No. 21-233

Mike Finnin Motors, Inc., et al. v. United States, et al.

Lower Court: Federal Circuit
Docketed: 2021-08-17
Status: Denied
Type: Paid
Tags: bankruptcy civil-procedure direct-takings due-process economic-valuation federal-defense property-rights regulatory-takings supreme-court-precedent takings takings-liability
Latest Conference: 2021-12-10
Related Cases: 21-244 (Vide)
Question Presented (from Petition)

During the liquidity crisis of 2008-09, the United States determined the public interest required Chrysler and General Motors because they were too important to fail. Believing each would be more profitable with fewer dealers, the Government restructuring plans required the confiscation of large numbers of General Motors and Chrysler dealer franchises. branded vehicles, parts, and service in exclusive territories were terminated and gifted to other dealers who the Government assumed would operate more productively, thereby benefitting the public. Believing state laws prohibited those dealership terminations without compensation, the Government executed a bankruptcy strategy to circumvent paying for the dealerships being taken while concomitantly blocking dealers from purchasing each other in the free market. The Court of Federal compensated property seizure on two grounds: that the Chrysler less because their franchise contracts would have been rejected in bankruptcy if the Government had not intervened during the liquidity crisis and that the Government was not legally responsible for the actions of Chrysler. The Federal Circuit affirmed the former and declined to address the latter.

THE CENTRAL QUESTIONS PRESENTED ARE:

1. Whether the novel Federal defense to takings liability conflicts with , 568 U.S. 23 (2012) (categorical defenses are barred in takings cases), , 576 U.S. 351 (2015)(hypothetical analysis is not permitted to bar takings liability), , 438 U.S. 104 (1978) (balancing factors are required in regulatory takings cases), and , 535 U.S. 302 (2002) (regulatory takings requirements may not be imported into direct takings cases), as reiterated in , 210 L.Ed.2d 369 (2021)?

2. Whether the dismissal of the direct takings claims that were not even defended by the Government on a ground it never raised departs so far from the accepted and usual course of judicial proceedings that the exercise visory power is justified because it contradicts the controlling precedents of - 140 S.Ct. 1575 (2020) (party presentation rule), , 547 U.S. 198 (2006) (entitlement to be heard before a court rules upon defenses it injected for the Government), and , 137 S.Ct. 1933 (2017) (fairness is required in takings cases)?

3. Whether the affirmance of the economic valuation decisions conflicts with the holding of , 139 S.Ct. 1652 (2019) (franchisee rights are not rendered worthless by rejection in bankruptcy) and , 338 U.S. 1 (1949) (proof of fair market value is not required in cases of economic emergency)?

Question Presented (AI Summary)

Whether the novel Federal Circuit 'but for' defense to takings liability conflicts with precedents

Docket Entries

2021-12-13
Petition DENIED.
2021-11-23
DISTRIBUTED for Conference of 12/10/2021.
2021-11-16
Reply of petitioners Mike Finnin Motors, Inc., et al. filed.
2021-11-05
Brief of respondent United States in opposition filed.
2021-10-12
Motion to extend the time to file a response is granted and the time is further extended to and including November 5, 2021.
2021-10-08
Motion to extend the time to file a response from October 18, 2021 to November 5, 2021, submitted to The Clerk.
2021-09-09
Motion to extend the time to file a response is granted and the time is extended to and including October 18, 2021.
2021-09-08
Motion to extend the time to file a response from September 16, 2021 to October 18, 2021, submitted to The Clerk.
2021-08-11
Petition for a writ of certiorari filed. (Response due September 16, 2021)

Attorneys

Mike Finnin Motors, Inc., et al.
Harry W. Zanville — Petitioner
United States
Elizabeth B. PrelogarSolicitor General, Respondent