Black Car Assistance Corp. v. New Jersey

• Decision Date: 21 December 2004
• Docket Number: No. CIV.03-5828(WGB).,CIV.03-5828(WGB).
• Citation: 351 F.Supp.2d 284
• Parties: BLACK CAR ASSISTANCE CORPORATION, Plaintiff, v. The State of NEW JERSEY, New Jersey Motor Vehicle Commission, and Diane M. Legreide, in her capacity as Chief Administrator of the New Jersey Motor Vehicle Commission, Defendants.
• Court: U.S. District Court — District of New Jersey

351 F.Supp.2d 284

BLACK CAR ASSISTANCE CORPORATION, Plaintiff, v. The State of NEW JERSEY, New Jersey Motor Vehicle Commission, and Diane M. Legreide, in her capacity as Chief Administrator of the New Jersey Motor Vehicle Commission, Defendants.

No. CIV.03-5828(WGB).

United States District Court, D. New Jersey.

December 21, 2004.

Richard L. Huffman, Esq., Jonathan Mazer, Esq., Fox Horan & Camerini LLP, New York City, Merrill M. O'Brien, Esq., O'Brien Thorton LLC, Paramus, NJ, for Plaintiff.

Emily H. Armstrong, Esq., Deputy Attorney General, Attorney General of New Jersey, R.J. Hughes Justice Complex, Trenton, NJ, for Defendants.

OPINION

BASSLER, District Judge.

In July 2003, the State of New Jersey enacted N.J.S.A. § 39:3-19.6 with the intent of regulating out-of-state, for-hire vehicles that conducted business within New Jersey. Plaintiff Black Car Assistance Corporation ("Plaintiff" or "Black Car") filed this action to permanently enjoin the State from enforcing N.J.S.A. § 39:3-19.6 against its members.

Plaintiff now moves for summary judgment pursuant to Federal Rule of Civil Procedure 56.

This Court has jurisdiction over this matter pursuant to 28 U.S.C. § 1331. Venue is proper pursuant to 28 U.S.C. § 1391(b).

For the following reasons, Plaintiff's motion for summary judgment is granted.

I. BACKGROUND

Plaintiff Black Car is a trade association comprised of approximately forty livery dispatch companies. (Dizengoff Decl. ¶ 2.) Black Car drivers operate for-hire vehicles that transport passengers to and from destinations in both New York and New Jersey. (Dizengoff Decl. ¶ 2, 8.) Each day, Black Car members dispatch approximately 10,000 drivers in the New York City Metropolitan Area, and drivers make about 6,000 daily trips into the State of New Jersey. (Dizengoff Decl. ¶ 4, 8.)

Drivers working for Black Car members meet all vehicle registration requirements under New York state law. (Compl.¶ 16.)¹ In addition, each driver is licensed by the New York City Taxi and Limousine Commission. (Id.)

On or about July 1, 2003, the legislature of the State of New Jersey enacted N.J.S.A. § 39:3-19.6 (hereinafter "New Jersey Out of State Registration Law"). The state law requires all operators of out-of-state, for-hire vehicles to pay a fee to the State. N.J.S.A. § 39:3-19.6(a). Upon payment of the fee, an operator will receive a "for hire" permit to be displayed in the window of the vehicle. N.J.S.A. § 39:3-19.6(b). Failure to display the permit could result in fines, impoundment of the vehicle, and imposition of towing costs. N.J.S.A. § 39:3-19.6(c).

The State planned to enforce the New Jersey Out of State Registration Law beginning January 1, 2004. (Def.'s R. 56.1 Statement ¶ 12.) Plaintiff commenced this civil action on December 4, 2003. On December 23, 2004, the parties stipulated to an agreement enjoining the enforcement of the New Jersey Out of State Registration Law against Plaintiff and its members pending the outcome of this litigation.

II. DISCUSSION

A. Justiciability

As a preliminary matter, the Court notes that Black Car has challenged the New Jersey Out of State Registration Law prior to its enforcement. Defendants have not argued that this challenge is not justiciable. The Court finds this action to be ripe for review. See Planned Parenthood v. Farmer, 220 F.3d 127, 147-48 (3d Cir.2000) (citing Babbitt v. United Farm Workers Nat'l Union, 442 U.S. 289, 298, 99 S.Ct. 2301, 60 L.Ed.2d 895 (1979)) (finding a challenge to the New Jersey Partial-Birth Abortion Ban Act of 1997, the violation of which carried civil penalties, prior to its enforcement or interpretation to be ripe for review).

B. Standard for Summary Judgment

Summary judgment will be granted only if the record shows that "there is no genuine issue as to any material fact and that the moving party is entitled to a judgment as a matter of law." Fed.R.Civ.P. 65(c). Whether a fact is material is determined by the applicable substantive law. Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 248, 106 S.Ct. 2505, 91 L.Ed.2d 202 (1986). An issue involving a material fact is genuine "if the evidence is such that a reasonable jury could return a verdict for the nonmoving party." Healy v. N.Y. Life Ins. Co., 860 F.2d 1209, 1219 n. 3 (3d Cir.1988), cert. denied 490 U.S. 1098, 109 S.Ct. 2449, 104 L.Ed.2d 1004 (1989).

The moving party has the initial burden of showing that no genuine issue of material fact exists. Celotex Corp. v. Catrett, 477 U.S. 317, 323, 106 S.Ct. 2548, 91 L.Ed.2d 265 (1986). If the moving party satisfies this requirement, the burden shifts to the nonmoving party to present evidence that there is a genuine issue for trial. Id. at 324, 106 S.Ct. 2548. The nonmoving party "may not rest upon mere allegations or denials" of its pleading, Fed.R.Civ.P. 56(e), but must produce sufficient evidence to reasonably support a jury verdict in its favor, Anderson, 477 U.S. at 249, 106 S.Ct. 2505, and not just "some metaphysical doubt as to material facts," Matsushita Elec. Indus. Co. v. Zenith Radio Corp., 475 U.S. 574, 586, 106 S.Ct. 1348, 89 L.Ed.2d 538 (1986).

In determining whether any genuine issues of material fact exist, the Court must resolve "all inferences, doubts, and issues of credibility ... against the moving party." Meyer v. Riegel Prods. Corp., 720 F.2d 303, 307 n. 2 (3d Cir.1983) (citing Smith v. Pittsburgh Gage & Supply Co., 464 F.2d 870, 874 (3d Cir.1972)); accord Aman v. Cort Furniture Rental Corp., 85 F.3d 1074, 1077 n. 1 (3d Cir.1996).

Because a motion for summary judgment is designed to go beyond the pleadings, factual specificity is required of a party who opposes such a motion. Celotex, 477 U.S. 317, 322-23, 106 S.Ct. 2548, 91 L.Ed.2d 265 (1986). Accordingly, a plaintiff may not simply "replace conclusory allegations of the complaint or answer with conclusory allegations of an affidavit." Lujan v. Nat'l Wildlife Fed'n, 497 U.S. 871, 888, 110 S.Ct. 3177, 111 L.Ed.2d 695 (1990) (citing Anderson, 477 U.S. at 249, 106 S.Ct. 2505). Moreover, a party cannot rely upon self-serving conclusions, unsupported by specific facts in the record. Celotex, 477 U.S. at 322-23, 106 S.Ct. 2548. A nonmoving party must point to concrete evidence in the record which supports each essential element of its case. Id. If the party fails to provide such evidence, then it is not entitled to a trial and the moving party is entitled to summary judgment as a matter of law. Fed.R.Civ.P. 56(e).

In deciding a summary judgment motion, however, the Court's role is not "to weigh the evidence and determine the truth of the matter, but to determine whether there is a genuine issue for trial." Anderson, 477 U.S. at 248, 106 S.Ct. 2505. If the party opposing summary judgment has exceeded the "mere scintilla" threshold and has offered a genuine issue of material fact, then the Court cannot credit the movant's version of events, even if the quantity of the movant's evidence far outweighs that of its opponent. Big Apple BMW v. BMW of N. Am., 974 F.2d 1358, 1363 (3d Cir.1992).

The State has not filed any answering affidavits that refute Black Car's statement of the facts. As noted above, the State cannot rely upon the mere allegations contained in its answer or its Local Rule 56.1 statement. See Fed.R.Civ.P. 56(e); Monaco v. Am. Gen. Assurance Co., 359 F.3d 296, 306 (3d Cir.2004).

C. The RIDE Act Preempts Application of the New Jersey Out of State Registration Law as to Certain Motor Vehicles

The relevant provisions of the New Jersey Out of State Registration Law provide:

a.... [A] fee shall be due and payable pursuant to this section for the operating period from October 1 through September 30 for each limousine, as that term is defined pursuant to R.S.48:16-13, and any other vehicle for hire that is used to transport passengers, from or to a location in New Jersey if such vehicle is not registered in New Jersey.

b. Upon payment of the fee pursuant to subsection a. of this section, the Chief Administrator of the New Jersey Motor Vehicle Commission shall issue a "for hire" permit, which permit shall be displayed in the vehicle at all times while the vehicle is within the State, in a manner prescribed by the Chief Administrator.

c. Failure to display the "for hire" permit is a motor vehicle violation, punishable by a fine of up to $350 in addition to any other penalty otherwise authorized for motor vehicle violations. Failure to pay the fee due under this section is a separate motor vehicle violation and shall be punishable by a fine of not less than $350, in addition to any other penalty authorized for motor vehicle violations. A vehicle failing to display a "for hire" permit may be impounded by a law enforcement agency, its agent, or any other appropriate authority, which may charge the owner or operator fees for the costs of towing and impoundment.

N.J.S.A. § 39:3-19.6. The Out of State Registration Law requires all non-resident, for-hire vehicles providing transportation to and from New Jersey to pay a registration fee to the State. If a non-resident vehicle neglects to pay the fee or display the "for hire" permit issued by the State, that vehicle becomes subject to fines and impoundment.

Plaintiff contends that the enforcement of the New Jersey Out of State Registration Law against Black Car and its members is preempted by the Real Interstate Driver Act ("RIDE Act"), 49 U.S.C. § 14501(d). The RIDE Act provides, in relevant part:

(d) Pre-arranged ground transportation. —

(1) In general. — No State or political subdivision thereof and no interstate agency or other political agency of 2 or more States shall enact or enforce any law, rule, regulation, standard or other provision having the force and effect of law requiring a license or fee on account of the fact that a motor vehicle is providing pre-arranged ground transportation service if the motor carrier providing such service —

(A) meets all applicable registration requirements under ...