TOM S. LEE, District Judge.
On August 28, 2009, defendants Federal Aviation Administration (FAA), United States Department of Transportation, and United States of America, filed a motion to dismiss pursuant to Rule 12(b)(1) of the Federal Rules of Civil Procedure, or in the alternative, for summary judgment pursuant to Rule 56.
The facts giving rise to this lawsuit are briefly set forth below.
In fact, Reunion did not agree to extend the lease, and as of September 30, 2008, the FAA had not taken steps to vacate the property or to condemn the property. Accordingly, on October 16, 2008, Reunion sent a written demand to the FAA that it quit and vacate the VORTAC property. The FAA did not vacate the property, nor did it take appropriate steps to condemn the property, and on April 29, 2009, Reunion filed the present action against the FAA/United States seeking declaratory and injunctive relief under the Declaratory Judgment Act and Administrative Procedures Act and various other state and federal laws, based on allegations that the FAA's failure to timely and correctly follow its own regulations resulted in the FAA's becoming a holdover tenant following expiration of the lease, and that the FAA's continued occupancy of the VORTAC property following expiration of the lease deprived Reunion of its property without due process of law and amounted to a taking without just compensation, in violation of the Fifth Amendment to the United States Constitution. As relief, Reunion sought a declaratory judgment that the FAA and its agents and officials have been unlawfully occupying the VORTAC property since October 1, 2008 in violation of plaintiff's Fifth Amendment rights to due process and that such occupancy is a taking without just compensation, and a declaratory judgment that Reunion is entitled to immediate and exclusive possession of the VORTAC property. Reunion sought an order ejecting and/or removing the FAA from the property and enjoining the FAA, and its agents and servants, from continuing to occupy the property and from resisting Reunion's efforts to oust or remove them from the property.
In addition to its claims against the FAA/United States, Reunion also purported to assert Bivens claims against as-yet-unidentified FAA officials, John Doe One and Jane Doe One, in their individual capacities, for "pursuing a course of action that they knew was in violation of the FAA's own regulations, and that they knew would result in [Reunion] being deprived of [its] property without due process of law, and without just compensation, in violation of [its] rights under the Fifth Amendment," and against FAA officials John Doe Two and Jane Doe Two, in their individual capacities, for continuing to possess the VORTAC property in violation of Reunion's Fifth Amendment right to due process and just compensation.
In response to Reunion's complaint in the Court of Federal Claims and a motion by Reunion to strike the Government's jurisdictional defenses, the United States agreed that under the Tucker Act, 28 U.S.C. § 1491, the Court of Federal Claims had jurisdiction over Reunion's takings claim.
On December 31, 2009, the United States, as promised, filed a Complaint in Condemnation and Declaration of Taking in this court pursuant to 40 U.S.C. § 3114, as Civil Action Number 3:09CV269HTWLRA. This filing, as well as the fact that the Court of Federal Claims had issued its opinion establishing the United States' liability on Reunion's takings claim in that court, prompted this court to inquire of the parties as to their respective positions on the effect of these events on the pending motions and/or the issues/causes of action in the present action. In an initial, email response, Reunion acknowledged that as a result of the United States' Declaration of Taking, any claims in this case that concern Reunion's alleged immediate, ongoing right of possession of the VORTAC property have become moot, since by virtue of the Declaration of Taking, the United States now has a legal right to exercise dominion and control over the subject property.
The Government, as had Reunion, initially responded via email, in which it agreed that counts two, five, six, seven and eight, all of which clearly relate solely to Reunion's effort to have the FAA removed from the property, had become moot by virtue of the Declaration of Taking, though the Government took the position that the dismissal should be with prejudice. The Government further contended that count four, for declaratory judgment, has likewise become moot, since Reunion's rights have now been conclusively established by the Declaration of Taking; and it asserted that the APA count has become moot, though no clear basis was identified for this assertion. The United States has since formalized its position with respect to the effect of the Declaration of Taking by filing a motion to dismiss, setting forth its position that the Declaration of Taking has rendered counts two through eight moot. Therein, it also reiterates its position, set forth in its original motion to dismiss, that the Reunion has no cognizable Bivens claim against the Doe and Roe defendants. The court has carefully considered the parties' positions and concludes as follows.
The parties expressly agree that the effect of the Government's Declaration of Taking is to render moot Reunion's claims to establish its right to possession of the subject property to the exclusion of the Government and to remove the Government from the property.
As to the first issue, the court is of the opinion that all of Reunion's causes of action involving its alleged right to immediate, ongoing possession of the subject property are permanently moot. Such claims will therefore be dismissed with prejudice. This conclusion clearly applies to counts two, five, six, seven and eight, which indisputably relate solely to this issue. See Hearn v. Sanders, No. CV 09-2220-PA (AGR), 2009 WL 3073128, *4 n. 5 (C.D.Cal. Sept. 19, 2009) ("A dismissal for mootness should be with prejudice `[i]f defendant can never again engage in the challenged conduct.'") (quoting Landers v. Curran & Connors, Inc., No. C 05-03169 WHA, 2006 WL 708948, *2 (N.D.Cal. Mar. 21, 2006)).
In count three of the complaint, brought under the Administrative Procedures Act (APA), 5 U.S.C. § 701 et seq.,
Congress has waived sovereign immunity for cases that fall within the judicial review provisions of the APA, 5 U.S.C. §§ 701-06. Section 702 of the APA states:
5 U.S.C. § 702. Section 704 of the APA provides that "[a]gency action made reviewable by statute and final agency action for which there is no other adequate remedy in a court are subject to judicial review." 5 U.S.C. § 704. Under these provisions, in order for a district court to have jurisdiction under the APA in a nonstatutory review action, the claim must be for "relief other than money damages," id. § 702, and there must be "no other adequate remedy in a court," id. § 704. See Bowen v. Massachusetts, 487 U.S. 879, 891-92, 108 S.Ct. 2722, 101 L.Ed.2d 749 (1988).
In this case, Reunion's APA count does not demand an award of monetary damages, but rather asks that the FAA be removed from the property and that the FAA's decision to become a holdover tenant be "held unlawful and set aside." In the briefing on the Government's initial motion to dismiss, Reunion took the position that this was clearly a demand for nonmonetary relief and hence cognizable under the APA. For its part, the Government acknowledged that on its face, Reunion's complaint did not ask for monetary relief. The Government maintained, however, that Reunion's putative claims for equitable relief, i.e., injunctive and declaratory relief, were merely disguised claims for monetary damages, which are not cognizable under the APA, see 5 U.S.C. § 702, and/or which are within the exclusive jurisdiction of the Court of Federal Claims under the Tucker Act, see Amoco Prod. Co. v. Hodel, 815 F.2d 352, 361 (5th Cir. 1987) (stating that "a plaintiff cannot avoid Tucker Act jurisdiction simply by characterizing an action as equitable relief"). In response, Reunion pointed out that "[i]f the declaratory or injunctive relief a claimant seeks has significant prospective or considerable value apart from merely determining monetary liability of the government. . . the district court may assume jurisdiction over the nonmonetary claims." Amoco Prod. Co., 815 F.2d at 361-362 (quoting Hahn v. United States, 757 F.2d 581, 590 (3d Cir.1985)). Reunion then declared:
Given that the United States has filed a Declaration of Taking so that "an order recognizing [Reunion's] right to possession of the [VORTAC property]" is no longer available, the only conceivable remedy available to Reunion if the court were to "hold unlawful and set aside" the FAA's decision to remain in possession of the VORTAC property following expiration of the lease agreement, would be monetary relief. This relief is not available under the APA.
A similar analysis applies to Reunion's claim for declaratory judgment. The Government initially moved to dismiss Reunion's declaratory judgment claim (as well as most of its other claims) for lack of subject matter jurisdiction on the basis that Reunion's claim was actually a disguised claim for a money judgment in excess of $10,000 and that therefore, jurisdiction properly lay in the Court of Federal Claims under the Tucker Act, 28 U.S.C. §§ 1346(a)(2) & 1491(a). Under the Tucker Act, any claim against the United States exceeding $10,000 in amount, and founded either upon the Constitution, or any Act of Congress, or any regulation of an executive department, or upon any express or implied contract with the United States, falls within the exclusive jurisdiction of the Court of Federal Claims. See 28 U.S.C. § 1346(a)(2) & 28 U.S.C. § 1491(a)(1); Amoco Prod. Co., 815 F.2d at 358. The Government now takes the position that the claim for declaratory judgment has become moot, since the rights of the parties vis-a-vis the property are clearly established by the Declaration of Taking, which has become effective by operation of law.
A review of the declaratory judgment count shows that, in addition to seeking a declaratory judgment that it is entitled to immediate and exclusive possession of the VORTAC property and is entitled to use self-help to remove defendants from the property — claims which Reunion concedes are moot — count four of Reunion's complaint seeks a declaratory judgment that the FAA and Doe Two and Roe Two have been unlawfully occupying the property since October 1, 2008 in violation of plaintiffs' Fifth Amendment due process rights and their right to just compensation for a taking for public use. The fact that the United States filed a Declaration of Taking on December 31, 2009, and has lawfully occupied the property since that date, obviously moots any request for an adjudication that the FAA's occupancy of the property since that date has been unlawful. However, to the extent Reunion seeks a declaratory judgment that its due process rights were violated and/or that a taking without just compensation occurred due to the FAA's occupancy of the property from the time the lease expired to the date the Declaration of Taking was filed, the claim was not rendered moot by the Declaration of Taking.
In light of the Declaration of Taking, Reunion's further claim for a declaratory judgment that its due process rights were violated by defendants' occupancy of the property from the time the lease expired to the date the United States filed its Declaration of Taking, can only be intended as a predicate for monetary liability, and ultimately as a basis for securing monetary relief. However, such monetary relief is not available in this court. The court recognizes that Reunion has asserted in this case a claim for money damages under the Federal Tort Claims Act (FTCA), 28 U.S.C. § 2671 et seq.; yet it has no cognizable claim under the FTCA for any alleged due process violation. See F.D.I.C. v. Meyer, 510 U.S. 471, 477-478, 114 S.Ct. 996, 1001, 127 L.Ed.2d 308 (1994) (holding that constitutional tort claim (for alleged violation of due process rights) is not "cognizable" under FTCA, § 1346(b)).
Count one of Reunion's complaint is a putative Bivens damages claim against individual FAA officials who are alleged to have violated FAA regulations, resulting in the alleged seizure of Reunion's property without due process of law and without just compensation.
551 U.S. at 550, 127 S.Ct. at 2588.
Ultimately, as Reunion has characterized them, the actions of FAA officials with respect to the VORTAC property lease, and their alleged failure to take appropriate and timely steps to either vacate or condemn the property to avoid becoming a holdover tenant, as dictated by its own regulations, amounted to a decision by the FAA to become a holdover tenant, for which Reunion sought review under the APA. This court herein does hold that relief is no longer available under the APA since the United States has filed its Declaration of Taking. Nevertheless, as Reunion has expressly acknowledged, for that period of time during which the FAA occupied the property after the lease expired but before the Declaration of Taking was filed, the APA provided for review of and explicit (nonmonetary) remedies for the alleged actions by the defendant FAA officials that resulted in Reunion's alleged deprivation of its property without due process.
In conclusion, based on all of the foregoing, it is ordered that defendants' motion to dismiss [Dkt. #7] is granted, and it is further ordered that plaintiffs' motion for partial summary judgment on counts three, four, five, six, seven and eight [Dkt. # 12], is denied. It is further ordered that defendants' motion to dismiss [Dkt. # 25] is granted in part, as set forth herein, but ruling on that part of this motion to dismiss
Reunion, Inc., 90 Fed.Cl. at 582-583. The court concluded that Reunion's contractual claim was also jurisdictionally viable under the Tucker Act. Id.
See also U.S. v. 2,175.86 Acres of Land, More or Less, Situated in Hardin and Jefferson Counties, State of Tex., 696 F.2d 351, 353 (5th Cir.1983) ("Under the Declaration of Taking Act, 40 U.S.C. [§ 3114], the government obtains title to the land immediately upon filing a declaration of taking and depositing the estimated amount of just compensation with the court."). Thus, when it filed its Declaration of Taking and deposited the funds into the court registry in Civil Action No. 3:09CV269HTW-LRA, the United States immediately became the owner of the subject property and plaintiffs herein had only a vested right to just compensation. See id.; see also U.S. v. 191.07 Acres of Land, 482 F.3d 1132, 1139-1140 (9th Cir.2007).