Justia U.S. 9th Circuit Court of Appeals Opinion Summaries

The Ninth Circuit reversed the district court's dismissal of plaintiff's claims based on lack of Article III standing. Plaintiffs filed suit against online retailer Zappos.com, alleging that they were harmed by hacking of their accounts. The panel held that plaintiffs sufficiently alleged standing based on the risk of identity theft under Krottner v. Starbucks Corp., 628 F.3d 1139 (9th Cir. 2010). Plaintiffs also alleged an injury in fact under Krottner, based on a substantial risk that the Zappos hackers will commit identity fraud or identity theft. The panel explained that it assessed standing at the time the complaints were filed, not as of the present. Finally, the panel held that plaintiffs sufficiently alleged that the risk of future harm was fairly traceable to the conduct being challenged and that their identity theft injury was redressable. The panel addressed an issue raised by sealed briefing in a concurrently filed memorandum disposition. View "Stevens v. Zappos.com, Inc." on Justia Law

The Ninth Circuit reversed the district court's dismissal of plaintiff's claims based on lack of Article III standing. Plaintiffs filed suit against online retailer Zappos.com, alleging that they were harmed by hacking of their accounts. The panel held that plaintiffs sufficiently alleged standing based on the risk of identity theft under Krottner v. Starbucks Corp., 628 F.3d 1139 (9th Cir. 2010). Plaintiffs also alleged an injury in fact under Krottner, based on a substantial risk that the Zappos hackers will commit identity fraud or identity theft. The panel explained that it assessed standing at the time the complaints were filed, not as of the present. Finally, the panel held that plaintiffs sufficiently alleged that the risk of future harm was fairly traceable to the conduct being challenged and that their identity theft injury was redressable. The panel addressed an issue raised by sealed briefing in a concurrently filed memorandum disposition. View "Stevens v. Zappos.com, Inc." on Justia Law

The Ninth Circuit affirmed the dismissal of a securities fraud action brought on behalf of a class of plaintiffs who bought SolarCity shares. Plaintiffs alleged that defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 when they changed the company's accounting formula prior to the initial public offering in order to misrepresent SolarCity's profitability. The panel held that plaintiff's third amended complaint failed to adequately plead facts giving rise to a strong inference of scienter, as required by the Private Securities Litigation Reform Act. In this case, the facts did not give rise to an inference of scienter that was at least as compelling as the inference of an honest mistake. View "Webb v. SolarCity Corp." on Justia Law

The Ninth Circuit affirmed the dismissal of a securities fraud action brought on behalf of a class of plaintiffs who bought SolarCity shares. Plaintiffs alleged that defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 when they changed the company's accounting formula prior to the initial public offering in order to misrepresent SolarCity's profitability. The panel held that plaintiff's third amended complaint failed to adequately plead facts giving rise to a strong inference of scienter, as required by the Private Securities Litigation Reform Act. In this case, the facts did not give rise to an inference of scienter that was at least as compelling as the inference of an honest mistake. View "Webb v. SolarCity Corp." on Justia Law

The Ninth Circuit granted a petition for review of the BIA's denial of asylum and withholding where petitioner, a citizen of China, alleged that he was beaten, arrested, jailed, and denied food, water, sleep, and medical care because he tried to stop the police from forcing his wife to have an abortion. The panel held that neither the IJ nor the BIA made a finding that petitioner's testimony was not credible. Under the panel's well-established precedent, the panel was required to treat a petitioner's testimony as credible in the absence of such a finding. The panel adopted this rule before the REAL ID Act and reaffirmed it after its passage. The panel explained that the plain text and context of the statute dictate the conclusion that the REAL ID Act's rebuttable presumption of credibility applies only on appeal to the BIA. In this case, petitioner's evidence was sufficiently persuasive and compelled the conclusion that the harm he suffered from the government due to his resistance to his wife's forced abortion rose to the level of past persecution. Furthermore, petitioner and his wife were not similarly situated, and thus the BIA erred in concluding that the wife's voluntary return to China undermined petitioner's own fear of future persecution. The panel remanded for the district court to exercise its discretion in granting petitioner asylum relief, and to grant him withholding relief. View "Ming Dai v. Sessions" on Justia Law

The Ninth Circuit granted a petition for review of the BIA's denial of asylum and withholding where petitioner, a citizen of China, alleged that he was beaten, arrested, jailed, and denied food, water, sleep, and medical care because he tried to stop the police from forcing his wife to have an abortion. The panel held that neither the IJ nor the BIA made a finding that petitioner's testimony was not credible. Under the panel's well-established precedent, the panel was required to treat a petitioner's testimony as credible in the absence of such a finding. The panel adopted this rule before the REAL ID Act and reaffirmed it after its passage. The panel explained that the plain text and context of the statute dictate the conclusion that the REAL ID Act's rebuttable presumption of credibility applies only on appeal to the BIA. In this case, petitioner's evidence was sufficiently persuasive and compelled the conclusion that the harm he suffered from the government due to his resistance to his wife's forced abortion rose to the level of past persecution. Furthermore, petitioner and his wife were not similarly situated, and thus the BIA erred in concluding that the wife's voluntary return to China undermined petitioner's own fear of future persecution. The panel remanded for the district court to exercise its discretion in granting petitioner asylum relief, and to grant him withholding relief. View "Ming Dai v. Sessions" on Justia Law

The Ninth Circuit denied without prejudice a petition for a writ of mandamus where federal defendants sought an order directing the district court to dismiss a case seeking various environmental remedies. Plaintiffs, twenty-one young individuals, filed suit alleging defendants have contributed to climate change in violation of plaintiffs' constitutional rights. Defendants argued that allowing the case to proceed would result in burdensome discovery obligations on the federal government that would threaten the separation of powers. The panel held that defendants did not not satisfy the Bauman factors at this stage of the litigation, and the issues that defendants raised on mandamus were better addressed through the ordinary course of litigation. In this case, the district court had not issued a single discovery order, plaintiffs have not filed a single motion seeking to compel discovery, any merits errors were correctable through the ordinary course of litigation, and there was no controlling Ninth Circuit authority on any of the theories asserted by plaintiff. Therefore, the panel declined to exercise its discretion in granting mandamus relief. View "United States v. USDC-ORE" on Justia Law

The Ninth Circuit denied without prejudice a petition for a writ of mandamus where federal defendants sought an order directing the district court to dismiss a case seeking various environmental remedies. Plaintiffs, twenty-one young individuals, filed suit alleging defendants have contributed to climate change in violation of plaintiffs' constitutional rights. Defendants argued that allowing the case to proceed would result in burdensome discovery obligations on the federal government that would threaten the separation of powers. The panel held that defendants did not not satisfy the Bauman factors at this stage of the litigation, and the issues that defendants raised on mandamus were better addressed through the ordinary course of litigation. In this case, the district court had not issued a single discovery order, plaintiffs have not filed a single motion seeking to compel discovery, any merits errors were correctable through the ordinary course of litigation, and there was no controlling Ninth Circuit authority on any of the theories asserted by plaintiff. Therefore, the panel declined to exercise its discretion in granting mandamus relief. View "United States v. USDC-ORE" on Justia Law

This case concerned remedies in various appeals arising from claims for breach of contract and fraud. The Ninth Circuit held that the district court's orders on July 26, 2010, and October 8, 2013, affirming defendants' right to recover restitution, were sound; in regard to the December 17, 2014 order, the district court erred in allowing the judgment creditor to recover in restitution in light of Ward v. Sherman, 100 P. 864 (Cal. 1909); the judgment creditor's challenges to the October 8, 2013 order denying the judgment creditor's request for rescission of its quota share reinsurance agreement was rejected; the May 19, 2015 order granting in part and denying in part defendants' motion to recover post-appeal attorneys' fees under California Civil Code 1717 was reversed; and because the judgment creditor's restitution award was reversed, the district court's July 14, 2015 order denying defendants' motion to retax costs was reversed and remanded for reconsideration. View "PSM Holding Corp. v. National Farm Financial Corp." on Justia Law

This case concerned remedies in various appeals arising from claims for breach of contract and fraud. The Ninth Circuit held that the district court's orders on July 26, 2010, and October 8, 2013, affirming defendants' right to recover restitution, were sound; in regard to the December 17, 2014 order, the district court erred in allowing the judgment creditor to recover in restitution in light of Ward v. Sherman, 100 P. 864 (Cal. 1909); the judgment creditor's challenges to the October 8, 2013 order denying the judgment creditor's request for rescission of its quota share reinsurance agreement was rejected; the May 19, 2015 order granting in part and denying in part defendants' motion to recover post-appeal attorneys' fees under California Civil Code 1717 was reversed; and because the judgment creditor's restitution award was reversed, the district court's July 14, 2015 order denying defendants' motion to retax costs was reversed and remanded for reconsideration. View "PSM Holding Corp. v. National Farm Financial Corp." on Justia Law