United States v. Rutland

• Decision Date: 22 January 2013
• Docket Number: No. 11–8049.,11–8049.
• Citation: 705 F.3d 1238
• Parties: UNITED STATES of America, Plaintiff–Appellee, v. Terrence RUTLAND, Defendant–Appellant.
• Court: U.S. Court of Appeals — Tenth Circuit

705 F.3d 1238

UNITED STATES of America, Plaintiff–Appellee,

v.Terrence RUTLAND, Defendant–Appellant.

No. 11–8049.

United States Court of Appeals, Tenth Circuit.

Jan. 22, 2013.

Megan L. Hayes, Corthell and King, P.C., Laramie, WY, for Appellant.

Jason M. Conder, Assistant United States Attorney (Christopher A. Crofts, United States Attorney, and Stephanie I. Sprecher, Assistant United States Attorney, Casper, WY, with him on the brief) Lander, WY, for Appellee.

Before O'BRIEN, EBEL, and TYMKOVICH, Circuit Judges.

TYMKOVICH, Circuit Judge.

Does the operation of a drug business out of your home involve interstate commerce? In this case, Terrence Rutland was convicted in federal district court on robbery, narcotics, and firearm charges. Rutland contends his federal conviction for robbery and use of a firearm during a violent felony are invalid, arguing that the robbery of a drug dealer at his home did not interfere with interstate commerce because the dealer was not engaged in a business. Rutland also claims the district court erred by admitting numerous out-of-court statements as coconspirator statements when there was insufficient evidence of a conspiracy.

We conclude a drug dealer's home business is part of interstate commerce, and the jurisdictional provisions of the Hobbs Act, 18 U.S.C. § 1951, apply to Rutland's crimes. We also find no reversible error in the district court's evidentiary rulings. Accordingly, exercising jurisdiction pursuant to 28 U.S.C. § 1291, we AFFIRM Rutland's convictions.

I. Background

Charles Jerabek, a drug trafficker in Rock Springs, Wyoming, was robbed in his home of cash, drugs, a gun, and a few other personal items. He did not initially report the robbery to authorities. But a few months after the robbery, Jerabek was arrested in connection with a methamphetamine trafficking investigation and began cooperating with the authorities. Jerabek informed the police of the robbery at this time. Rutland soon became a suspect in the robbery.

Following further investigation, numerous individuals in Rock Springs, including Rutland, were arrested and charged in connection with the meth trafficking investigation. Rutland was charged with (1) conspiracy to possess with intent to distribute, and to distribute, methamphetamine, 21 U.S.C. §§ 841 & 846 (Count One); (2) interference with commerce by threats or violence (the robbery charge), 18 U.S.C. § 1951 (Count Two); (3) carryinga firearm during a drug trafficking crime, 18 U.S.C. § 924(c)(1) (Count Three); and (4) use of a firearm during a crime of violence, 18 U.S.C. § 924(c)(1) (Count Four). In the conclusion to his opening brief, Rutland requests that we remand his case for a new trial on Counts One and Three, but this is the only time he mentions a challenge to these convictions. Because the only arguments Rutland raises on appeal pertain to Counts Two and Four, we do not review the propriety of his narcotics convictions.

The evidence against Rutland on the robbery charge consisted almost entirely of the testimony of numerous eyewitnesses and acquaintances. Much of the testimony was conflicting, and, as Rutland's counsel established during trial, many of the government's witnesses were also facing charges and had entered plea agreements with the prosecution in exchange for their testimony. That testimony tended to establish the following.

Jerabek, a meth dealer in Rock Springs, was at his home using drugs several days before Christmas in December, 2008. Very early in the morning, between 2:30 a.m. and 5:00 a.m., Jerabek heard someone kick in his front door. He confronted the intruder, who was wearing a bandanna over his face and carrying a pistol. The intruder yelled, “Where is it?” and then either hit Jerabek with his gun, which caused it to discharge into the wall, or shot Jerabek, grazing the side of his head. R., Vol. 3, at 221. In either case, Jerabek suffered a head injury and lost consciousness. The robber then took a significant quantity of cash and drugs, a gun, and a few other items and fled.

Jerabek did not report the robbery to police or seek treatment for his head injury because he feared the authorities would discover his meth trafficking. He was unable to leave his house for several weeks because he experienced dizziness and other symptoms resulting from his injury. As a result, he could not obtain drugs to sell, and was unable to operate his drug business for roughly two months.

Witness testimony revealed that a number of individuals associated with the Rock Springs meth trade discussed robbing Jerabek in the months prior to the incident. These discussions started when John McIntosh, the brother of Rutland's girlfriend, complained to David Burnett, another meth dealer and a competitor of Jerabek's, that Jerabek had McIntosh's gun. McIntosh had sold the gun to Jerabek but now wanted it back. Burnett also harbored a grudge against Jerabek, after Jerabek sold him low-quality drugs and borrowed money from him without repaying it. Burnett offered to help McIntosh repurchase the gun, but Jerabek refused to return it.

McIntosh and Rutland, who sold drugs for Burnett and also was his roommate, decided they would retrieve McIntosh's gun by force. They went to Jerabek's house but called off their plan when they found Jerabek's girlfriend, Laurie Hundley, there with Jerabek. After this aborted attempt, Rutland, McIntosh, Burnett, and another acquaintance, Daniel O'Connell, continued to discuss robbing Jerabek to retrieve McIntosh's gun, and possibly other items.

Michael Medved, the son of Jerabek's girlfriend, overheard some of these conversations. Medved once purchased drugs from Jerabek but began buying from Burnett after he and Jerabek had a disagreement. Medved asked the men to warn him before they robbed Jerabek so he could remove his mother from Jerabek's house.

The day of the robbery, Rutland, Rutland's girlfriend, and Burnett were discussing the crime. Rutland told Burnett he was going to do it. Burnett offered to help him, but eventually went elsewhere.

Also the day of the robbery, either Rutland or Burnett called Medved and told him “tonight's the night.” R., Vol. 3, at 376–77. Medved then arranged to take his mother to visit friends in a nearby town. He dropped her off there and then left about 4 a.m., returning to his girlfriend's apartment in Rock Springs.

Early the next morning, Burnett was awoken by Rutland, who told Burnett he had robbed and possibly shot Jerabek. Burnett told Rutland he could not stay with him, and then called O'Connell, who helped Rutland find a hotel room. Burnett then found Medved and told him what had happened. He also told Medved that Rutland would pay him to keep quiet about the robbery. Rutland later gave Medved $2000 in cash.

Later that day, Burnett, Rutland, Medved, and several others convened in Rutland's hotel room. Ricky Campbell, a friend of Rutland's, arrived and gave Rutland a gun. After the robbery, Rutland had thrown his gun into a snowdrift and later asked Campbell to retrieve it. Rutland then asked Jesse Winner, another of Burnett's meth dealers, to dispose of several bags containing the gun, the clothes Rutland wore during the robbery, and a few other things taken from Jerabek, including a photo album. Winner later burned these bags in his backyard.

Rutland then told Burnett he was going to leave town for a while. He gave Burnett the cash and drugs he had stolen from Jerabek for safekeeping. Burnett claimed he received $24,000 in cash and about half a pound of meth from Rutland. Rutland was later apprehended and charged for crimes arising from his involvement in the robbery, as well as his participation in Burnett's meth trafficking operation.

At trial, the testimony pertaining to Jerabek's robbery included numerous out-of-court statements. Rutland objected to these statements as hearsay. The district court provisionally admitted them as coconspirator statements pursuant to Federal Rule of Evidence 801(d)(2)(E) after the government claimed it would introduce evidence establishing the existence of a drug conspiracy and a conspiracy to rob Jerabek.¹ The court later found the existence of both conspiracies had been established, although it did not identify which specific pieces of evidence supported its finding or which statements were admissible pursuant to which conspiracy.

II. Discussion

On appeal, Rutland argues the district court lacked jurisdiction to prosecute him for robbery. Rutland was prosecuted under the Hobbs Act, 18 U.S.C. § 1951, which makes it a federal crime to interfere with interstate commerce by force or threats. Rutland argues there was an insufficient nexus between Jerabek's robbery and interstate commerce to support his Hobbs Act conviction.

We review de novo whether Rutland's robbery satisfies the jurisdictional prerequisites of the Hobbs Act. United States v. Buffey, 899 F.2d 1402, 1407 (4th Cir.1990). To the extent Rutland challenges the sufficiency of the evidence supporting the jury's verdict that he is guilty of a Hobbs Act offense, we still review the verdict de novo but construe the evidence and all reasonable inferences therefrom in the light most favorable to the government. United States v. Caldwell, 589 F.3d 1323, 1328 (10th Cir.2009).

Rutland also challenges the district court's decision to admit numerous out-of-court statements. He argues there was insufficient evidence to establish the existence of a conspiracy to rob Jerabek and contends the statements were not admissible pursuant to any other exception to the hearsay rule.

We review the district court's decisions admitting or excluding evidence for an abuse of discretion. United States v. Parra, 2 F.3d 1058, 1068 (10th Cir.1993). We review any findings of fact underlying these decisions, such as whether a conspiracy existed or whether certain statements were made in furtherance of the conspiracy, for clear error. United States v. Lopez–Gutierrez, 83 F.3d 1235, 1242 (10th Cir....