Aguirre v. S.S. Sohio Intrepid, s. 85-2548
| Decision Date | 09 October 1986 |
| Docket Number | 85-2554,Nos. 85-2548,s. 85-2548 |
| Citation | 801 F.2d 1185 |
| Parties | Daniel AGUIRRE; Lynn Alfsen; Alfred E. Banks, etc., et al., Plaintiffs-Appellants, v. S.S. SOHIO INTREPID, its engines, tackle, apparel, furnishings, etc., in rem, et al., Defendants-Appellees. Francis C. ALLEN; Charles D. Arnet; Frank W. Barber, etc., et al., Plaintiffs-Appellants, v. S.S. GLACIER BAY, its engines, tackle, apparel, furnishings, etc., in rem., et al., Defendants-Appellees. Donald E. ALLEN; Francis C. Allen; Alan Baxter, etc., et al., Plaintiffs-Appellants, v. S.S. SOHIO RESOLUTE, its engines, tackle, apparel, furnishings, etc., in rem, et al., Defendants-Appellees. Robert ANDERSEN; Guy M. Duggan; Alfred Griffin, et al., Plaintiffs-Appellants, v. S.S. RESOLUTE, its engines, tackle, apparel, furnishings, etc., in rem, et al., Defendants-Appellees. Guy M. DUGGAN; Richard B. English; etc., et al., Plaintiffs-Appellants, v. S.S. SOHIO INTREPID, its engines, tackle, apparel, furnishings, etc., in rem, et al., Defendants-Appellees. Gerald E. ALEXANDER, Richard M. Andrews, et al., Plaintiffs-Appellants, v. S.S. GLACIER BAY, its engines, tackle, apparel, furnishings, etc., in rem, et al., Defendants-Appellees. |
| Court | U.S. Court of Appeals — Ninth Circuit |
Norman Leonard, Leonard, Carder, & Zuckerman, San Francisco, Cal., Allan Brotsky, Robert J. Higgins, Angelo V. Arcadipane, Laura A. Layman, Dickstein, Shapiro, & Morin, Washington, D.C., Marvin Stender, Garry, McTernan, Stender, & Walsh, San Francisco, Cal., for plaintiffs-appellants.
Richard Beautigan, Jack G. Knebel, Sherri J. Conrad, McCutchen Doyle, Brown, & Enersen, San Francisco, Cal., for defendants-appellees.
Appeal from the United States District Court for the Northern District of California.
Before KOELSCH and ALARCON, Circuit Judges, and WILLIAMS, * District Judge.
Plaintiffs/appellants Daniel Aguirre and 75 other merchant seamen (hereinafter seamen) appeal from the district court's order granting partial summary judgment in favor of defendants/appellees S.S. Sohio Intrepid, S.S. Sohio Resolute, S.S. Glacier Bay (hereinafter vessels), and the owner of these vessels, Trinidad Corporation (hereinafter Trinidad). The seamen sought (1) unpaid wages for work performed aboard these vessels, and (2) penalty wages, pursuant to 46 U.S.C. Sec. 10504(c), which accrued at a rate of "2 days' wages for each day payment is delayed." The seamen obtained a maritime lien on the three vessels for the amount of the unpaid wages and wage penalties. While the parties were litigating the case in the federal district court, Congress retroactively amended 46 U.S.C. Sec. 10504 to exempt "vessel[s] engaged in coastwise commerce" from the application of the wage penalty provision. The seamen's sole contention on appeal is that the retroactive amendment of the statute destroyed their maritime lien in violation of the takings clause of the fifth amendment to the United States Constitution. We dismiss the appeal because the seamen's claim is moot and therefore nonjusticiable.
The facts are undisputed. The seamen were employed aboard the vessels pursuant to a collective bargaining agreement. Trinidad is the chartered operator of the vessels and is represented by the Tanker Service Committee, a multi-employer bargaining agent. The seamen in Case No. CV 84-5938-TEH are members of the Maritime Engineers Beneficial Association (hereinafter the Union). 1
The collective bargaining agreement between the parties ran from June 16, 1981 to June 15, 1984. The agreement provided that effective June 16, 1982, the seamen were entitled to a 7 1/2% wage increase. On July 15, 1982, prior to implementation of this increase, in response to the request of President Reagan, the Union and other workers in the maritime industry agreed to defer the wage increase. The terms of that deferral provide, inter alia, that the "Union shall have the right at any time and in its sole and absolute discretion to reinstitute the wage increase." The agreement also states that "such reinstitution shall be retroactive to such date as determined by the Union," and that "the reinstitution shall have the same force and effect under the Agreement as though the wage increase had not been deferred."
On May 18, 1984, the Union notified Trinidad that it was exercising its right to reinstate the 7 1/2% wage increase, retroactive to July 15, 1982. The Union informed Trinidad that all wages owed pursuant to the deferred agreement were due by May 31, 1984. For reasons not relevant to this appeal, Trinidad disputed the Union's right to reinstate the wage increase provisions of the collective bargaining agreement and refused to pay the retroactive wage increase.
On August 20, 1984, the Union, acting on behalf of the seamen, filed an in personam action against Trinidad, and an in rem action against the vessels, claiming the seamen were owed approximately $3.2 million in unpaid wages under the deferred agreement and the wage penalties under 46 U.S.C. Sec. 10504. The plaintiffs caused the vessels to be arrested. Upon deposit of $4.3 million into the district court's registry, the ships were released. This amount represented the total of claimed wages allegedly owed to the seamen, plus accrued wage penalties.
Initially, Trinidad made a motion for partial summary judgment claiming that 46 U.S.C. Secs. 544 and 596, the predecessor statutes to section 10504, controlled the wage penalty dispute because these statutes were in effect on July 15, 1982, the date the parties agreed to defer the 7 1/2% wage increase. Section 544 expressly exempted ships engaged in coastwise commerce from liability for wage penalties under section 596. 2 On August 26, 1983, prior to the filing of these actions, Congress repealed and recodified 46 U.S.C. Secs. 544 and 596, and enacted 46 U.S.C. Sec. 10504. Under section 10504 ships engaged in coastwise commerce were not exempt from wage penalties as they were previously in sections 544 and 596. The seamen opposed Trinidad's motion for partial summary judgment claiming that section 10504 controlled the dispute. The district court agreed with the seamen.
Following the district court's ruling, the seamen moved for summary judgment on the merits. However, before the motion was decided, Congress amended section 10504, Pub.L. No. 99-36, Sec. 1(a)(5), 99 Stat. 67 (1985), and made the wage penalty provisions of section 10504 inapplicable to ships engaged in coastwise commerce. 46 U.S.C. Sec. 10504(d)(1) (Partial Rev. Supp. 1986). Congress made the amendment retroactive to the enactment of section 10504, i.e., August 26, 1983, see Pub.L. No. 99-36, Sec. 1(b), 99 Stat. at 68, because the exemption for coastwise commerce had been "inadvertently omitted" from section 10504 when it was enacted. 3 S.Rep. No. 26, 99th Cong., 1st Sess. 4, reprinted in 1985 U.S.Code Cong. & Ad. News 25, 28.
Following this action by Congress, Trinidad moved for partial summary judgment on June 17, 1985, claiming that it was not liable for wage penalties under section 10504 as amended. The seamen opposed the motion contending that the retroactive amendment of section 10504 destroyed their maritime lien in violation of the due process clause and the takings clause of the fifth amendment. The district court granted Trinidad's motion. The district court held that the seamen's maritime lien was not a property interest and the retroactive amendment of section 10504 did not violate the due process clause or the takings clause of the fifth amendment. The seamen appealed the judgment granting Trinidad's motion for partial summary judgment and denying their motion for partial summary judgment.
The seamen appealed from the district court's order of August 15, 1985, by filing a notice of appeal on September 12, 1985. The August 15 order was not a final judgment in that it did not dispose of all the issues, i.e., the claim for deferred wages. Perkin-Elmer Corp. v. Computervision Corp., 680 F.2d 669, 670 (9th Cir.1982). On January 24, 1985, the district court directed entry of judgment as to the August 15 order pursuant to Fed.R.Civ.P. 54(b). No new notice of appeal was filed.
An order containing a Rule 54(b) certification is sufficient to validate a prematurely filed notice of appeal if neither party is prejudiced. Hope v. International Brotherhood of Electrical Workers, 785 F.2d 826, 828 & n. 4 (9th Cir.1986) (citing Freeman v. Hittle, 747 F.2d 1299, 1301-02 (9th Cir.1984)). Trinidad has not urged that it was prejudiced, and in our review of the record, we find none. Thus, the seamen timely appealed.
Although the parties did not raise the issue, a reading of the record indicates that the case has become moot. Because mootness is an element of justiciability and raises a question as to our jurisdiction, we consider the matter sua sponte. Canez v. Guerrero, 707 F.2d 443, 446 (9th Cir.1983); Taxpayers for Vincent v. Members of City Council of Los Angeles, 682 F.2d 847, 849 & n. 1 (9th Cir.1982), rev'd on other grounds, 466 U.S. 789, 104 S.Ct. 2118, 80 L.Ed.2d 772 (1984).
"A case, or an issue in a case, is considered moot 'if it has "lost its character as a present, live controversy of the kind that must exist if we are to avoid advisory opinions on abstract propositions of law." ' " Lindquist v. Idaho State Board of Corrections, 776 F.2d 851, 853-54 (9th Cir.1985) (quoting Connolly v. Pension Benefit Guaranty Corp., 673 F.2d 1110, 1113 (9th Cir.1982)). We cannot take jurisdiction over a claim as to which no effective relief can be granted, United States v. Geophysical Corp., 732 F.2d 693, 698 (9th Cir.1984) (citing Oregon Environmental Council v. Kunzman, 714 F.2d 901, 903 (9th Cir.1983)), because "federal courts are without power to decide questions that cannot affect the rights of litigants in the case...
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