NB v. Dist. of Columbia

• Decision Date: 29 July 2011
• Docket Number: Civil Case No. 10–1511(RJL).
• Parties: NB, et al., Plaintiffs, v. The DISTRICT OF COLUMBIA, et al., Defendants.
• Court: U.S. District Court — District of Columbia

800 F.Supp.2d 51

NB, et al., Plaintiffs,

v.The DISTRICT OF COLUMBIA, et al., Defendants.

Civil Case No. 10–1511(RJL).

United States District Court, District of Columbia.

July 29, 2011.

Jane M. Liu, Bruce J. Terris, Kathleen Lillian Millian, Terris, Pravlik & Millian, L.L.P., Washington, DC, for Plaintiffs.

Jacques P. Lerner, Office of the Attorney General for DC, Washington, DC, for Defendants.

MEMORANDUM OPINION

RICHARD J. LEON, District Judge.

Plaintiffs, five Medicaid recipients who reside in the District of Columbia, bring this action against the District of Columbia, Mayor Vincent Gray, and Julie Hudman, director of the Department of Health Care Finance (“DHCF,”) (collectively “defendants”). Plaintiffs allege that when their prescription drug coverage was denied, terminated, reduced, or delayed, defendants failed to provide them, and other Medicaid recipients similarly situated, with adequate and timely notice, the opportunity for a fair hearing, and the opportunity for reinstated coverage pending a hearing decision. Plaintiffs, therefore, allege violations of the Due Process Clause of the Fifth Amendment of the Constitution, Title XIX of the Social Security Act, 42 U.S.C. §§ 1396–1396w–2, and District of Columbia law, D.C.Code § 4–201.01, et seq. Plaintiffs seek a declaratory judgment and injunctive relief under 42 U.S.C. § 1983. Before this Court is defendants' Motion to Dismiss [# 10]. Upon consideration of the parties' pleadings and relevant law, defendants' motion is GRANTED.

BACKGROUND

In 1965, Congress enacted Title XIX of the Social Security Act, the Medical Assistance Program (“Medicaid”). Medicaid is a vendor payment program that reimburses certain approved providers for their services. 42 U.S.C. § 1396a(a)(32). The program is financed by both the federal and state governments and is administered by state agencies that are responsible for deciding eligibility, services provided, and all related procedures. 42 C.F.R. § 430.0. The agency must act in compliance with federal statutes and regulations. Id. Generally, pursuant to the federal Medicaid statute, if prescription drug coverage is terminated, suspended, or reduced, recipients are entitled to timely and adequate notice indicating the change in their drug coverage and to an opportunity for a hearing to contest the change. 42 U.S.C. § 1396a(a)(3); 42 C.F.R. § 435.919.

The District of Columbia administers its Medicaid program through DHCF. 42 U.S.C. § 1396a(a)(4)-(5). The District has established an electronic claims management system in order to facilitate the processing of Medicaid claims for prescription drugs. The system notifies a participating pharmacy with “real time eligibility verifications” of the Medicaid claims. 42 U.S.C. § 1396r–8(h).

Plaintiffs each receive Medicaid benefits in the District of Columbia. Compl. ¶¶ 5–9. Plaintiffs suffer from various disabilities including ear infections, diabetes, anxiety and behavioral disorders, asthma, food and environmental allergies, stomach problems, high blood pressure, gout and other discomforts. Id. ¶¶ 44–94. Plaintiffs allege that on various occasions their prescription drug coverage was denied, terminated, reduced, or delayed without written notice or the opportunity for a hearing. Id.

ANALYSIS

A complaint will be dismissed for lack of subject matter jurisdiction, Fed R. Civ. P. 12(b)(1), if “it appears beyond doubt that the plaintiff can prove no set of facts in support of his claim which would entitle him to relief.” See Richardson v. United States, 193 F.3d 545, 549 (D.C.Cir.1999) (internal quotations omitted); see also Bell Atl. Corp. v. Twombly, 550 U.S. 544, 555, 127 S.Ct. 1955, 167 L.Ed.2d 929 (2007) (holding that a complaint shall be dismissed if plaintiff's factual allegations are insufficient to “raise a right to relief above the speculative level”). In order to survive a Rule 12(b)(1) motion, “the plaintiff bears the burden of establishing the factual predicates of jurisdiction by a preponderance of the evidence.” Lindsey v. United States, 448 F.Supp.2d 37, 42 (D.D.C.2006) (quoting Erby v. United States, 424 F.Supp.2d 180, 182 (D.D.C.2006)). Further, although a complaint must be “construed liberally in the plaintiffs' favor, and the court must grant plaintiffs the benefit of all inferences that can be derived from the facts alleged,” Kowal v. MCI Commc'ns Corp., 16 F.3d 1271, 1276 (D.C.Cir.1994), the court need not accept as true “naked assertions devoid of further factual enhancement,” Ashcroft v. Iqbal, 556 U.S. 662, 129 S.Ct. 1937, 1950, 173 L.Ed.2d 868 (2009) (internal quotations omitted), or “legal conclusions cast in the form of factual allegations,” Kowal, 16 F.3d at 1276. Simply put, a pleading requires more than just “labels and conclusions.” Iqbal, 129 S.Ct. at 1949 (quoting Twombly, 550 U.S. at 555, 127 S.Ct. 1955).

As such, a plaintiff must demonstrate that he has standing to bring his claim. See U.S. Const. art. III, § 2, cl. 1. A plaintiff's lack of standing is fatal to the court's jurisdiction over the claim. Haase v. Sessions, 835 F.2d 902, 906 (D.C.Cir.1987). To demonstrate standing, a plaintiff must, at a minimum, establish three elements: (1) plaintiff must have suffered an “injury in fact,” an invasion of a legally protected interest; (2) there must be a causal connection between the defendants' actions and the alleged harm; and (3) the injury must be redressable—i.e., the court must be able to remedy the alleged injury. Lujan v. Defenders of Wildlife, 504 U.S. 555, 560–61, 112 S.Ct. 2130, 119 L.Ed.2d 351 (1992). A failure to satisfy any one of the three elements “suffices to defeat standing.” U.S. Ecology, Inc. v. U.S. Dep't of Interior, 231 F.3d 20, 24 (D.C.Cir.2000).

In order to establish injury in fact, a plaintiff must show that there has been a violation of a legally cognizable interest, which is concrete, both qualitatively and temporally, and particularized, that is, the complaining party must be personally injured. Lujan, 504 U.S. at 560, 112 S.Ct. 2130; Whitmore v. Arkansas, 495 U.S. 149, 155, 110 S.Ct. 1717, 109 L.Ed.2d 135 (1990).¹ In particular, the injury must be either actual or imminent and must not be based upon conjecture or hypotheticals. Lujan, 504 U.S. at 564, 112 S.Ct. 2130. Thus, where there is no actual harm, imminence—a “high degree of immediacy”—must be established. Id. at 564 n. 2, 112 S.Ct. 2130. Imminence ensures that the injury is not overly speculative. Id. While, imminence is more of an “elastic concept” than actual harm, it “cannot be stretched beyond its purpose,” ensuring that the injury is “certainly impending.” Id. Thus, the injury cannot occur at “some indefinite time in the future.” Id.

In addition, our Circuit Court has held that “general emotional ‘harm,’ no matter how deeply felt, cannot suffice for injury-in-fact for standing purposes.” Humane Soc'y v. Babbitt, 46 F.3d 93, 98 (D.C.Cir.1995). Similarly, other circuits have limited the circumstances in which injury may be the result of specific emotional harms, such as fear or anxiety. See Central & South West Servs., Inc. v. E.P.A., 220 F.3d 683, 701 (5th Cir.2000) (holding that “subjective fears” in a “speculative string of events” are not injury in fact); Bronson v. Swensen, 500 F.3d 1099, 1107 (10th Cir.2007) (holding that a threat must be “real and immediate,” as well as “objectively justified”); Baker v. Prop. Investors of Conn., 338 F.Supp.2d 321, 327 (D.Conn.2004) (finding that anxiety and inconvenience do not constitute actual or imminent harm).

The injury in fact requirement ensures that a plaintiff has a “personal stake in the outcome of the controversy as to warrant ... federal-court jurisdiction” and to justify a court-imposed remedy. Warth v. Seldin, 422 U.S. 490, 498, 95 S.Ct. 2197, 45 L.Ed.2d 343 (1975) (quotations omitted). This burden, therefore, must be met whether a plaintiff alleges a violation of a procedural right or a substantive right. See Lujan, 504 U.S. at 573 n. 8, 112 S.Ct. 2130.

In addition to establishing injury in fact, a plaintiff must also show causation. Id. at 560, 112 S.Ct. 2130. Causation “examines whether it is substantially probable that the challenged acts of the defendant ... will cause the particularized injury of the plaintiff.” Florida Audubon Soc'y v. Bentsen, 94 F.3d 658, 663 (D.C.Cir.1996). Thus, a plaintiff must show that the alleged injury is “fairly traceable to the challenged action of the defendant.” Lujan, 504 U.S. at 560, 112 S.Ct. 2130 (quotations omitted). In particular, the injury cannot be “the result of the independent action of some third party not before the court.” Id. Indeed, a plaintiff “must show that the [defendant's] action is more than only one of the many factors whose relative influence may affect the third parties' behavior.” Cmty. for Creative Non–Violence v. Pierce, 814 F.2d 663, 669 (D.C.Cir.1987); Tozzi v. H.H.S., 271 F.3d 301, 308 (D.C.Cir.2001) (the defendant's actions must be a “substantial factor motivating the third parties' actions” against the plaintiff) (quoting Creative Non–Violence, 814 F.2d at 669). In other words, there is no causation when “the injury depends ... on independent intervening or additional causal factors.” Fulani v. Brady, 935 F.2d 1324, 1329 (D.C.Cir.1991).

Finally, a plaintiff must allege facts showing that it is “ ‘likely,’ as opposed to merely ‘speculative, that the injury will be redressed by a favorable decision.’ ” Lujan, 504 U.S. at 561, 112 S.Ct. 2130 (quoting Simon v. Eastern Ky. Welfare Rts. Org., 426 U.S. 26, 41–42, 96 S.Ct. 1917, 48 L.Ed.2d 450 (1976)). “Redressability examines whether the relief sought, assuming that the court chooses to grant it, will likely alleviate the particularized injury alleged....” Florida Audubon Soc'y, 94 F.3d at 663–64. Simply put, the court must be able to remedy the alleged injury.

Here, plaintiffs have failed to establish any of the elements of standing. As an initial matter, in many of the...