Patrickson v. Dole Food Co.

251 F.3d 795
CourtCourt of Appeals for the Ninth Circuit
DecidedMay 30, 2001
DocketNos. 99-16524, 99-16770
StatusPublished
Cited by50 cases

This text of 251 F.3d 795 (Patrickson v. Dole Food Co.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Ninth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Patrickson v. Dole Food Co., 251 F.3d 795 (9th Cir. 2001).

Opinion

KOZINSKI, Circuit Judge:

We consider whether the federal courts have jurisdiction over a class action brought by Latin American banana workers against multinational fruit and chemical companies alleged to have exposed the workers to a toxic pesticide.

I

Dibromoehloropropane (DBCP) is a powerful pesticide. Tough on pests, it’s no friend to humans either. Absorbed by the skin or inhaled, it’s alleged to cause sterility, testicular atrophy, miscarriages, liver damage, cancer and other ailments that you wouldn’t wish on anyone. Originally manufactured by Dow Chemical and Shell Oil, the pesticide was banned from general use in the United States by the Environmental Protection Agency in 1979. But the chemical companies continued to distribute it to fruit companies in developing nations.

In our case, banana workers from Costa Rica, Ecuador, Guatemala and Panama brought a class action against Dole Food Company, other major fruit companies and chemical companies (hereinafter “Dole”) for injuries allegedly sustained from exposure to DBCP in their home countries. This case represents one front in a broad litigation war between these plaintiffs’ lawyers and these defendants. In some of the cases, plaintiffs have reportedly won multimillion dollar settlements. See Larry K. Lowry & Arthur L. Frank, Exporting DBCP and Other Banned Pesticides: Consideration of Ethical Issues, 5 Int’l J. Occup. Envtl. Health 135, 140 (1999). In others, defendants have managed to have the cases dismissed for forum non conveniens. See, e.g., Delgado v. Shell Oil Co., 231 F.3d 165, 169 (5th Cir.2000), cert. denied, - U.S. -, 121 S.Ct. 1603, 149 L.Ed.2d 470 (2001); Sibaja v. Dow Chem. Co., 757 F.2d 1215, 1216 (11th Cir.1985).

The merits are not before us. Instead, we must decide whether the case is properly in federal court. The workers brought suit in Hawaii state court. Dole responded by impleading two Israeli chemical companies, Dead Sea Bromine Company and Bromine Compounds Limited (“Dead Sea Companies”), which are alleged to have manufactured some of the DBCP used in plaintiffs’ home countries. The Companies were, until recently, indirectly owned by the Israeli government, and they immediately removed the ease to federal court pursuant to the Foreign Sovereign Immunities Act of 1976 (FSIA), 28 U.S.C. § 1330. Dole likewise removed based on federal-question jurisdiction, 28 U.S.C. § 1331. The district court denied plaintiffs’ remand motion and then dismissed the case for forum non conveniens.

II

Dole was entitled to remove the case to federal court if plaintiffs could have brought it there to begin with. See 28 U.S.C. § 1441(a). We must therefore consider whether plaintiffs could have brought the case in district court under federal-question jurisdiction or the FSIA1

[799]*799A. Federal-Question Jurisdiction

We are courts of limited jurisdiction. This means we hear only those cases that Congress directs and the Constitution permits us to hear. Under Article III, federal courts may assert jurisdiction over federal questions, extending to all cases “arising under this Constitution, the Laws of the United States, and Treaties made, or which shall be made, under their Authority.” U.S. Const, art. Ill, § 2. Although any federal ingredient may be sufficient to satisfy Article III, the statutory grant of jurisdiction under 28 U.S.C. § 1331 requires more. See Verlinden B.V. v. Central Bank of Nigeria, 461 U.S. 480, 495, 103 S.Ct. 1962, 76 L.Ed.2d 81 (1983) (“Article III ‘arising under’ jurisdiction is broader than federal-question jurisdiction under § 1331....”).

Even if the case turns entirely on the validity of a federal defense, federal courts may not assert jurisdiction unless a federal right or immunity is “an element, and an essential one, of the plaintiffs cause of action.” Franchise Tax Bd. v. Construction Laborers Vacation Trust, 463 U.S. 1, 11, 103 S.Ct. 2841, 77 L.Ed.2d 420 (1983) (quoting Gully v. First Nat’l Bank, 299 U.S. 109, 112, 57 S.Ct. 96, 81 L.Ed. 70 (1936)). This venerable “well-pleaded complaint” rule keeps us from becoming entangled in state law controversies on the conjecture that federal law may come into play at some point during the litigation; it also ensures that Congress retains control over the size of federal court dockets.

Under conventional principles, the class action here unquestionably arises under state law. Plaintiffs seek relief under the common law of Hawaii for negligence, conspiracy, strict liability, intentional torts and breach of implied warranty. None of the claims has an element premised on a right created by Congress or the Constitution. Dole nonetheless argues that we have federal-question jurisdiction because the case calls for an application of the federal common law of foreign relations.

Although there is no general federal common law, “there are enclaves of federal judge-made law which bind the States.” Banco Nacional de Cuba v. Sabbatino, 376 U.S. 398, 426, 84 S.Ct. 923, 11 L.Ed.2d 804 (1964). In Sabbatino, the Court held that one of those enclaves concerns the legal principles governing the nation’s relationship with other members of the international community. The case considered whether the “act of state doctrine” requires U.S. courts to recognize the validity of the Cuban government’s expropriation of private property. A long-standing common law principle, the act of state doctrine precludes courts from questioning the legality of actions that a foreign government has taken within its own borders. See Underhill v. Hernandez, 168 U.S. 250, 252, 18 S.Ct. 83, 42 L.Ed. 456 (1897). Sabbatino considered whether the doctrine was a matter of state or federal law.

Because the Constitution gives the federal government exclusive authority to manage the nation’s foreign affairs, the Court concluded that “rules of international law should not be left to divergent and perhaps parochial state interpretations.” Sabbatino, 376 U.S. at 425, 84 S.Ct. 923. Whether a foreign state’s act is given legal force in the courts of the United States is a “uniquely federal” question directly implicating our nation’s foreign affairs. See id. at 425-26, 84 S.Ct. 923. Therefore, it was appropriate to fashion a single federal standard to govern such cases, rather than rely on a patchwork of separate state standards. Equally important, the Supreme [800]*800Court in Sabbatino

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251 F.3d 795, Counsel Stack Legal Research, https://law.counselstack.com/opinion/patrickson-v-dole-food-co-ca9-2001.