New York, C. & St. L. R. Co. v. Vardaman

181 F.2d 769
CourtCourt of Appeals for the Eighth Circuit
DecidedMay 29, 1950
Docket14064
StatusPublished
Cited by48 cases

This text of 181 F.2d 769 (New York, C. & St. L. R. Co. v. Vardaman) is published on Counsel Stack Legal Research, covering Court of Appeals for the Eighth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
New York, C. & St. L. R. Co. v. Vardaman, 181 F.2d 769 (8th Cir. 1950).

Opinion

STONE, Circuit Judge.

This is an action brought under the Federal Employers’ Liability .Act, 45 U.S. C.A. §§ 51-60, and the Federal Safety Appliance Acts, 45 U.S.C.A. §§ 1-46, for personal injuries suffered in a railroad switching operation in the yards of defendant at Fort Wayne, Indiana. From an order dismissing the case without prejudice, defendant appeals. ■

September 20, 1948, defendant filed a motion to transfer the cause to the District Court of the United States at Fort Wayne, 28 U.S.C.A. § 1404(a). Supporting and counter affidavits were filed. In October, 1948, defendant filed its answer admitting injury to plaintiff in Fort Wayne., Depositions on the merits were taken by both sides at Fort Wayne. Thereafter, while the above motion was undisposed and shortly after the Supreme Court had decided section 1404 applicable to Federal Employers’ Liability Acts suits Ex parte Collett, 337 U.S. 55, 69 S.Ct. 944, 959; Kilpatrick v. Texas & Pacific Railway Co., 337 U.S. 75, 69 S.Ct. 953, plaintiff filed a motion to dismiss “without prejudice.” The motion was sustained with the provision “upon payment of costs herein by plaintiff.” This appeal is from that order of dismissal.

We understand that appellant does not question that the determination' of- this motion was addressed to the sound judicial discretion of the trial court. Its contentions are that this discretion was erroneously exercised to its prejudice in three respects. These are (1) deprival of the right to have the cause transferred to the United States District Court at Fort Wayne; (2) deprival of its right to have its prior filed motion to transfer determined before the later filed motion to dismiss; and (3) omitting to condition the order upon payment of the expenses and a reasonable attorney’s fee incurred by appellant in this suit.

The basic principal of law involved here is- stated in Federal Rules of Civil Procedure, Rule 41(a) (2), 28 U.S.C.A., that an action shall not be dismissed by the plaintiff save upon order of the court and “upon such terms and conditions as the .court deems proper,” The judicial discretion thus authorized has been construed to allow dismissal, upon payment of costs, “unless the defendant would suffer some plain legal prejudice other than the mere prospect of a second law suit.” Cone v. West Virginia Pulp and Paper Co., 330 U.S. 212, 217, 67 S.Ct. 752, 91 L.Ed. 849; Home Owners’ Loan Corporation v. Huffman, 8 Cir., 134 F.2d 314, 317. In determining this matter of “plain legal prejudice,” we are required, on appeal, to accept the action of the trial court unless we find “arbitrary action by failure to apply the appropriate equitable and legal principles to the established or conceded facts and circumstances.” Home Owners’ Loan Corporation v. Huffman, 8 Cir., 134 F.2d 314, 317; Hartford-Empire Co. v. Obear-Nester Glass Co., 8 Cir., 95 F.2d 414, 417. With these controlling legal principles in mind, we examine the before-stated claims of “prejudice” advanced’by appellant.

1. Deprival of right to- transfer.

The argument by appellant is that it had “the right to have the cause transferred to the United States District Court at Fort Wayne”; and that prevention of this right through dismissal without prejudice was prejudicial to it because such action left the appellee free to bring anew his suit in any State court where he could get service- upon appellant and that suit in a State court would not be subject to the beneficial provisions of section 1404(a) as to convenience of forum.

*771 It may be that the apprehended results are possible or even probable but such do not constitute, in and of themselves, such prejudice as to demonstrate arbitrary action by the trial court. Section 1404(a) provides a purely procedural method relating to place of forum, which is not mandatory but depends upon the exercise of sound judicial discretion. Denial of such manner of choice of forum is not a preju-dicially arbitrary act because “no one has a vested right in any given mode of procedure”, Ex parte Collett, 337 U.S. 55, 71, 69 S.Ct. 944, 959; and see Pullman’s Palace Car Co. v. Central Transportation Co., 171 U.S. 138, 146, 18 S.Ct. 808, 43 L.Ed. 108 and Home Owners’ Loan Corporation v. Huffman, 2 Cir., 134 F.2d 314, 318.

2. Prior determination of motion to transfer.

This contention amounts only to the claimed right of appellant to have the District Court at Fort Wayne determine the terms upon which the case should be dismissed. This asks us to declare arbitrary action by the trial court on the basis of the hypothetical situation that the trial court would order the transfer to the Fort Wayne Court and that such Court would, or would have the opportunity to, determine the motion to dismiss upon more favorable terms to appellant. We are unconvinced.

3. Payment of expenses and reasonable attorney’s fee.

This contention is that the court acted arbitrarily in not further conditioning the dismissal upon payment of the expenses and a reasonable attorney’s fee incurred by appellant.

That such provision may be required as a condition of dismissal without prejudice under Rule 41(a) (2) is hardly open to question, and such condition is not infrequent, DeFillipis v. Chrysler Sales Corp., 2 Cir., 116 F.2d 375; Gold v. Geo. T. Moore Sons, Inc., D.C.N.Y.S.D., 3 F.R.D. 201; Mott v. Connecticut General Life Ins. Co., D.C.Iowa N.D., 2 F.R.D. 523; Taylor v. Swift & Co., D.C.Fla.S.D., 2 F.R.D. 424; Ryerson & Haynes, Inc. v. American Forging & Socket Co., D.C.Mich.E.D., 2 F.R.D. 343; Welter v. E. I. DuPont De Nemours & Co., D.C.Minn., 1 F.R.D. 551; McCann v. Bentley Stores Corp., D.C.Mo.W.D., 34 F.Supp. 234; Paul E. Hawkinson Co. v. Goodman, D.C.Cal.S.D., 32 F.Supp. 732 and see Federal Savings and Loan Ins. Corp. v. First National Bank, D.C.Mo.W.D., 4 F. R.D. 313. Also, for an extensive annotation of authorities prior to the Rules, see 89 A.L.R. 13. Before the Rules, it had been held that “the expense incurred by defendant in preparing for trial and the resulting delay did not alone constitute good cause for refusing such dismissal” without prejudice. United Motors Service v. Tropic-Aire, Inc., 8 Cir., 57 F.2d 479, 486; Lindley v. Denver, et al., 6 Cir., 259 F. 83, 84.

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Bluebook (online)
181 F.2d 769, Counsel Stack Legal Research, https://law.counselstack.com/opinion/new-york-c-st-l-r-co-v-vardaman-ca8-1950.