Justia U.S. 4th Circuit Court of Appeals Opinion Summaries

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In a contract dispute between BAE and Korea, BAE sought a declaratory judgment that it had not breached any contractual obligation to Korea and a permanent injunction barring Korea from prosecuting its suit against BAE in Korean courts. The Fourth Circuit affirmed the district court's grant of BAE's requested declaration, but refused to issue a permanent injunction. The court held that the BAE-Korea agreement's permissive forum selection clause provided no basis for dismissing this action; Korea was not immune from suit under the Foreign Sovereign Immunities Act; the Foreign Military Sales (FMS) structure shields a U.S. contractor, such as BAE, from liability; enforcement of the BAE-Korea agreement would undermine the control the United States retained in all FMS transactions over price; because the U.S. government retained control over price in an FMS transaction, a foreign state generally has no cause of action — against anyone — if the price demanded by the U.S. government increases over time; and the district court did not abuse its discretion in denying BAE's petition for a permanent anti-suit injunction. Accordingly, the court affirmed the judgment. View "BAE Systems Technology v. Republic of Korea's Defense Acquisition Program Admin." on Justia Law

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The Fourth Circuit vacated defendant's conviction for possession with intent to distribute methamphetamine and remanded for further proceedings. On appeal, defendant challenged the district court's denial of his motion to suppress evidence recovered from a dog sniff conducted after an already-completed traffic stop. The court held that the police officer had neither defendant's consent to extend the traffic stop nor a reasonable, articulable suspicion of ongoing criminal activity to justify doing so. Consequently, the prolonged traffic stop abridged defendant's right under the Fourth Amendment to be free of unreasonable seizures. View "United States v. Bowman" on Justia Law

Posted in: Criminal Law
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Intervening defendants could not be required to pay a portion of prevailing plaintiffs' attorneys fees and costs, awarded under 42 U.S.C. 1988(b) and 52 U.S.C. 10310(e), when intervening defendants were not charged with any wrongdoing and could not be held liable for the relief that plaintiffs sought. In Independent Federation of Flight Attendants v. Zipes, 491 U.S. 754 (1989), the Supreme Court precluded the assessment of attorneys fees and costs against intervenors who were "blameless," meaning that they were not charged as wrongdoers and legal relief could not have been obtained from them. In this racial gerrymandering case, the Fourth Circuit held that Zipes was controlling and that the Commonwealth could not be held liable for attorneys fees and costs incurred by plaintiffs in litigating against the entry of Intervening Congressmen or against Intervening Congressmen's positions. Under the traditional American rule, plaintiffs must bear those intervention-related fees. Accordingly, the court vacated the district court's order awarding attorneys fees and costs, remanding for reconsideration of plaintiffs' petitions for fees. View "Brat v. Personhuballah" on Justia Law

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The Fourth Circuit reversed the district court's denial of post-conviction relief and remanded for resentencing. The court held that defendant's prior conviction for South Carolina involuntary manslaughter did not qualify as a violent felony under the Armed Career Criminal Act (ACCA), 18 U.S.C. 924(e). In this case, South Carolina involuntary manslaughter sweeps more broadly than the physical force required under the ACCA's force clause. View "United States v. Middleton" on Justia Law

Posted in: Criminal Law
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The Fourth Circuit vacated the district court's dismissal of plaintiff's claim that PDR Network violated the Telephone Consumer Protection Act (TCPA), 47 U.S.C. 227, by sending unsolicited advertisement by fax. Plaintiff argued that the district court erred in declining to defer to a 2006 Rule promulgated by the FCC that interpreted some provisions of the TCPA. Plaintiff specifically contended that the Hobbs Act, 28 U.S.C. 2342 et seq., required the district court to defer to the FCC's interpretation of the term "unsolicited advertisement." Furthermore, plaintiff claimed that the district court erred by reading the rule to require that a fax have some commercial aim to be considered an advertisement. The court held that the Hobbs Act deprived district courts of jurisdiction to consider the validity of orders like the 2006 FCC Rule, and that the district court's reading of the 2006 FCC Rule was at odds with the plain meaning of its text. View "Carlton & Harris Chiropractic, Inc. v. PDR Network, LLC" on Justia Law

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The Fourth Circuit vacated the district court's dismissal of plaintiff's claim that PDR Network violated the Telephone Consumer Protection Act (TCPA), 47 U.S.C. 227, by sending unsolicited advertisement by fax. Plaintiff argued that the district court erred in declining to defer to a 2006 Rule promulgated by the FCC that interpreted some provisions of the TCPA. Plaintiff specifically contended that the Hobbs Act, 28 U.S.C. 2342 et seq., required the district court to defer to the FCC's interpretation of the term "unsolicited advertisement." Furthermore, plaintiff claimed that the district court erred by reading the rule to require that a fax have some commercial aim to be considered an advertisement. The court held that the Hobbs Act deprived district courts of jurisdiction to consider the validity of orders like the 2006 FCC Rule, and that the district court's reading of the 2006 FCC Rule was at odds with the plain meaning of its text. View "Carlton & Harris Chiropractic, Inc. v. PDR Network, LLC" on Justia Law

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The Fourth Circuit reversed the district court's order granting Norfolk Southern's motion to confirm an arbitration award. The court held that the award was not mutual, final, and definite as required by the Federal Arbitration Act (FAA). In this case, the district court erred in finding that the Majority Decision was a final arbitration award where the third appraiser reserved the right to withdraw his assent if his assumptions proved to be incorrect. The court noted that the district court did not err in confirming the Majority Opinion because of an ambiguity rendering it unenforceable and the third appraiser did not base his decision on an improper reason. Accordingly, the court remanded for further proceedings. View "Norfolk Southern Railway Co. v. Sprint Communications Co." on Justia Law

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The Fourth Circuit reversed the district court's order granting Norfolk Southern's motion to confirm an arbitration award. The court held that the award was not mutual, final, and definite as required by the Federal Arbitration Act (FAA). In this case, the district court erred in finding that the Majority Decision was a final arbitration award where the third appraiser reserved the right to withdraw his assent if his assumptions proved to be incorrect. The court noted that the district court did not err in confirming the Majority Opinion because of an ambiguity rendering it unenforceable and the third appraiser did not base his decision on an improper reason. Accordingly, the court remanded for further proceedings. View "Norfolk Southern Railway Co. v. Sprint Communications Co." on Justia Law

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In these appeals arising from the dismissal of a securities fraud class action complaint, the complaint alleged that the Company conjured up and carried out a scheme that enabled surgeons to utilize the AxiaLIF system and secure fraudulent reimbursements from various health insurers and government-funded healthcare programs. In regard to appeal No. 15-2579, the Fourth Circuit held that the Complaint satisfied the misrepresentation and scienter elements of the section 10(b) claim of the Securities Exchange Act. Therefore, the court vacated the district court's ruling holding otherwise. In regard to appeal No. 16-1019, the court affirmed the district court's ruling that the complaint sufficiently alleged the loss causation element. The court remanded for further proceedings. View "Singer v. Reali" on Justia Law

Posted in: Securities Law
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In these appeals arising from the dismissal of a securities fraud class action complaint, the complaint alleged that the Company conjured up and carried out a scheme that enabled surgeons to utilize the AxiaLIF system and secure fraudulent reimbursements from various health insurers and government-funded healthcare programs. In regard to appeal No. 15-2579, the Fourth Circuit held that the Complaint satisfied the misrepresentation and scienter elements of the section 10(b) claim of the Securities Exchange Act. Therefore, the court vacated the district court's ruling holding otherwise. In regard to appeal No. 16-1019, the court affirmed the district court's ruling that the complaint sufficiently alleged the loss causation element. The court remanded for further proceedings. View "Singer v. Reali" on Justia Law

Posted in: Securities Law