC. 5 NOSA contended that the tariff violated the Shipping Acts of 1916 and 1984, 46 U.S.C.A. App. secs. 801 et seq. and 46 U.S.C.A. App. secs. 1701 et seq. respectively, because it gave preferential treatment to non-oceangoing vessels. NOSA also challenged the tariff as violative of the tonnage clause of the U.S. Constitution. The FMC ruled that the imposition of the tariff was consistent with the 1916 and 1984 Shipping Acts, but that the allocation of fees among users was discriminatory. The FMC declined to reach the tonnage clause issue. NOSA then filed an action in the Eastern District of Louisiana to enforce the FMC’s ruling and to enjoin the Port from collecting any more fees under the 1982 tariff. 6 Concurrently, the Port appealed the FMC’s order to the Court of Appeals for the District of Columbia Circuit.

In October 1986 the Port filed a revised tariff eliminating the provisions found discriminatory by the FMC. The FMC shortly thereafter formally approved the tariff. Since the revised tariff complied with the FMC’s order, the Port moved to dismiss the action filed by NOSA in the district court to enforce the FMC’s ruling. The district court found that the filing and approval of the October 1986 tariff rendered NOSA’s claim for injunctive relief moot. 7 NOSA appealed on the grounds that viable issues remained in the action. The Fifth Circuit agreed that if the Port sought to collect tariffs assessed during the time between the FMC’s September 16, 1986 order and the adoption of the new tariff on October 15, 1986, NOSA would be entitled to injunctive relief. New Orleans S.S. Ass’n v. Plaquemines Port Harbor, 816 F.2d 1074, 1077 (5th Cir.1987). However, the court affirmed the district court’s dismissal of NOSA’s action finding that:

No current, justiciable violation of a Commission order is alleged. Although assessments may have been made during the lapse period, there is nothing in the record before us to suggest that the District is presently undertaking, or is likely to undertake steps to collect any illegally assessed charges. Such conduct must be established before injunctive relief may *1518 be considered. We agree with the district court that the heavy hand of injunctive relief would not be “proper” in this case.

Id. at 1078.

Subsequently, NOS A filed this action for declaratory and injunctive relief challenging the constitutionality of the revised tariff. NOS A urged new grounds for relief in this suit, that the tariff violated the Harbor Development & Navigation Improvement Act of 1986 and the statute admitting Louisiana into the Union, 33 U.S.C. sec. 10, and raised constitutional challenges based on the commerce, tonnage and import/export clauses of the U.S. Constitution.

The plaintiff and defendant agreed that the merits of the action could be disposed of on the record before the Court in summary motions. The plaintiff moved for summary judgment and the defendant moved to dismiss.

Concurrently, however, the parties raised the lawfulness of the previous tariff under the Harbor Development and Navigation Improvement Act, the statute admitting Louisiana into the Union, the commerce clause and tonnage clause, in the appeal of the FMC September 16, 1986 order before the Court of Appeals for the District of Columbia Circuit. The District of Columbia Circuit affirmed the FMC’s order in all respects. See Plaquemines Port, Harbor and Terminal District v. Federal Maritime Commission and United States of America, 838 F.2d 536 (D.C.Cir.1988). The court reached the tonnage clause issue and determined that the tariff did not violate that clause of the Constitution. However, the court declined to decide the lawfulness of the tariff under the Harbor Development and Navigation Improvement Act, the commerce clause, the import/export clause and the statute admitting Louisiana to the Union, 33 U.S.C. sec. 10, because they were improperly raised in NOSA’s supplemental brief. Id. at 27. The court also stated that it could not decide the constitutional claims even if it wanted to, since it had no factual record before it. The court suggested that those claims were better brought in this forum. Accordingly, NOS A has filed for leave to amend the complaint challenging the constitutionality of the previous tariff under the commerce clause, the import/export clause, the statute admitting Louisiana into the union, 33 U.S.C. sec. 10, and the Harbor Development and Navigation Act. The Port opposed the motion.

At issue in the motions presently before the Court is whether:

1. the new tariff violates the tonnage clause;
2. the new tariff violates the commerce clause;
3.

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690 F. Supp. 1515, 1988 WL 68697, Counsel Stack Legal Research, https://law.counselstack.com/opinion/new-orleans-steamship-assn-v-plaquemines-port-harbor-terminal-district-laed-1988.