Opinion
Miscellaneous Docket No. 134 Miscellaneous Docket No. 135
11-29-2012
NOTE: This order is nonprecedential.
On Petition for Permission to Appeal pursuant to 28 U.S.C. § 1292(d) from the United States Court of Federal Claims in case no. 11-CV-0100, Senior Judge Robert H. Hodges, Jr.
On Petition for Permission to Appeal pursuant to 28 U.S.C. § 1292(d) from the United States Court of Federal Claims in case no. 10-CV-0647, Senior Judge Robert H. Hodges, Jr.
ON PETITION FOR PERMISSION TO APPEAL
Before RADER, Chief Judge, LOURIE and SCHALL, Circuit
Judges.
SCHALL, Circuit Judge.
ORDER
The United States petitions for permission to appeal from orders certified by the United States Court of Federal Claims as ones involving a controlling issue of law as to which there is substantial ground for difference of opinion and for which an immediate appeal may materially advance the ultimate termination of these similar suits. Alley's of Kingport, Inc. et al. and Colonial Chevrolet Co., Inc. oppose. Alley's of Kingsport also moves without opposition to reform the caption in 2012-M134.
These petitions stem from complaints brought by former owners of Chrysler and General Motors (GM) automobile dealerships against the United States in the Court of Federal Claims. The complaints allege that in response to a global financial crisis, the United States government invested billion of dollars in Chrysler and GM as part of the Troubled Asset Relief Program and Automotive Industry Financing Program. The complaints further allege that as a condition of receiving funding, the government forced Chrysler and GM to terminate dealership franchise agreements through bankruptcy proceedings. The thrust of the complaints is that the forced termination of the franchise agreements amounted to a taking for public use, and thus the government should pay the plaintiffs just compensation.
The United States moved to dismiss in both cases on the ground that the complaints neither allege sufficient facts nor a viable legal theory that would support a takings claim against the government, but Federal Claims disagreed. The court acknowledged that the plaintiffs' allegations were unusual and their takings theory did not "fit neatly into a normal takings framework." Nonetheless, the court explained that takings theories must be considered in accordance with their surrounding events and circumstances, and that the plaintiffs should have the opportunity to develop a case that may turn out to be unique. Accordingly, Federal Claims denied the government's motions to dismiss.
The United States asked Federal Claims to certify, for interlocutory appeal under 28 U.S.C. § 1292(d), the question of the complaints' adequacy. Federal Claims agreed, and we also agree that the criteria for interlocutory appeal under that section are met and that these petitions should be granted and heard on the merits by this court.
Accordingly,
IT IS ORDERED THAT:
(1) The petitions for permission to appeal are granted.
(2) The motion to reform the caption is granted. The revised official caption is reflected above.
(3) These cases shall be treated as companion cases and be argued together before the same merits panel.
FOR THE COURT
____________________________
Jan Horbaly
Clerk
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