GREGORY L. FROST, District Judge.
This matter is before the Court for consideration of the following filings:
(1) Plaintiff's Motion for Summary Judgment (ECF No. 4);
(2) Defendant's Motion to Dismiss, Cross-Motion for Summary Judgment, and Opposition to Plaintiff's Motion for Summary Judgment (ECF No. 12);
(3) Plaintiff's Memorandum in Opposition to Defendant's Motion to Dismiss and Defendant's Cross-Motion for Summary Judgment/Plaintiff's Reply Memorandum in Support of its Motion for Summary Judgment (ECF No. 18); and
(4) Defendant's Reply Memorandum in Support of Defendant's Motion to Dismiss and Cross-Motion for Summary Judgment (ECF No. 19).
For the reasons that follow, this Court
Plaintiff, Residential Finance Corporation, is in the residential mortgage financing business. On August 9, 2011, the company filed a Form I-129 petition seeking an H-1B Visa for Geza Rakoczi, a twenty-five-year-old who has lived in the United States since the age of four. Plaintiff wants to employ Rakoczi as a market research analyst, and a successful petition would result in Rakoczi obtaining H-1B status under Section 101(a)(15)(H)(i)(b) of the Immigration and Nationality Act. In other words, Rakoczi would be "an alien... who is coming temporarily to the United States to perform services ... in a specialty occupation." 8 U.S.C. § 1101(a)(15)(H)(i)(b).
Rule 12(b)(1) provides that an action may be dismissed for lack of subject matter jurisdiction. Under the Federal Rules of Civil Procedure, "[p]laintiffs have the burden of proving jurisdiction in order to survive a Rule 12(b)(1) motion...." Weaver v. Univ. of Cincinnati, 758 F.Supp. 446, 448 (S.D.Ohio 1991) (citing Moir v. Greater Cleveland Reg'l Transit Auth., 895 F.2d 266, 269 (6th Cir.1990)). See also Rapier v. Union City Non-Ferrous, Inc., 197 F.Supp.2d 1008, 1012 (S.D.Ohio 2002) (citing McNutt v. General Motors Acceptance Corp. of Indiana, Inc., 298 U.S. 178, 189, 56 S.Ct. 780, 80 L.Ed. 1135 (1936); Rogers v. Stratton Indus., Inc., 798 F.2d 913, 915 (6th Cir.1986)) ("The plaintiff bears the burden of establishing, by a preponderance of the evidence, the existence of federal subject matter jurisdiction").
Motions under Rule 12(b)(1) generally come in two varieties, either facial or factual attacks on the complaint. United States v. Ritchie, 15 F.3d 592, 598 (6th Cir.1994). A facial attack on the subject matter jurisdiction alleged by a complaint merely questions the sufficiency of the pleading. Id. In reviewing such a facial attack, a trial court takes the allegations in the complaint as true, a similar safeguard employed under Rule 12(b)(6) motions to dismiss. Id. On the other hand, when a court reviews a complaint under a factual attack, no presumptive truthfulness applies to the factual allegations. Ohio Nat'l Life Ins. Co. v. United States, 922 F.2d 320, 325 (6th Cir.1990). See also Nat'l Ass'n of Minority Contractors v. Martinez, 248 F.Supp.2d 679, 681 (S.D.Ohio 2002). As a result, this Court may weigh the evidence and resolve any factual disputes when adjudicating such a jurisdictional challenge. United States v. Ritchie, 15 F.3d 592, 598 (6th Cir.1994) (citing Moir, 895 F.2d at 269).
Invoking Rule 12(b)(1), Defendant argues that the Court lacks subject matter jurisdiction on the premise that Plaintiff lacks standing to challenge the denial of the H-1B petition on Rakoczi's behalf. This proposition is contrary to law. Pai v. U.S. Citizenship & Immigration Servs., 810 F.Supp.2d 102, 111-12 (D.D.C.2011) ("stating that numerous courts ... agree (albeit for a variety of reasons) that the petitioner — and not the beneficiary — of a visa application is the proper party with standing to challenge the agency's action"); Morris v. Gonzales, No. 06-4383, 2007 WL 2740438, at *6 (E.D.Pa. Sept. 19, 2007) (explaining that the petitioner is the only party with standing to seek review of the revocation of a visa); Blacher v. Ridge, 436 F.Supp.2d 602, 606 n. 3 (S.D.N.Y.2006) (holding that "the petitioner ... is the only party with standing to seek review of the petition's denial"). Cf. 8 C.F.R. § 103.3(a)(1)(iii)(B) (providing that in an administrative appeal, the affected party "does not include the beneficiary of a visa petition").
Plaintiff has incurred a sufficient injury in fact inflicted by the denial of the petition. The denial of the H-1 B petition
Defendant also argues that the Court should dismiss the complaint on the ground that Plaintiff fails to state a claim under the Little Tucker Act, 28 U.S.C. § 1346(a)(2). That statute provides:
28 U.S.C. § 1346(a)(2). After citing the statute, Defendant states that because Plaintiff neither seeks money damages nor asserts a source of substantive law mandating monetary compensation, Plaintiff has failed to state a claim upon which this Court can grant relief. (ECF No. 12, at 12.)
This odd portion of the briefing invokes Rule 12(b)(6). In assessing whether Plaintiff has set forth a claim upon which this Court can grant relief, the Court must construe the complaint in favor of Plaintiff, accept the factual allegations contained in that pleading as true, and determine whether the factual allegations presents plausible claims. See Bell Atlantic Corp. v. Twombly, 550 U.S. 544, 570, 127 S.Ct. 1955, 167 L.Ed.2d 929 (2007). The Supreme Court has explained, however, that "the tenet that a court must accept as true all of the allegations contained in a complaint is inapplicable to legal conclusions." Ashcroft v. Iqbal, 556 U.S. 662, 129 S.Ct. 1937, 1949, 173 L.Ed.2d 868 (2009). Thus, "[t]hreadbare recitals of the elements of a cause of action, supported by mere conclusory statements, do not suffice." Id. Consequently, "[d]etermining whether a complaint states a plausible claim for relief will ... be a context-specific task that requires the reviewing court to draw on its judicial experience and common sense." Id. at 1950.
To be considered plausible, a claim must be more than merely conceivable. Bell Atlantic Corp., 550 U.S. at 556, 127 S.Ct. 1955; Ass'n of Cleveland Fire Fighters v. City of Cleveland, Ohio, 502 F.3d 545, 548 (6th Cir.2007). What this means is that "[a] claim has facial plausibility when the plaintiff pleads factual content that allows the court to draw the reasonable inference that the defendant is liable for the misconduct alleged." Iqbal, 129 S.Ct. at 1949. The factual allegations of a pleading "must be enough to raise a right to relief above the speculative level...." Twombly, 550 U.S. at 555, 127 S.Ct. 1955. See also
Defendant has failed to direct this Court to any case in which any court has ever applied 28 U.S.C. § 1346(a)(2) as requested in the context of visa denial case. Plaintiff in turn argues that "[b]ecause the Court clearly does have jurisdiction over this action pursuant to 28 U.S.C. § 1331, the fact that it may not also have jurisdiction over this action under 28 U.S.C. § 1346(a)(2) is of no consequence." (ECF No. 18, at 1-2.) Agreeing with Plaintiff (if perhaps not Plaintiff's use of "clearly"), this Court cannot say that Plaintiff has failed to state a plausible claim.
Given the foregoing, the Court
In CDI Information Services, Inc. v. Reno, 278 F.3d 616 (6th Cir.2002), the Sixth Circuit addressed the effect of the Illegal Immigration Reform and Immigrant Responsibility Act of 1996 ("IIRIRA"), Pub.L. No. 104-208, 110 Stat. 3009, on judicial review of the denial of a petition for extension of an alien's H-1B visa. Sua sponte raising the issue of jurisdiction on appeal, the court of appeals held that federal courts lacked subject matter jurisdiction to review that decision based on 8 U.S.C. § 1252(a)(2)(B)(ii). The current version of that statute, which substantively tracks the version upon which the Sixth Circuit relied but also includes the Secretary of Homeland Security, provides:
8 U.S.C. § 1252(a)(2)(B)(ii). The court of appeals reasoned:
CDI Information Services, Inc., 278 F.3d at 619. Notably, the Sixth Circuit held "that section 1252(a)(2)(B)(ii) is not limited
CDI Information Services, Inc. does not preclude jurisdiction here. That case involved 8 U.S.C. § 1184(a)(1) and 8 C.F.R. § 214.1(c)(5), while consideration of the petition at issue here involves 8 U.S.C. § 1184 and 8 C.F.R. § 214.2(h). This is a key point because the language of the regulations involved proves distinguishable so as to preclude application of CDI Information Services, Inc.
8 C.F.R. § 214.2(h)(1)(i) provides:
8 C.F.R. § 214.2(h)(1)(i). Another section of the regulation provides
An H-1B classification may be granted to an alien who:
8 C.F.R. § 214.2(h)(4)(i)(A)(1). Thus, the regulations involved here do not echo CDI Information Services, Inc.'s regulation, which contained an express declaration of discretion. See 8 C.F.R. § 214.1(c)(5) (providing that the "requested extension... may be granted at the discretion of the Service" (emphasis added)). If "may" is interchangeable with "may at the discretion of," then Congress has set forth a statutory scheme in which it sometimes employs surplusage without any apparent basis for doing so. Crediting that Congress used the extra words to mean something, this Court concludes that § 1252(a)(2)(B)(ii) is not meant to be a jurisdiction-divesting statute that covers any and all agency conduct containing any component of or related to discretionary decisionmaking. Rather, § 1252(a)(2)(B)(ii) — even as construed in CDI Information Services, Inc. — appears to target only those intrinsically specified instances where a decision is sufficiently discretionary so as to warrant immunization from judicial review.
Consequently, what removes the instant case from the scope of CDI Information Services, Inc. is that here there is no explicit discretion component, which is the Sixth Circuit's requisite characteristic for invocation of § 1252(a)(2)(B)(ii). Tracking this approach, another judicial officer has explained H-1B proceedings as follows:
Shanti, Inc. v. Reno, 36 F.Supp.2d 1151, 1160-61 (D.Minn.1999). The fact that this construction was offered in the context of discussing the potentially jurisdiction-divesting 5 U.S.C. § 701 does not render useless here the main point of the quoted passage: that a determination regarding a petition for a nonimmigrant H-1B visa is not committed to agency discretion. Thus, although the Sixth Circuit has disagreed with Shanti's more narrow construction of the scope of § 1252(a)(2)(B)(ii), the court of appeals did not reject expressly its conclusion regarding whether the denial of a H-1B petition such as found here is a discretionary decision. CDI Information Services, Inc., 278 F.3d at 619-20.
The approach discussed above may or may not be correct. See Evangelical Lutheran Church in Am. v. Immigration & Naturalization Servs., 288 F.Supp.2d 32 (D.D.C.2003) (summarizing CDI Information Services, Inc. and contrary cases and concluding that "there is ample case law to support either interpretation of § 1252"). The contours of CDI Information Services,
Not all courts have adopted such a view that a regulation can inform the issue of whether a discretionary decision is involved. See, e.g., Pedrozo v. Clinton, 610 F.Supp.2d 730, 737 (S.D.Texas 2009) ("[B]ecause of the jurisdiction stripping statute's pellucid phrasing, it is clear the language of other federal regulations further defining the petition process have no bearing in determining whether USCIS's duty to act is discretionary or non-discretionary."). The role of a regulation in the jurisdiction equation is therefore complicated, as one judge has explained:
Royal Siam Corp. v. Chertoff, 484 F.3d 139, 143 (1st Cir.2007). Thus, even if CDI Information Services, Inc. is perhaps less clear than it might have been on whether the general language of the statute itself answers the jurisdictional bar query as opposed to a related regulation, some courts have treated the holding of that case as regulation-dependent. It is unclear whether the Sixth Circuit construed the statute involved to present a "specified" discretionary decision without reliance
What is clear is that courts within the Circuit have not been uniform in their treatment of CDI Information Services, Inc. The court of appeals has applied CDI Information Services, Inc. outside the specific context of that case, albeit without setting forth any detailed statutory analysis. See Thomas v. Jenifer, 33 Fed.Appx. 212, 212 (6th Cir.2002) (holding that § 1252(a)(2)(B)(ii) applied to a case involving "EB-2 visas" because the issuance of such a visa "is clearly a discretionary decision of the Attorney General, as delegated to the INS"). At least one district court judge in this Circuit, recognizing but seeking to distinguish CDI Information Services, Inc., has read that decision as presenting a critical distinction between substantive discretionary decisions (no jurisdiction exists) and procedural decisions (jurisdiction exists). See Detroit Free Press v. Ashcroft, 195 F.Supp.2d 948, 955-56 (E.D.Mich.2002). But see Abu-Khaliel v. Gonzales, 436 F.3d at 634 ("If Congress grants courts the ability to review the merits of a proceeding, it would seem very odd indeed for a court to lack the ability to review a procedural decision that is determinative of the merits of a case, particularly when the court has jurisdiction to review the merits of that case absent a conclusive procedural ruling."). Another district court judge has reached the merits of an H-1B petition case involving 8 C.F.R. § 214.2(h)(4) without even discussing either CDI Information Services, Inc. or § 1252(a)(2)(B)(ii). See EG Enters., Inc. v. Dep't of Homeland Sec., 467 F.Supp.2d 728 (E.D.Mich.2006).
Against such a backdrop, this Court recognizes that it may be incorrect in reading CDI Information Services, Inc. to apply only in what amounts to a magic words context. See Global Export/Import Link, Inc. v. U.S. Bureau of Citizenship & Immigration Servs., 423 F.Supp.2d 703, 707 (E.D.Mich.2006) (rejecting magic words approach and determining whether § 1252(a)(2)(B)(ii) applies by focusing on whether each statutory provision involved leaves the decision to the Attorney General). The cleaner analysis of a district court judge from outside this Circuit may thus prove correct. In the previously mentioned Blacher v. Ridge, a district judge addressed the denial of an H-1B visa petition. 436 F.Supp.2d at 605. The judicial officer reasoned that 8 U.S.C. § 1184(a)(1) "clearly grants discretion to the Attorney General in these cases to determine whether the conditions for the visa have been met." Id. at 606. Invoking § 1252(a)(2)(B)(ii) and citing CDI Information Services, Inc. for support, the district judge held:
Id. at 607. This conclusion is not without persuasiveness.
Given the arguments on both sides of the issue and the debatable line between what is a discretionary decision and what is not, however, this Court declines to read CDI Information Services, Inc. as extending beyond the application expressly set forth in that decision and in Thomas v. Jenifer. Reading each regulation's use of "may" involved here to equal the sort of discretionary decision the court of appeals found to exist in "may be granted at the discretion of the Service" would arguably
Federal Rule of Civil Procedure 56 provides that summary judgment is appropriate "if the movant shows that there is no genuine dispute as to any material fact and the movant is entitled to judgment as a matter of law." Fed.R.Civ.P. 56(a). The Court may therefore grant a motion for summary judgment if the nonmoving party who has the burden of proof at trial fails to make a showing sufficient to establish the existence of an element that is essential to that party's case. See Muncie Power Prods., Inc. v. United Tech. Auto., Inc., 328 F.3d 870, 873 (6th Cir.2003) (citing Celotex Corp. v. Catrett, 477 U.S. 317, 322, 106 S.Ct. 2548, 91 L.Ed.2d 265 (1986)).
In viewing the evidence, the Court must draw all reasonable inferences in favor of the nonmoving party, which must set forth specific facts showing that there is a genuine issue of material fact for trial. Id. (citing Matsushita Elec. Indus. Co., Ltd. v. Zenith Radio Corp., 475 U.S. 574, 587, 106 S.Ct. 1348, 89 L.Ed.2d 538 (1986)); Hamad v. Woodcrest Condo. Ass'n, 328 F.3d 224, 234 (6th Cir.2003). A genuine issue of material fact exists "if the evidence is such that a reasonable jury could return a verdict for the nonmoving party." Muncie, 328 F.3d at 873 (quoting Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 248, 106 S.Ct. 2505, 91 L.Ed.2d 202 (1986)). Consequently, the central issue is "`whether the evidence presents a sufficient disagreement to require submission to a jury or whether it is so one-sided that one party must prevail as a matter of law.'" Hamad, 328 F.3d at 234-35 (quoting Anderson, 477 U.S. at 251-52, 106 S.Ct. 2505).
Plaintiff is entitled to the relief sought if the denial of the petition was arbitrary, capricious, an abuse of discretion, or otherwise not in accordance with law. 5 U.S.C. § 706(2)(A). Under this standard and in light of the relevant statutory and regulation provisions, Plaintiff must prevail.
The issue before this Court is whether Defendant was incorrect in concluding that there was not a specialty occupation involved here. A "specialty occupation" is "an occupation that requires ... attainment of a bachelor's or higher degree in the specific specialty (or its equivalent) as a minimum for entry into the occupation in the United States." 8 U.S.C. § 1184(i)(1)(B). The related regulation definition provides:
8 C.F.R. § 214.2(h)(4)(ii). The regulation also provides that "[t]o qualify as a specialty occupation, the position must meet one of several criteria," one of which includes that "[a] baccalaureate or higher degree or its equivalent is normally the minimum requirement for entry into the particular position." 8 C.F.R. § 214.2(h)(4)(iii)(A).
The November 11, 2011 decision denying the petition targeted the foregoing requirement that the degree be in a specific specialty, stating: "There is one reason why the record is insufficient to classify the proffered position as a market research analyst position. The only reason concerns whether or not a baccalaureate or higher degree in a specific academic discipline is required for the position of Market Research Analyst." (ECF No. 17, at 7.) The decision went on to explain that although the United States Department of Labor's 2010-11 edition of the Occupational Outlook Handbook ("OOH") recognized a baccalaureate degree as the minimum educational requirement for many market and survey research jobs, the OOH does not indicate that these degrees need be in a specific specialty directly related to market research. The decision offers the following support for this conclusion:
(ECF No. 17, at 7.) The decision cites a similar excerpt of the OOH as additional support. The absence of a specific specialty requirement led to the conclusion that the occupational category was not a specialty occupation as defined in the relevant statutory and regulation provisions. The decision includes the caveat that its conclusion does not necessarily apply to all market research analyst positions; rather, the decision explains, a specific market research analyst position may qualify as a specialty occupation if documented evidence establishes that the position "is one for which the normal minimum entry requirement is a baccalaureate or higher degree, or its equivalent, in a specific specialty closely related to the position's duties." (ECF No. 17, at 8.) Defendant concluded that Plaintiff had failed to meet this burden, discussing how Plaintiff failed to meet the four regulation criteria:
8 C.F.R. § 214.2(h)(4)(iii)(A)(1)-(4).
The relevant facts here are presented by the administrative record upon which Defendant relied in reaching this decision to deny the petition. This record establishes that Rokoczi is a recent graduate of Franklin University who obtained a bachelor of science degree in marketing and finance. His course work included financial accounting, spreadsheets, databases, statistical concepts, managerial accounting, marketing behavior, marketing research,
Defendant continues to reject this record in favor of supporting a flawed denial. What Defendant overlooks is that the illogical leaps about which Plaintiff complains in its thorough briefing cannot be separated from the process in which Defendant engaged in its decisionmaking. Stated simply, Defendant did a poor job of keeping the record straight and its focus on the actual inquiry involved. Defendant expressly admits in its briefing to the following inexplicable errors:
(ECF No. 12, at 8-9 nn. 2-5.) These errors are not the essentially inconsequential lapses that Defendant suggests. Instead, they constitute a litany of incompetence that presents fundamental misreading of the record, relevant sources, and the point of the entire petition. If Defendant is going to deny a petition that will send Rokoczi to another country after twenty-one years of living in the United States, it should afford Plaintiff and Rokoczi a bare minimum level of professionalism, diligence, and reasoning.
Defendant argues that Plaintiff is attempting to read out of the statutory and regulation requirements the "specific specialty" component. But Defendant's approach is too narrow. The record here indicates that a market and survey researcher is a distinct occupation with a specialized course of study that includes multiple specialized fields (ECF No. 17, at 37-38), that Rokoczi had completed such specialized study in the relevant fields of marketing and finance, and that Plaintiff sought to employ him in such a position. Plaintiff provided evidence that it required a baccalaureate degree for this position, and there is no apparent requirement that the specialized study needed be in a single academic discipline as opposed to a specialized course of study in related business specialties. Defendant's implicit premise
A petition should be decided on the actual record, utilizing the correct portions of relevant resources, and for the actual position to be filled. Defendant has failed to meet this fundamental threshold for rational decisionmaking and has instead engaged in conduct that cannot be separated from the taint of the foregoing errors. Under APA review, it is well settled that
Simms v. Nat'l Highway Traffic Safety Admin., 45 F.3d 999, 1004 (6th Cir.1995). Defendant failed to examine all of the correct relevant data and to articulate an untainted, satisfactory explanation for the denial that rationally connected the facts to the decision. The denial of the petition here was thus arbitrary, capricious, and an abuse of discretion. This Court therefore agrees with Plaintiff that Defendant "failed to provide a coherent, rational explanation for its decision and its decision runs counter to the evidence before it." (ECF No. 18, at 3.)
For the foregoing reasons, the Court