Justia U.S. 10th Circuit Court of Appeals Opinion Summaries

Articles Posted in Civil Procedure
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Bimbo Bakeries USA, Inc. (“Bimbo Bakeries”) owned, baked, and sold Grandma Sycamore’s Home-Maid Bread (“Grandma Sycamore’s”). Bimbo Bakeries alleged that United States Bakery (“U.S. Bakery”), a competitor, and Leland Sycamore (“Leland”), the baker who developed the Grandma Sycamore’s recipe, misappropriated its trade secret for making Grandma Sycamore’s. The district court granted summary judgment in favor of U.S. Bakery on a trade dress infringement claim. The parties went to trial on the other two claims, and the jury returned a verdict in favor of Bimbo Bakeries on both. After the trial, the district court denied U.S. Bakery’s and Leland’s renewed motions for judgment as a matter of law on the trade secrets misappropriation and false advertising claims. The district court did, however, remit the jury’s damages award. All parties appealed. Bimbo Bakeries argued the district court should not have granted U.S. Bakery summary judgment on its trade dress infringement claim and should not have remitted damages for the false advertising claim. U.S. Bakery and Leland argued the district court should have granted their renewed motions for judgment as a matter of law, and Leland made additional arguments related to his personal liability. The Tenth Circuit affirmed in part, reversed in part, and remanded for further proceedings because the Court found all of Bimbo Bakeries’ claims failed as a matter of law. View "Bimbo Bakeries USA, et al. v. Sycamore, et al." on Justia Law

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The Ute Indian Tribe of the Uintah and Ouray Reservation (“the Tribe”) temporarily banished Angelita Chegup, Tara Amboh, Mary Jenkins, and Lynda Kozlowicz (“the banished members”). The banished members did not challenge their temporary banishment in a tribal forum, but instead sought relief in federal court by filing a petition for habeas corpus. The banished members contended that, because they were excluded from the reservation by virtue of their banishment, they were “detained” within the meaning of the Indian Civil Rights Act of 1968 (“ICRA”). The district court disagreed and dismissed the suit without considering the Tribe’s alternative position: that the court could not consider the claims at all because the banished members failed to exhaust their tribal remedies. On appeal, the Tenth Circuit Court of Appeals concurred with the district court: "Even though tribal exhaustion is non-jurisdictional, and courts may often choose between threshold grounds for denying relief, we think that under the unique circumstances of this case there was a right choice." Because the district court neither began its analysis with tribal exhaustion nor reached that issue in the alternative, the Tenth Circuit remanded for it to be decided in the first instance. View "Chegup, et al. v. Ute Indian Tribe of the Uintah, et al." on Justia Law

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Plaintiffs Robin Thornton and Michael Lucero alleged defendants Tyson Foods, Inc., Cargill Meat Solutions, Corp., JBS USA Food Company, and National Beef Packing Company, LLC, used deceptive and misleading labels on their beef products. In particular, plaintiffs contended the “Product of the U.S.A.” label on defendants’ beef products was misleading and deceptive in violation of New Mexico law because the beef products did not originate from cattle born and raised in the United States. The Tenth Circuit Court of Appeals determined the federal agency tasked with ensuring the labels were not misleading or deceptive preapproved the labels at issue here. In seeking to establish that defendants’ federally approved labels were nevertheless misleading and deceptive under state law, plaintiffs sought to impose labeling requirements that were different than or in addition to the federal requirements. The Tenth Circuit concluded plaintiffs’ deceptive-labeling claims were expressly preempted by federal law. Further, the Court agreed with the district court that plaintiffs failed to state a claim for false advertising. View "Thornton, et al. v. Tyson Foods, et al." on Justia Law

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TCI Pacific Communications, LLC (“TCI”) appealed a district court’s judgment holding it liable to Cyprus Amax Minerals Co. (“Cyprus”) for contribution under 42 U.S.C. sections 9601(9)(B), 9607(a), and 9613(f) of the Comprehensive Environmental Response and Liability Act (“CERCLA”). This case involved claims brought by Cyprus to determine whether TCI could be held liable for environmental cleanup costs relating to zinc smelting operations near Collinsville, Oklahoma. The Bartlesville Zinc Company, a former subsidiary of Cyprus’s predecessor, operated the Bartlesville Zinc Smelter (the “BZ Smelter”) from 1911 to 1918, near Collinsville, Oklahoma. TFMC owned and operated another zinc smelter (the “TFM Smelter”) from 1911 to 1926. This case does not concern cleanup work at either smelter, but rather is an action by Cyprus seeking cost recovery and contribution for its remediation in the broader Collinsville area, within the Collinsville Soil Program (“CSP”) Study Area. Cyprus sought to hold TCI liable as a former owner or operator of the TFM Smelter whose waste was located throughout the CSP Study Area. The district court granted partial summary judgment to Cyprus and pierced the corporate veil to hold TCI’s corporate predecessor, the New Jersey Zinc Company (“NJZ”), liable as the alter ego of the Tulsa Fuel & Manufacturing Co. (“TFMC”). The district court then interpreted CERCLA and held that TCI was liable as a former owner/operator of a CERCLA “facility.” Finding no reversible error in the district court's judgment, the Tenth Circuit affirmed. View "Cyprus Amax Minerals Company v. TCI Pacific Communications" on Justia Law

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David Efron and Efron Dorado SE (collectively, "Efron") appealed a civil contempt order entered by the district court for violating its preliminary injunction. This litigation began when the Federal Trade Commission and the Utah Division of Consumer Protection filed a complaint in the federal district court against Zurixx, LLC and related entities. The complaint alleged Zurixx marketed and sold deceptive real-estate investment products. The district court entered a stipulated preliminary injunction, enjoining Zurixx from continuing its business activities and freezing its assets wherever located. The injunction also directed any person or business with actual knowledge of the injunction to preserve any of Zurixx’s assets in its possession, and it prohibited any such person or business from transferring those assets. A week later, the receiver filed a copy of the complaint and injunction in federal court in Puerto Rico, where Zurixx leased office space from Efron. The office contained Zurixx’s computers, furniture, and other assets. The receiver also notified Efron of the receivership and gave him actual notice of the injunction. Although Efron at first allowed the receiver access to the office to recover computers and files, he later denied access to remove the remaining assets and initiated eviction proceedings against Zurixx in a Puerto Rico court. Given these events, the receiver moved the district court in Utah for an order holding Efron in contempt of court for violating the injunction. In response, Efron claimed the assets belonged to him under his lease agreement with Zurixx. The Tenth Circuit Court of Appeal determined the contempt order was a non-final decision. It therefore dismissed this appeal for lack of jurisdiction. View "Federal Trade Commission, et al. v. Zurixx, et al." on Justia Law

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Defendant-Appellant United Airlines (“United”) appealed a district court’s denial of its motion for judgment as a matter of law (“JMOL”), and its motion for new trial. A jury found that United discriminated against two flight attendants, Plaintiffs-Appellees Jeanne Stroup and Ruben Lee by terminating them because of their ages in willful violation of the Age Discrimination in Employment Act (“ADEA”). United filed its motions with the district court, contending, among other things, that the jury’s verdict was based on legally insufficient evidence and the court erred in admitting Plaintiffs’ testimony about their emotional distress. The district court denied the motions. United contended: (1) the district court erred in denying its JMOL motion because (a) there was insufficient evidence to support the jury’s finding that United discriminated against Plaintiffs because of their ages in violation of the ADEA, and (b) similarly, there was insufficient evidence to support the jury’s finding that United acted willfully in committing any ADEA violation; and (2) the court abused its discretion and committed reversible error when it admitted Plaintiffs’ allegedly irrelevant and highly prejudicial emotional distress testimony. After review, the Tenth Circuit concluded there was sufficient evidence for the jury to reasonably find that, not only did United violate the ADEA by discriminating against Plaintiffs, but it did so willfully. Furthermore, the Court determined the district court did not err by admitting the challenged emotional distress testimony. View "Stroup, et al. v. United Airlines" on Justia Law

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Plaintiff-appellant Tiffany Litzsinger worked for the Adams County Coroner’s Office from 2013 until she was terminated in 2018. During her time there, Litzsinger suffered from anxiety and depression, both of which worsened in the months leading up to her termination. After an anxiety episode, Adams County granted Litzsinger temporary leave under the Family and Medical Leave Act (FMLA). When Litzsinger returned from her FMLA leave, the Coroner placed Litzsinger on probation for myriad violations of workplace policies. Shortly after Litzsinger’s probation began, the Coroner terminated Litzsinger for violating the terms of her probation. Litzsinger sued the Coroner’s Office under the FMLA and Americans with Disabilities Act (ADA), claiming the Coroner terminated her in retaliation for exercising her rights under both statutes. The district court granted summary judgment for the Coroner’s Office because Litzsinger failed to demonstrate that the Coroner’s reason for terminating her was pretextual. The Tenth Circuit affirmed, finding a rational jury could not find that the Coroner’s proffered reason for firing Litzsinger was pretextual. View "Litzsinger v. Adams County Coroner's Office" on Justia Law

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A group of pet owners brought a class action against Champion Petfoods USA, Inc., alleging representations on Champion’s packaging on its Acana and Orijen brands of dog food were false and misleading. Champion’s dog food packaging contained a number of claims about the product, advertising the food as “Biologically Appropriate,” “Trusted Everywhere,” using “Fresh and Regional Ingredients,” and containing “Ingredients We Love [From] People We Trust.” The district court dismissed the claims as either unactionable puffery or overly subjective and therefore not materially misleading to a reasonable consumer. To this, the Tenth Circuit Court of Appeals agreed, finding Plaintiffs’ claims failed to allege materially false or misleading statements on Champion’s packaging because the phrases failed to deceive or mislead reasonable consumers on any material fact. View "Renfro, et al. v. Champion Petfoods USA, et al." on Justia Law

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This case arose from a claim for underinsured motorist (UIM) benefits by Plaintiff-Appellant Melinda Eckard (insured) against her insurer, Defendant-Appellee State Farm Mutual Automobile Insurance Company (State Farm). On summary judgment, the district court held that Eckard’s suit was time barred by Colorado Revised Statutes section13-80-107.5(1)(b). The Tenth Circuit reversed, finding the district court granted summary judgment to State Farm because it incorrectly found as a matter of law that Eckard “received payment of the settlement” when her lawyer received the settlement agreement and check on October 11, 2019. As was explained, Eckard actually “received payment of the settlement” when she executed the settlement agreement and authorized the check on November 7, 2019. As a result, section 13-80-107.5(1)(b) did not bar Eckard’s UIM claim against State Farm. View "Eckard v. State Farm Mutual Automobile" on Justia Law

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Banner Bank (“Banner”) provided a multimillion-dollar loan to James and Loree Smith and their business entities. As collateral, James Smith pledged several properties. Banner later contracted to release Loree Smith from all actions associated with the loan. When the loan entered default, Banner named Loree in this diversity action to foreclose on the collateral, notwithstanding the release. Loree brought a successful breach of contract counterclaim and recovered attorneys’ fees through Utah’s bad-faith fee-shifting statute. Banner appealed, arguing that every prong of the bad-faith statute was not met and the fee award was unreasonable. Finding that the judgment was final, the Tenth Circuit Court of Appeals exercised jurisdiction, but did not reach any of Banner’s specific statutory arguments. The Court reversed the fee award because it found Section 78B-5-825 was a procedural attorneys’ fees statute, so it could not be used to recover fees when a federal court sat in diversity. View "Banner Bank v. Smith, et al." on Justia Law