PATRICIA E. CAMPBELL-SMITH, Chief District Judge.
On February 20, 2015, Irish Oxygen Company (Irish Oxygen) filed a Notice of Motion and Motion to Intervene (motion, motion to intervene, or Mot. to Intervene), ECF No. 26, Memorandum of Law in Support (Mem.), ECF No. 26-1, and Affidavit in Support, ECF No. 26-2, seeking intervention as of right under Rule 24(a)(2) of the Rules of the Court of Federal Claims (RCFC), or alternatively, a permissive intervention under RCFC 24(b)(1)(B).
Finding Irish Oxygen to be entitled to intervene as a matter of right, the court granted its motion on February 27, 2015. ECF No. 30. Shortly thereafter, on March 2, 2015, plaintiff filed an Opposition to Irish Oxygen's Motion to Intervene and Motion for Reconsideration of This Court's Order Granting Intervention and Access to an Unredacted Administrative Record (plaintiff's response or Pl.'s Resp.), ECF No. 33.
In order to consider the arguments raised by plaintiff in its opposition, the court struck, by order dated March 3, 2015, its earlier order granting intervention to Irish Oxygen, and took Irish Oxygen's motion and plaintiff's response thereto under advisement for a ruling.
Further to the court's March 3, 2015 order, the court has considered the arguments raised by plaintiff in its opposition to Irish Oxygen's motion. For the reasons discussed more fully below, the court finds that Irish Oxygen is entitled to intervention as a matter of right and
Plaintiff filed a post-award bid protest in this court on December 22, 2014.
On January 9, 2015, defendant timely filed the status report.
On that same day, defendant timely filed the administrative record, ECF No. 12, for which plaintiff filed its first motion to supplement on January 21, 2015, ECF No. 16. Pursuant to the court's order dated January 23, 2015, ECF No. 17, defendant filed an expedited response to plaintiff's motion on January 30, 2015, setting forth its objections to the deposition testimony and certain of the documents sought by plaintiff to be included in the administrative record, through supplementation, ECF No. 18. Concurrently, defendant produced documents which inadvertently had been omitted and sought to add them to the administrative record.
On February 4, 2015, the parties filed a joint status report, in which they reported that the briefing schedule adopted during the initial status conference would be impacted by plaintiff's objections to, and defendant's amendment of, the administrative record.
In response to the parties' requests, the court stayed both the original briefing deadlines established for the parties' cross-motions for judgment on the administrative record and the scheduled oral argument date, pending resolution of plaintiff's various objections to the administrative record.
On February 17, 2015, plaintiff filed a motion to withdraw its request for deposition testimony, seeking instead to supplement the administrative record with "core documents" under paragraph 22 of Appendix C of the RCFC. ECF No. 23. Plaintiff's objections to the administrative record, as detailed in its second motion to supplement, prompted extensive briefing by the parties,
By order dated April 8, 2015, the court resolved the parties' disputes concerning completion of the administrative record.
The court turns now to consider the pending motion for intervention.
The "requirements for intervention are to be construed in favor of intervention."
These requirements are found in Rule 24 of the RCFC. Intervention may be allowed either: (1) as a matter of right under RCFC 24(a); or (2) permissively under RCFC 24(b).
The requirements for an intervention of right are as follows:
R. Ct. Fed. Cl. 24(a).
The requirements for permissive intervention differ:
R. Ct. Fed. Cl. 24(b).
Regardless of whether intervention is sought of right or permissively, the application to intervene must be "timely."
The determination of whether a motion to intervene is timely is informed by the following three factors: (1) the length of time during which the applicants actually knew or reasonably should have known of their rights; (2) whether the prejudice to the rights of existing parties by allowing intervention outweighs the prejudice to the applicants by denying intervention; and (3) the existence of unusual circumstances militating either for or against a determination that the application is timely.
Irish Oxygen seeks intervention of right under RCFC 24(a)(2), or alternatively, a permissive intervention under RCFC 24(b)(1)(B).
Plaintiff argues that Irish Oxygen's motion to intervene should be denied because: (A) the motion is untimely pursuant to RCFC 24(a) and RCFC 24(b); (B) intervention would unduly delay this matter and prejudice plaintiff under RCFC 24(b); and (C) the motion fails to satisfy the notice and pleading requirements set forth in RCFC 24(c). Pl.'s Resp. 2.
Apart from its contention that Irish Oxygen's motion to intervene is untimely, plaintiff does not appear to dispute any of the other requirements governing intervention of right pursuant to RCFC 24(a), specifically that: (1) Irish Oxygen has an interest in the transaction at issue; (2) disposal of this action may impair or impede Irish Oxygen's interests; and (3) defendant may not adequately represent Irish Oxygen's interest.
Based on consideration of the three "timeliness" factors, the court finds Irish Oxygen's motion to intervene to be timely.
As to the first factor, the parties do not dispute, and the court agrees, that Irish Oxygen "knew or reasonably should have known" about this action for approximately two months before moving to intervene.
With respect to the second factor, plaintiff does not dispute that Irish Oxygen would be prejudiced if intervention is denied. Instead, the parties dispute whether, and the extent to which, plaintiff would suffer prejudice as a result of allowing Irish Oxygen to intervene at this juncture.
Irish Oxygen contends that the prejudice resulting from a denial of intervention weighs in its favor, and asserts that "[g]iven the relatively early stage of this matter, the parties [would] not be prejudiced by Irish Oxygen's intervention." Mem. 4.
Plaintiff, on the other hand, argues that allowing Irish Oxygen to intervene "would create additional delay that would be prejudicial" to it. Pl.'s Reply 4. Plaintiff indicates that further delay in the proceedings would occur because plaintiff would require time to redact confidential pricing information from the administrative record to accommodate the sought intervention.
The court is not persuaded by plaintiff's arguments about such prejudicial delay.
First, the Protective Order now in place renders any redaction by the parties during the course of the proceedings as unnecessary.
Second, as plaintiff points out, the matter of "[t]imeliness must be considered in the context of the proceedings."
Moreover, because Irish Oxygen was awarded "a significant portion of the sealed bid contract at issue" in the challenged procurement, Mot. to Intervene ¶ 2, the court finds that the rights of Irish Oxygen would be prejudiced if intervention is not allowed. The court further finds that any prejudice to plaintiff, by allowing intervention, is far outweighed by the prejudice to Irish Oxygen if intervention is denied.
As to the third factor regarding "timeliness," the court is not persuaded by the arguments set forth by plaintiff in its opposition, which are supported only by plaintiff's misplaced reliance on
In
Unlike the proposed intervenor in that case, Irish Oxygen is not seeking to intervene on the eve of oral argument for the limited purpose of seeking to amend the administrative record. Nor would allowing Irish Oxygen to intervene—at this stage of the proceedings—require a rescheduling of the parties' cross-motions for judgment on the administrative record, as intervention in
Rather, the court finds that the circumstances in this case weigh in favor of intervention. In the case at bar, it is plaintiff's requests to supplement, and defendant's inadvertent omissions from, the administrative record that have prompted delays in the parties' briefing for judgment on the record.
Of note, the extent to which Irish Oxygen's interests would be affected by this proceeding did not become clear until defendant clarified, in its filed status report, how many contracts would remain with the incumbent contractor, plaintiff in this case, rather than transition to any awardee—to include Irish Oxygen—until the resolution of the bid protest.
Based on the foregoing, the court finds that the circumstances in this case counsel in favor of allowing Irish Oxygen to intervene as a matter of right.
Because the court has determined that Irish Oxygen is entitled to intervene as a matter of right pursuant to RCFC 24(a), the court need not address plaintiff's arguments against permissive intervention.
Plaintiff asserts that "it is proper for this [c]ourt to deny Irish Oxygen's [m]otion to [i]ntervene on the basis that Irish Oxygen failed to attach the pleading required by RCFC 24(c)." Pl.'s Resp. 7. Plaintiff points to the notice and pleading requirements for a motion to intervene under RCFC 24(c)—in particular, that "[t]he motion [to intervene] must state the grounds for the intervention and
The requirements governing the time for presenting defenses and objections contained in responsive pleadings are set forth in RCFC 12(a)(1). That rule provides,
But the notice and pleading requirements under RCFC 24(c) to which plaintiff adverts here must be viewed in concert with the requirements for responsive pleadings that are imposed on defendant in the bid protest context. The rules governing "Motions for Judgment on the Administrative Record" are set forth in RCFC 52.1(c). Subpart 3 of that provision, which addresses the "Effect of a Motion [for Judgment on the Administrative Record," states that "[u]nless otherwise provided by order of the court, a motion under this rule for judgment on the administrative record
Thus, while RCFC 24(c) requires "a pleading that sets out the claim or defense for which intervention is sought," the requirements are modified when the parties are proceeding on a motion for judgment on the administrative record. Specifically, RCFC 52.1(c)(3) eliminates the need to file an answer under RCFC 12(a)(1). Thus, defendant in this case has not filed an answer to plaintiff's complaint, and the court declines to impose a greater responsive pleading requirement on Irish Oxygen, the defendant-intervenor, than the rules have imposed on defendant itself.
The court finds that Irish Oxygen is entitled to intervene as a matter of right and accordingly
IT IS SO ORDERED.