BERYL A. HOWELL, District Judge.
Two associations, representing approximately 630 taxicab drivers in the District of Columbia, brought this lawsuit in D.C. Superior Court against the District and various municipal officials
Pending before the Court is the defendants' motion to dismiss the plaintiff's First Amended Complaint, pursuant to Federal Rule of Civil Procedure 12(b)(1) for lack of subject-matter jurisdiction, and Federal Rule of Civil Procedure 12(b)(6) for failure to state a claim upon which relief can be granted. Following the plaintiffs' voluntary dismissal of one of their federal constitutional claims,
In 2005, Congress passed the District of Columbia Omnibus Authorization Act, which included a short provision sponsored by Senator Carl Levin requiring "all taxicabs licensed in the District of Columbia to charge fares by a metered system" within one year of the date of passage. Am. Compl. ¶ 17 (quoting Pub.L. No. 109-356, Sec. 105 (codified at D.C. CODE § 50-381 (2010))). The provision further provided that the Mayor of the District of Columbia could choose to opt out of moving to a metered system. Id. ¶¶ 17-18. On October 17, 2007, then — Mayor Adrian Fenty issued Mayor's Order No. 2007-231 "to immediately implement the new time and meter distance system." Id. ¶ 18. The Mayor delegated "implementation authority" to then — DCTC Chairman Leon Swain, who subsequently issued rules implementing the current meter fare system to replace the system of calculating fares by "zones." Id. ¶ 18.
The gravamen of the plaintiffs' complaint is that the current metered fare system has resulted in arbitrarily low fares, which "are significantly lower than surrounding jurisdictions in Virginia and Maryland, lower than the inter-jurisdictional rates set by the Washington Metropolitan Area Transit Commission ("WMATC") and are among the lowest of major U.S. cities." Id. ¶ 22. In particular, the plaintiffs allege that rates have remained unchanged since 2008 and taxicab driver income has "fall[en] by as much as 30%." Id. ¶ 3. As a consequence, the plaintiffs allege that taxicab drivers must work longer hours to make their previous wages, often to the detriment of their health and their families. Id. ¶ 5; see also ¶ 4 ("The current rate structure is breaking families, forcing drivers to spend increased time away from their spouses and children, as well as putting hundreds of middle class families under increasing financial strain."). Efforts by the plaintiffs to obtain relief from the DCTC and other governmental authorities have been unavailing, leaving the plaintiffs to turn to the Court as the "last line of defense." Id. ¶ 6.
The plaintiffs allege that the defendants have violated the D.C. Taxicab Commission Establishment Act, D.C. CODE § 50-302 et seq., in multiple ways, including by the Mayor improperly asserting unilateral
Shortly after removing this case from the D.C. Superior Court, the defendants filed the pending motion to dismiss pursuant to Federal Rules of Civil Procedure 12(b)(1) and 12(b)(6). See Defs.' Mot to Dismiss ("Defs.' Mot."), ECF No. 8.
On a motion to dismiss for lack of subject matter jurisdiction, under Rule 12(b)(1) of the Federal Rules of Civil Procedure, the plaintiff bears the burden of establishing jurisdiction by a preponderance of the evidence.
"When it appears that a district court lacks subject matter jurisdiction over a case that has been removed from a state court, the district court must remand the case." Republic of Venezuela v. Philip Morris Inc., 287 F.3d 192, 196 (D.C.Cir. 2002) (citing 28 U.S.C. § 1447(c)). If "all federal-law claims are dismissed before trial, the balance of factors to be considered under the pendent jurisdiction doctrine — judicial economy, convenience, fairness, and comity — will point toward declining to exercise jurisdiction over the remaining state-law claims." Shekoyan v. Sibley Int'l, 409 F.3d 414, 424 (D.C.Cir.2005) (quoting Carnegie-Mellon Univ. v. Cohill, 484 U.S. 343, 350 n. 7, 108 S.Ct. 614, 98 L.Ed.2d 720 (1988)).
In evaluating whether a complaint sufficiently states a claim for relief to withstand a motion to dismiss under Federal Rule of Civil Procedure 12(b)(6), the court must first ascertain whether the complaint contains "a short and plain statement of the claim showing that the pleader is entitled to relief[,]" as well as grounds for the court's jurisdiction and the specific relief sought. FED.R.CIV.P. 8(a). While "detailed factual allegations" are not required, the complaint must "give the defendant fair notice of what the ... claim is and the grounds upon which it rests." Bell Atl. Corp. v. Twombly, 550 U.S. 544, 555, 127 S.Ct. 1955, 167 L.Ed.2d 929 (2007) (internal citation and quotation marks omitted). In assessing whether a complaint is sufficient, the "court `constru[es] the complaint liberally in the plaintiff's favor,' `accepting] as true all of the factual allegations contained in the complaint.'" Aktieselskabet AF 21. Nov. 2001 v. Fame Jeans Inc., 525 F.3d 8, 15 (D.C.Cir.2008) (citing Kassem v. Wash. Hosp. Ctr., 513 F.3d 251, 253 (D.C.Cir.2008)); see also Atherton v. Dist. of Columbia Office of the Mayor, 567 F.3d 672, 681 (D.C.Cir.2009).
As noted, the defendants removed the case to federal court on the basis of the two federal claims alleged in the plaintiff's Amended Complaint, only one of which, Count XI, remains: that the DCTC's policy of encouraging unlawful traffic stops and inspections by hack inspectors violates the Fourth Amendment. The defendants claim, however, that Count XI is now moot because the DCTC has issued General Order No. 1, which prohibits hack inspectors from stopping taxicabs without reasonable suspicion or probable cause. See ECF No. 8-1, Ex. 4 ("General Order No. 1, regarding Public Vehicle Enforcement Inspector Traffic Stop Protocol") ("General Order No. 1"). The Court agrees. Since the Court will dismiss Count XI as moot, leaving no federal claims pending in this lawsuit, the Court will remand the remaining nonfederal claims to the D.C. Superior Court.
Count XI of the First Amended Complaint alleges that the DCTC "in promulgating and promoting a policy encouraging traffic stops and inspections without probable cause or reasonable suspicion of wrongdoing, indeed `for any reason,'" is in violation of the Fourth Amendment. Am. Compl. ¶ 159. The plaintiffs cite to a proposed regulation of the DCTC as evidence of this policy. See id. ("See Proposed Regulations of the D.C. Taxicab Commission Regarding DCMR Title 31 Chapters 6, 58-32 D.C.Reg. 7177 (Aug. 12, 2011) (specifically § 608.2)"). The proposed regulation to which the plaintiffs cite was intended, inter alia, to "clarify the authority of hack inspectors to make traffic stops
The proposed regulation cited by the plaintiffs, however, was never promulgated in the form originally proposed. The proposed regulation was tabled for a period of time and was then the subject of additional public hearings and comment, which prompted revisions. Following publication of the revised proposed rule for a third time on June 22, 2012, at 59 D.C.Reg. 7515 (June 22, 2012), and receipt of "no further comments," the DCTC "adopted the rulemaking as final on July 11, 2012." See Final Rulemaking, District of Columbia Taxicab Commission, 59 D.C.Reg. 8564, 8565 (July 20, 2012). The Court may take judicial notice of these governmental agency actions. See IKON Global Mkts., Inc. v. CFTC, 859 F.Supp.2d 162, 165 n. 1, 2012 WL 1676601, at *1 n. 1 (D.D.C.2012) (taking notice of a manual "as a matter of general public record"); Williams v. Chu, 641 F.Supp.2d 31, 35 (D.D.C.2009) (taking judicial notice of EEOC decision).
The final rulemaking, adopted on July 11, 2012 and effective as of July 20, 2012, included the language from the proposed rule with some variation, including, critically, reference to the DCTC's "General Orders" and the addition of language clarifying the manner in which traffic stops must be conducted, namely: "[T]raffic stops shall be conducted in accordance with Commission rules and regulations and General Orders." See 59 D.C.Reg. at 8565.
The addition of this language between the August 12, 2011 proposed rulemaking and the July 11, 2012 final rulemaking is important because of the DCTC's intervening action, on September 29, 2011, in issuing General Order No. 1. The DCTC issued
The defendants contend that the promulgation of General Order No. 1 renders moot the plaintiff's claim for injunctive relief, which seeks adoption of the same policy now formalized in DCTC's order permitting traffic stops only where there is reasonable cause. See Defs.' Mem. at 18; see also Am. Compl. ¶ 160 ("Plaintiffs therefore ask the Court for injunctive relief barring the DCTC from promoting a policy encouraging traffic stops and inspections of taxicabs without probable cause or reasonable suspicion of wrongdoing").
The plaintiffs concede that "[the DCTC Acting Chairman's] adoption of a `reasonable suspicion' standard for traffic stops is consistent with the U.S. Constitution and clearly ameliorative in practice...." Pls.' Opp'n at 40.
"The mootness doctrine limits federal courts to deciding actual, ongoing controversies." Citizens for Responsibility & Ethics in Wash. v. United States SEC, 858 F.Supp.2d 51, 61, 2012 WL 1523474, at *8 (D.D.C.2012) (citing American Bar Ass'n v. F.T.C., 636 F.3d 641, 645 (D.C.Cir.2011)). "`Federal courts lack jurisdiction to decide moot cases because their constitutional authority extends only to actual cases or controversies.'" Matthews v. District of Columbia, 675 F.Supp.2d 180, 187 (D.D.C.2009) (quoting Larsen v. U.S. Navy, 525 F.3d 1, 4 (D.C.Cir.2008)). "A case is moot when `the challenged conduct ceases such that there is no reasonable expectation that the wrong will be repeated' in circumstances where `it becomes impossible for the court to grant any effectual relief whatever to the prevailing party.'" United States v. Philip Morris USA Inc., 566 F.3d 1095, 1135 (D.C.Cir.2009) (quoting City of Erie v. Pap's A.M., 529 U.S. 277, 287, 120 S.Ct. 1382, 146 L.Ed.2d 265 (2000)).
Courts have consistently held, however, that "a defendant's voluntary cessation of a challenged practice does not deprive a federal court of its power to determine the legality of the practice." Friends of the Earth, Inc. v. Laidlaw Envtl. Servs., Inc., 528 U.S. 167, 189, 120 S.Ct. 693, 145 L.Ed.2d 610 (2000) (citation and quotation marks omitted); see also Gray Panthers Project Fund v. Thompson, 273 F.Supp.2d 32, 35 (D.D.C.2002) ("It is well settled that voluntary cessation of illegal conduct does not, by itself, make an issue moot.") (citation omitted). "The rationale supporting the defendant's voluntary cessation as an exception to mootness is that, while the defendant's unilateral cessation of the challenged conduct may grant the plaintiff relief, the defendant is free to return to [its] old ways — thereby subjecting the plaintiff to the same harm but, at the same time, avoiding judicial review." Qassim v. Bush, 466 F.3d 1073, 1075 (D.C.Cir.2006) (citations and internal quotation marks omitted). Accordingly, a party's voluntary cessation will be found to moot a case only when two factors are met: (1) "there is no reasonable expectation that the alleged wrong(s) will be repeated," and (2) "interim relief or events have completely and irrevocably eradicated the effects of the alleged violation." Bender v. Jordan, 515 F.Supp.2d 10, 16 (D.D.C.2007) (citing Doe v. Harris, 696 F.2d 109, 111 (D.C.Cir. 1982)). "The `heavy' burden of persuading the court that the challenged conduct cannot reasonably be expected to resume lies with the party asserting mootness." Citizens for Responsibility & Ethics in Wash. v. United States SEC, 858 F.Supp.2d 51,
There is no reasonable expectation that the DCTC will retract General Order No. 1, which provides for the same relief that the plaintiffs are seeking in the Amended Complaint. See Am. Compl. ¶ 31 ("Plaintiffs therefore ask the Court for injunctive relief barring the DCTC from promoting a policy encouraging traffic stops ... of taxicabs without probable cause or reasonable suspicion of wrongdoing"). "[O]ther Circuits have consistently recognized that where the defendant is a government actor — and not a private litigant — there is less concern about the recurrence of objectionable behavior." Citizens for Responsibility & Ethics in Wash., 858 F.Supp.2d at 61, 2012 WL 1523474, at *9; see, e.g., Sossamon v. Lone Star State of Tex., 560 F.3d 316, 325 (5th Cir.2009) ("[C]ourts are justified in treating a voluntary governmental cessation of possibly wrongful conduct with some solicitude, mooting cases that might have been allowed to proceed had the defendant not been a public entity.... Without evidence to the contrary, we assume that formally announced changes to official governmental policy are not mere litigation posturing."); Ragsdale v. Turnock, 841 F.2d 1358, 1365 (7th Cir. 1988) ("We note additionally that cessation of the allegedly illegal conduct by government officials has been treated with more solicitude by the courts than similar action by private parties ... [S]uch self-correction provides a secure foundation for a dismissal based on mootness so long as it appears genuine.") (citation omitted). Indeed, "[c]hanged policy need not [even] come in the form of a formal revocation of the previous policy, as long as the assurance of discontinuation is sufficient to establish that there is no reasonable expectation that the unauthorized actions will resume." Citizens for Responsibility & Ethics in Wash., 858 F.Supp.2d at 62, 2012 WL 1523474, at *9.
After the onset of litigation, the DCTC promulgated General Order No. 1, which the plaintiffs concede reflects a policy change that would be consistent with the requirements of the Fourth Amendment. The plaintiffs provide no indication that the DCTC has evidenced any intent to revive its previous policy on traffic stops made by hack inspectors. On the contrary, the prior proposed rule issued in August 2011, which the plaintiffs cite in their complaint, was never issued in the original form but was instead revised. See 59 D.C. Reg 8564.
There are, however, certainly cases where a government actor's voluntary cessation will not moot a claim for relief. For
The plaintiffs claim that, although there is a new policy in place, there is "no proof that the illegal conduct alleged in the Complaint has actually abated." Pls.' Opp'n. at 40. The Amended Complaint, however, merely alleges that "[t]he actions of the DCTC in promulgating and promoting a policy encouraging stops and inspections without probable cause or reasonable suspicion of wrongdoing" violates the Fourth Amendment. Am. Compl. ¶ 159. The plaintiffs have conceded that General Order No. 1's "adoption of a `reasonable suspicion' standard for traffic stops is consistent with the U.S. Constitution and clearly ameliorative in practice...." Pls.' Opp'n at 40. That concession is sufficient to satisfy the Court that General Order No. 1 has provided sufficiently clear direction to government employees to ameliorate the alleged violation. Accordingly, the Court concludes that the defendants' promulgation of General Order No. 1 moots Count XI. The Court will dismiss the plaintiffs' claim with respect to the DCTC promoting a policy of stopping taxicabs without reasonable suspicion. If the alleged violation recurs, then the plaintiffs may file another claim.
The Court's dismissal of Count XI, combined with the plaintiffs' voluntary dismissal of Count X, leaves the plaintiffs with no remaining federal claims. "Since all of the federal claims are being dismissed, the Court will decline to exercise supplemental jurisdiction over the remaining claims pursuant to 28 U.S.C. § 1367(c)(3)." Cannon v. District of Columbia, No. 12-0133, 2012 WL 2673097, at
For the reasons set forth above, the defendants' Motion to Dismiss is GRANTED IN PART as to Count XI (Fourth Amendment violation). The remaining non-federal counts shall be REMANDED to the D.C. Superior Court pursuant to 28 U.S.C. § 1447(c) for lack of subject matter jurisdiction. An Order consistent with this Opinion will be issued.
Id. at 7177. Also of relevance is the proposed amendment to section 600.4, regarding traffic stops:
Id. at 7170-7171.