Weathermon v. Disabled American Veterans

15 F. Supp. 2d 940, 1998 U.S. Dist. LEXIS 12540, 1998 WL 476780
CourtDistrict Court, D. Nebraska
DecidedAugust 12, 1998
Docket4:97CV3397
StatusPublished
Cited by1 cases

This text of 15 F. Supp. 2d 940 (Weathermon v. Disabled American Veterans) is published on Counsel Stack Legal Research, covering District Court, D. Nebraska primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Weathermon v. Disabled American Veterans, 15 F. Supp. 2d 940, 1998 U.S. Dist. LEXIS 12540, 1998 WL 476780 (D. Neb. 1998).

Opinion

MEMORANDUM AND ORDER

KOPF, District Judge.

John C. Weathermon has filed a complaint and amended complaint against the Disabled American Veterans (DAV), claiming that the Lincoln, Nebraska, office of the DAV violated his right to due process when the DAV — as Weathermon’s appointed representative in his claim to the Department of Veteran Affairs for disability benefits — (1) withheld evidence that would have resulted in four additional years of benefits for Weathermon had the DAV brought it to the Department’s attention earlier; (2) unnecessarily delayed his hearing before the “ratings board” by erroneously sending his records to Wichita, Kansas, when the hearing was eventually held in Lincoln; and (3) exploited Weather-mon’s psychotic disability by writing letters to him containing “provocative” language and by refusing to produce information Weather-mon requested. Weathermon also complains that the hearing officer engaged in “lying and deception” in making a decision because the hearing officer ignored what Weather-mon viewed as his “first line of evidence— reports from the original examining doctor” and because the hearing officer referred to a June 15, 1991, examination of Weathermon which did not in fact exist.

*941 In sum, Weathermon prays for an order requiring the DAV to pay Weathermon full disability payments for the four years preceding Weathermon’s victory before the Board of Veterans’ Appeals in Washington, D.C. — a victory which was allegedly based on evidence the DAV refused to introduce in proceedings that preceded Weathermon’s appeal to the Board. (Complaint & Amended Complaint, Filings 1 & 6.)

Defendant DAV has filed a motion to dismiss (filing 7) pursuant to Fed.R.Civ.P. 12(b)(1) and 12(h)(8) alleging lack of subject matter jurisdiction. The court granted Weathermon’s motion for an additional 90 days in which to respond to DAV’s motion to dismiss (filing 9), but Weathermon has failed to respond.

For the following reasons, I shall grant DAV’s motion to dismiss.

Diversity Jurisdiction

Pursuant to 28 U.S.C. § 1332, this court has original jurisdiction of all civil actions where the matter in controversy, excluding interest and costs, exceeds $75,000 and is between citizens of different states. A corporation is deemed to be a citizen of its state of incorporation and the state of its principal place of business. 28 U.S.C. § 1332(c)(1). Although it is unclear, it appears that plaintiff Weathermon may now be a resident of Missouri. (Filing 14.)

The defendant in this case, the DAV, is a federally chartered corporation created by an act of Congress which is authorized, among other things, to “establish and maintain offices for the conduct of its business” and to “establish State and Territorial organizations and local chapter or post organizations.” 36 U.S.C. § 90d (1988). The statute creating the corporation declares the DAV as “a body corporate” with no particular situs. 36 U.S.C. § 90a. As such, the DAV is a citizen of the United States — not any one state — for jurisdictional purposes. Duke v. Disabled Americans Veterans Org., 1998 WL 54359 (E.D.Pa. Jan.9, 1998) (federal district court did not have diversity jurisdiction over suit against DAV because DAV is citizen of the United States for jurisdictional purposes); Rice v. Disabled American Veterans, 295 F.Supp. 131, 133-34 (D.D.C.1968) (federal district court did not have diversity jurisdiction over suit against DAV because DAV is federally chartered corporation which has statutory authority to operate in all states without regard to any particular situs, thereby creating “national citizenship only” for diversity purposes). See also Little League Baseball, Inc. v. Welsh Publishing Group, Inc., 874 F.Supp. 648, 651 (M.D.Pa.1995) (a federally chartered corporation with widespread activities may not “be the subject of diversity jurisdiction absent specific statutory language providing for citizenship in a particular state or incorporating the entity as a ‘body corporate’ of a particular state”; citing Rice as example of federally chartered corporation which has been held to be national citizen for diversity purposes).

Therefore, this court does not have diversity jurisdiction over Plaintiffs claims.

Federal Question Jurisdiction

Pursuant to 28 U.S.C. § 1331, this court has original jurisdiction over civil actions “arising under the Constitution, laws, or treaties of the United States.” Without further allegations of jurisdiction, plaintiff Weathermon broadly complains that the DAV failed in its legal duty to competently represent him, as set forth in “Title 38 U.S.Code.” (Amended Complaint, Filing 6, at 1.) Title 38 consists of sections 101 through 8528, each section of which deals with veterans’ benefits in some fashion. I conclude this court does not have subject matter jurisdiction over Weathermon’s claims for two reasons.

First, the federal district court in Duke decided that it did not have subject matter jurisdiction over a lawsuit filed by a veteran against the DAV in which the veteran sought money for service-connected disabilities that were “ignored and denied” by the DAV by virtue of the DAV’s “conspiracy, omission, falsification and lies.” Duke, 1998 WL 54359, at *1. The court noted that Congress “specifically declared by statute that the federal district courts ‘shall not have jurisdiction of any civil action by or against any corporation upon the ground that it was *942 incorporated by or under an Act of Congress, unless the United States is the owner of more than one-half of its capital stock.’ ” Id. (quoting 28 U.S.C. § 1349). The court concluded that it lacked subject matter jurisdiction over the ease “[sjince the United States does not own more than one-half the capital stock of ... DAY.” Id. See also Rice, 295 F.Supp. at 132 (the fact that the DAV is federally chartered by an act of Congress does not create federal question jurisdiction, citing 28 U.S.C. § 1349 and stating that the United States does not own more than one-half the capital stock of the DAV).

Second, with its passage of the Veterans’ Judicial Review Act (VJRA) in 1988, Congress made evident its intent to preclude federal district courts from reviewing benefits determinations. The Act created an “exclusive review procedure” by which veterans may resolve their disputes with the Department of Veterans Affairs. Zuspann v. Brown,

Related

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Cite This Page — Counsel Stack

Bluebook (online)
15 F. Supp. 2d 940, 1998 U.S. Dist. LEXIS 12540, 1998 WL 476780, Counsel Stack Legal Research, https://law.counselstack.com/opinion/weathermon-v-disabled-american-veterans-ned-1998.