Ryan v. Dow Chemical Co.

Decision Date15 November 1991
Docket NumberNo. 79 Civ. 747,89 Civ. 3361 and 90 Civ. 3928,MDL No. 381.,79 Civ. 747
Citation781 F. Supp. 902
PartiesMichael F. RYAN, et al., Plaintiffs, v. DOW CHEMICAL COMPANY, Monsanto Company, Hercules Incorporated, T H Agriculture & Nutrition Company, Inc., Diamond Shamrock Chemicals Company, Uniroyal Inc., and Thompson Chemicals Corporation, Defendants. In re "AGENT ORANGE" PRODUCT LIABILITY LITIGATION. Shirley IVY, et al., Plaintiffs, v. DIAMOND SHAMROCK CHEMICALS COMPANY, et al., Defendants. Ronald L. HARTMAN, et al., Plaintiffs, v. DIAMOND SHAMROCK CHEMICALS COMPANY, et al., Defendants.
CourtU.S. District Court — Eastern District of New York

Robert M. Hager, Washington, D.C., for Ivy plaintiffs.

Kelly L. Newman, Houston, Tex., for Hartman plaintiffs.

Cadwalader, Wickersham & Taft by Michael M. Gordon, New York City, for Diamond Shamrock Chemicals Co.

Clark, Gagliardi & Miller by Morton B. Silberman, White Plains, N.Y., for T.H. Agriculture & Nutrition Co., Inc.

Lord Day & Lord, Barrett Smith by John C. Sabetta, New York City, for Monsanto Co.

Kelley, Drye & Warren by William C. Heck, New York City, for Hercules Inc.

Rivkin, Radler, Bayh, Hart & Kremer by Steven Brock, Uniondale, N.Y., for Dow Chemical Co Shea & Gould by Myron Kalish, New York City, for Uniroyal, Inc.

WEINSTEIN, District Judge:

                                           TABLE OF CONTENTS
                  I. INTRODUCTION ................................................   904
                      A.  Agent Orange Litigation: 1979-1984 .....................   904
                      B.  The Settlement Agreement ...............................   908
                      C.  Dismissal of Opt-Out Claims ............................   908
                      D.  Appeals ................................................   909
                 II.  OPERATION OF THE SETTLEMENT FUND ...........................   909
                      A.  Veteran Payment Program ................................   910
                      B.  Class Assistance Program ...............................   911
                III.  THE PRESENT ACTIONS ........................................   911
                      A.  Hartman I ..............................................   912
                      B.  Ivy and Hartman II .....................................   912
                 IV.  LAW ........................................................   914
                      A.  Subject Matter Jurisdiction ............................   914
                          1.  Adequacy of Notice of Removal ......................   914
                          2.  Court's Retained Jurisdiction ......................   915
                          3.  Court's Power to Enforce Its Injunction ............   916
                          4.  Federal Nature of Plaintiffs' Claims ...............   916
                          5.  Court's Power to Order Removal .....................   918
                      B.  Motion to Dismiss ......................................   918
                  V.  EQUITY .....................................................   918
                 VI.  CONCLUSION .................................................   920
                VII.  APPENDICES
                

Plaintiffs consist of two groups: first, those veterans and family members within the class covered by the Agent Orange class action pending in this court, and second, civilians claiming injury from Agent Orange who were never members of the class. Defendants are the same as those in the class action.

The current suits began as state court actions in Texas. They were removed to the federal court in Texas and then transferred by the Multidistrict Panel to the Eastern District of New York. Plaintiffs now seek to remand their actions to Texas state court for lack of federal subject matter jurisdiction. Defendants move to dismiss plaintiffs' claims or for an injunction prohibiting plaintiffs from continuing their actions.

As explained in this memorandum, the plaintiffs who are members of the Agent Orange class must have their suits dismissed; they are free to share in the proceeds of the class action settlement to the extent they can demonstrate entitlement under the distribution plans being administered by the court. As it pertains to the civilian plaintiffs — who are not members of the class — the plaintiffs' motion to remand raises issues concerning the scope of 28 U.S.C. § 1442(a)(1) that require further consideration. These issues will be addressed in a separate memorandum.

I. INTRODUCTION
A. Agent Orange Litigation: 1979-1984

The current controversy is part of a continuing litigation whose first phase ended in settlement after six years of effort by scores of lawyers and many court officers — special masters, magistrates, and judges. Among the hundreds of published and unpublished decisions, see In re "Agent Orange" Prod. Liab. Litig., 475 F.Supp. 928 (E.D.N.Y.1979) (dismissing federal constitutional and statutory claims, reserving possible federal common law claims, denying motion to limit communications to third parties); In re "Agent Orange" Prod. Liab. Litig., 506 F.Supp. 737 (E.D.N.Y.1979) (finding subject matter jurisdiction on basis of federal common law issues), rev'd, 635 F.2d 981 (2d Cir.1980), cert. denied, 454 U.S. 1128, 102 S.Ct. 980, 71 L.Ed.2d 116 (1981); In re "Agent Orange" Prod. Liab. Litig., 28 Fed.R.Serv.2d (Callaghan) 993 (E.D.N.Y.1980) (granting motion of terminally ill plaintiff to videotape his own deposition); In re "Agent Orange" Prod. Liab. Litig., 506 F.Supp. 750 (E.D.N.Y.1980) (ordering government to refrain from destruction of documents pursuant to internal procedure); In re "Agent Orange" Prod. Liab. Litig., 506 F.Supp. 753 (E.D.N.Y.1980) (various orders concerning modification of complaint and answers); In re "Agent Orange" Prod. Liab. Litig., 506 F.Supp. 754 (E.D.N.Y. 1980) (ordering videotaped deposition); In re "Agent Orange" Prod. Liab. Litig., 506 F.Supp. 756 (E.D.N.Y.1980) (establishing agenda for status conference); In re "Agent Orange" Prod. Liab. Litig., 506 F.Supp. 757 (E.D.N.Y.1980) (requiring plaintiffs to file individual notices to retain right to bring actions against federal government); In re "Agent Orange" Prod. Liab. Litig., 506 F.Supp. 762 (E.D.N.Y. 1980) (dismissing claims against government as third-party defendant, establishing case management plan, conditionally certifying Rule 23(b)(3) class, and denying defendants' motion for summary judgment); In re "Agent Orange" Prod. Liab. Litig., 91 F.R.D. 616 (E.D.N.Y.1981) (establishing committee to review procedures for videotaped depositions); In re "Agent Orange" Prod. Liab. Litig., 91 F.R.D. 618 (E.D.N.Y. 1981) (allowing motion to amend caption, denying motion to amend complaint, denying defendants' motion for summary judgment on "government contractor" defense); In re "Agent Orange" Prod. Liab. Litig., 93 F.R.D. 514 (E.D.N.Y.1982) (allowing defendant to proceed with scheduled destruction of documents); In re "Agent Orange" Prod. Liab. Litig., 534 F.Supp. 1046 (E.D.N.Y.1982) (denying reargument on dismissal of government as third-party defendant, denying interlocutory appeal, provisionally dismissing claims against non-manufacturer defendants, denying motion to form steering committee for plaintiffs' counsel, denying motion for decertification of class, deferring decision on statute of limitations issues, and establishing elements of government contractor defense); In re "Agent Orange" Prod. Liab. Litig., 537 F.Supp. 977 (E.D.N.Y.1982) (provisionally dismissing claims against non-manufacturer defendant); In re "Agent Orange" Prod. Liab. Litig., 94 F.R.D. 173 (E.D.N.Y.1982) (appointing special master to supervise discovery); In re "Agent Orange" Prod. Liab. Litig., 544 F.Supp. 808 (E.D.N.Y.1982) (denying motion to disqualify defense attorneys; provisionally dismissing claims against certain non-manufacturer defendants, and denying motion to implead suppliers); In re "Agent Orange" Prod. Liab. Litig., 95 F.R.D. 191 (E.D.N.Y. 1982) (clarifying that denial of motion to implead suppliers was without prejudice); In re "Agent Orange" Prod. Liab. Litig., 95 F.R.D. 192 (E.D.N.Y.1982) (affirming special master's ruling as to location of depositions); In re "Agent Orange" Prod. Liab. Litig., 96 F.R.D. 578 (E.D.N.Y.1983) (adopting special master's protective order for discovery of government documents); In re "Agent Orange" Prod. Liab. Litig., 96 F.R.D. 582 (E.D.N.Y.1983) (rejecting first amendment challenge to protective order); In re "Agent Orange" Prod. Liab. Litig., 96 F.R.D. 587 (E.D.N.Y.1983) (adopting with modifications special master's order regarding videotaped depositions); In re "Agent Orange" Prod. Liab. Litig., 97 F.R.D. 424 (E.D.N.Y.1983) (adopting protective order); In re "Agent Orange" Prod. Liab. Litig., 97 F.R.D. 424 (E.D.N.Y. 1983) (adopting special master's protective order for Department of Agriculture documents); In re "Agent Orange" Prod. Liab. Litig., 97 F.R.D. 427 (E.D.N.Y.1983) (adopting special master's procedures for discovery of documents possibly subject to executive privilege); In re "Agent Orange" Prod. Liab. Litig., 97 F.R.D. 541 (E.D.N.Y.1983) (denying interlocutory appeal of decision deferring certification of class and determination of appropriate notice); In re "Agent Orange" Prod. Liab. Litig., 97 F.R.D. 542 (E.D.N.Y.1983) (affirming special master's denial of discovery request); In re "Agent Orange" Prod. Liab. Litig., 565 F.Supp. 1263 (E.D.N.Y. 1983) (granting summary judgment for four defendants on government contractor defense; denying summary judgment for other defendants); In re "Agent Orange" Prod. Liab. Litig., 98 F.R.D. 522 (E.D.N.Y. 1983) (adopting order of special master concerning discovery of government documents); In re "Agent Orange" Prod. Liab. Litig., 98 F.R.D. 539 (E.D.N.Y.1983) (adopting special master's order to unseal documents in connection with summary judgment motions); In re "Agent Orange" Prod. Liab. Litig., 98 F.R.D. 554 (E.D.N.Y. 1983) (denying request for reconsideration of order to unseal documents); In re "Agent Orange" Prod. Liab. Litig., 98 F.R.D. 557 (E.D.N.Y.1983) (ordering special master to review discovery decisions in light of court's decision to try causality...

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12 cases
  • Ryan v. Dow Chemical Co.
    • United States
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  • In re "Agent Orange" Product Liability Lit.
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    ... ... In re "AGENT ORANGE" PRODUCT LIABILITY LITIGATION ... Joe Isaacson and Phillis Lisa Isaacson, Plaintiffs, ... Dow Chemical Company, et al., Defendants, ... Daniel Raymond Stephenson, et al., Plaintiffs, ... Dow Chemical Company, et al., Defendants ... Nos. MDL 381, ... v. Stephenson, 539 U.S. 111, 123 S.Ct. 2161, 156 L.Ed.2d 106 (2003) (per curiam); Dow Chemical Co. v. Ryan, 484 U.S. 953, 108 S.Ct. 344, 98 L.Ed.2d 370 (1987); Stephenson v. Dow Chemical Co., 346 F.3d 19 (2d Cir.2003); Stephenson v. Dow Chemical Co., ... ...
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2 books & journal articles
  • Removal jurisdiction and the All Writs Act.
    • United States
    • University of Pennsylvania Law Review Vol. 148 No. 2, December 1999
    • December 1, 1999
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