Justia Government & Administrative Law Opinion Summaries
Articles Posted in Aviation
National Power Corp. v. Federal Aviation Administration
National manufactures battery packs, including the lithium battery packs at issue (Batteries), which were regulated as hazardous materials. A Federal Aviation Administration agent inspected National’s Chicago facility and discovered that National made 11 air shipments of the Batteries to customers in California and Canada that did not comply with multiple hazardous material regulations (HMRs). The FAA filed a complaint. National’s vice president testified that he believed, without supporting evidence, the Batteries were exempt from testing because they were similar to previously tested batteries. The shipping papers indicated that each shipments conformed tp the International Civil Aviation Organization’s Technical Instructions for the Safe Transport of Dangerous Goods. National’s office manager, certified each shipment, but her hazardous materials training was Department of Transportation specific and did not include training on the ICAO Technical Instructions. Because the Batteries were untested lithium batteries, they should have been packed according to the more stringent standards. An ALJ found that National knowingly violated the HMRs. The FAA assessed a civil penalty of $66,000 based on 49 U.S.C. 5123(c). The Seventh Circuit denied a petition for review. A reasonable person in National’s position would have been aware of its violations; the penalty was within statutory limits, and rationally related to National’s multiple offenses View "National Power Corp. v. Federal Aviation Administration" on Justia Law
Connors v. United States
The Aviation and Transportation Security Act, 49 U.S.C. 44935 note, commits the termination of the employment of TSA screeners to the unreviewable discretion of the TSA Administrator. The Second Circuit held that the district court lacked subject matter jurisdiction to review the termination decisions pursuant to the Administrative Procedure Act (APA), 5 U.S.C. 701(a). Therefore, the court affirmed the dismissal of the complaint in this case seeking judicial review of the employment termination of a screening officer employed by the TSA. View "Connors v. United States" on Justia Law
United Airlines, Inc. v. TSA
Petitioner sought refunds from TSA for overpayments it made to TSA that related to fees charged to airline passengers that fund aviation security expenses and were to be remitted to TSA. TSA conducted an informal adjudication and refused to consider the refund request. The DC Circuit rejected the notion that petitioners' request for a refund was a tardy effort to reopen an audit. Putting aside the audit as irrelevant, there still remained the question of whether it was arbitrary and capricious for the Under Secretary to refuse to pay a refund, as he was statutorily authorized—but not commanded—to do. Accordingly, the court remanded to TSA for further proceedings. View "United Airlines, Inc. v. TSA" on Justia Law
Taylor v. Huerta
The FAA's Registration Rule requires the owners of small unmanned aircraft operated for recreational purposes (model aircraft) to register with the FAA. Advisory Circular 91-57A announced that model aircraft would be subject to certain flight restrictions in the Washington, D.C., area. The DC Circuit granted the petition for review in this case, vacating the Registration Rule to the extent it applies to model aircraft because Section 336(a) of the FAA Modernization and Reform Act, 49 U.S.C. 40101 note, states that the FAA "may not promulgate any rule or regulation regarding a model aircraft." The DC Circuit held that petitioner's challenge to the Advisory Circular was untimely and petitioner did not have reasonable grounds for the late filing. View "Taylor v. Huerta" on Justia Law
Air Evac EMS, Inc. v. State of Texas, Department of Insurance
Air Evac filed suit against state defendants, claiming that, as applied to air-ambulance entities, Texas' workers'-compensation system was federally preempted. Air Evac argued that, because the Airline Deregulation Act (ADA), 49 U.S.C. 4173(b)(1), expressly preempted all state laws related to a price, route, or service of an air carrier, Texas may not use state laws to regulate air-ambulance services. The district court granted state defendants' motion to dismiss under Rule 12(b)(1). The court concluded that Air Evac had Article III standing because it had a pecuniary injury that could be redressed with injunctive and declaratory relief; Shaw v. Delta Air Lines, Inc. conferred federal-question jurisdiction because Air Evac's complaint sought injunctive relief on the basis that the ADA preempted Texas law; the Ex parte Young exception applied to this case where, to the extent Ex parte Young required that the state actor "threaten" or "commence" proceedings to enforce the unconstitutional act, state defendants' pervasive enforcement satisfied that test; and the court declined to exercise abstention under Colorado River Water Conservation District v. United States. Accordingly, the court vacated and remanded for further proceedings. View "Air Evac EMS, Inc. v. State of Texas, Department of Insurance" on Justia Law
Finch Aerospace Corp. v. City of San Diego
In 1996 Brown Field Aviation Ventures leased space at Brown Field Airport from the City of San Diego under a long-term, master lease agreement. Brown Field Aviation Ventures subleased the space to Bearden Aviation, Inc. (Bearden), and Bearden subleased it to Finch Aerospace Corporation (Finch). Finch occupied the space with three airplane hangars. Lancair Corporation (Lancair) later purchased Bearden's leasehold. In 2005 the City amended and restated the master lease. Finch attempted to enter a new lease directly with the City and remove its hangars from Lancair's leasehold; however, Lancair claimed to own and control the hangars. Finch subsequently filed a complaint against Lancair alleging causes of action for quiet title, declaratory relief, intentional interference with economic advantage, conversion, and retaliatory eviction. The issue this case presented for the Court of Appeal’s review was whether the immunities in Government Code sections 818.8 and 822.2 applied to a slander of title cause of action and, if not, whether Finch otherwise adequately alleged a slander of title cause of action against the City. The Court concluded the immunities in sections 818.8 and 822.2 did not apply to a slander of title cause of action. Furthermore, the Court concluded Finch did not otherwise adequately allege a slander of title cause of action nor did Finch demonstrate it could cure the pleading deficiencies by amendment. Therefore, the trial court did not err in sustaining the City's demurrer to Finch's complaint without leave to amend. View "Finch Aerospace Corp. v. City of San Diego" on Justia Law
Connors v. NTSB
Petitioner seeks review of the NTSB's decision affirming the FAA's order revoking his aircraft registration certificate. After petitioner admitted to the FAA that he used his aircraft to transport marijuana, the FAA revoked his registration certificate because “the aircraft was used to carry out, or facilitate, an activity that is punishable” as a drug-related felony. 49 U.S.C. 44106(b)(1)(A). Separate, state court criminal proceedings against defendant were dismissed after the trial court suppressed the drug evidence found on his plane. The court concluded that, under the statute’s plain language, the proper inquiry is whether the “activity” is “punishable,” not whether the certificate holder is at risk of being punished. In this case, because the activity—transporting marijuana—was punishable as a felony, the court concluded that defendant's certificate was properly revoked even though he may no longer be subject to punishment under state law. Accordingly, the court denied the petition for review. View "Connors v. NTSB" on Justia Law
Friedman v. FAA
Plaintiff, diagnosed with Insulin Treated Diabetes Mellitus (ITDM), seeks the first class medical certificate necessary to serve as a commercial airline pilot. Plaintiff holds a third class medical certificate authorizing him to pilot non-commercial flights in the United States. The FAA contends it did not issue a final order regarding plaintiff's first class medical certificate application; it purportedly ruled solely on his independent request for a third class medical certificate and specifically indicated the first class certificate remained under review. The court concluded, however, that the specific facts presented here establish a constructive denial of plaintiff's application for a first class certificate. The court held that where, as here, an agency has clearly communicated it will not reach a determination on a petitioner’s submission due to petitioner’s recalcitrance but simultaneously refuses to deny the petitioner’s submission on those grounds, it has engaged in final agency action subject to the court’s review. Although plaintiff's case is subject to judicial review, the court noted that there is a complete absence of a relevant administrative record to review. Accordingly, the court remanded to the FAA to offer reasons for its denial of plaintiff's application for a first class medical certificate. View "Friedman v. FAA" on Justia Law
Tulsa Airports Improv. Trust v. FAA
Tulsa Airports Improvement Trust (TAIT) sought reimbursement for amounts it paid to a third-party contractor in furtherance of a noise abatement program funded primarily by grants from the Federal Aviation Administration (FAA). Because its petition for review of agency action was not timely filed, The Tenth Circuit Court of Appeals dismissed the action. View "Tulsa Airports Improv. Trust v. FAA" on Justia Law
Signal Aviation Services, Inc. v. City of Lebanon
Plaintiff Signal Aviation Services, Inc. (Signal) appealed a superior court grant of summary judgment in favor of defendant City of Lebanon (City) in this action by Signal for, among other things, breach of contract. The City cross-appealed a portion of the trial court’s order interpreting the contract. Signal leased 8.91 acres at the Lebanon Municipal Airport (airport) as assignee of a Lease and Operating Agreement (LOA). The City owned the airport and was the lessor under the LOA. The LOA granted Signal the nonexclusive right and obligation to provide fixed based operator (FBO) services at the airport. In granting this nonexclusive right, the City agreed in paragraph 3M(2) of the LOA that “[a]ny other operator of aeronautical endeavors or activities will not be permitted to operate on the Airport under rates, terms [or] conditions which are more favorable than those set forth in this Agreement.” In 2006, the City increased the assessed value of the land leased by Signal, not including the improvements, resulting in a corresponding increase in Signal’s property tax liability. Signal applied for an abatement of taxes for the years 2006 and 2007. The City’s assessors denied abatement, and Signal appealed to the New Hampshire Board of Tax and Land Appeals (BTLA). The BTLA dismissed the appeals because Signal failed to present evidence of the property’s market value. Signal did not appeal that decision, bringing instead this suit, claiming, among other things, breach of contract. Its writ alleged that the City “materially breached its obligations under the [LOA] by providing more favorable and disproportionate tax assessments and taxation schemes under agreements with other entities at the Airport providing commercial aeronautical services there.” After review, the Supreme Court affirmed, having concluded that paragraph 3M(2), so far as it concerned taxation, merely obligated the City to require all other operators to pay all lawfully levied or assessed taxes. View "Signal Aviation Services, Inc. v. City of Lebanon" on Justia Law