Professional Documents
Culture Documents
February 8, 1994
No. 93-1445
__________________
APPEAL FROM THE UNITED STATES DISTRICT COURT
FOR THE DISTRICT OF RHODE ISLAND
[Hon. Ronald R. Lagueux, U.S. District Judge]
___________________
___________________
Before
Breyer, Chief Judge,
___________
Selya and Boudin, Circuit Judges.
______________
___________________
__________________
__________________
appeals from
Rhode
Island
dismissing his
Deposit
Insurance Corporation
failed
Capitol
Bank
and
suit
(FDIC),
Trust
against
the Federal
as receiver
Company,
for the
of
Boston,
November
1990,
building in Providence,
the
appellant
purchased
an
apartment
the Bank.
Under
At the closing,
by a mortgage on
failed.
FDIC,
of the complex.
the property.
In
disaffirmed
the
note, secured
Bank
original agreement
to
finance renovations.
In due course, appellant filed a proof of claim with the
FDIC.
The proof was not acted upon within the required 180-
day
the
FDIC
notified
intended to
1821(d)(5)(A)(i).
appellant
foreclose.
on March
On March 17,
4,
Nevertheless,
1992,
that
it
appellant responded by
state court.
He sought
-2-
On
United
March 30,
1992, the
FDIC removed
the case
to the
of Columbia.
See
___
12
remove
court")
U.S.C.
1819(b)(2)(B)
action "to
& 12
territorial
the
1821(d)(6)(A)
of
the United
District
of
disallowed by
FDIC
appropriate United
U.S.C.
court
(giving
authority to
States
district
(giving "district
States
for
or
the district
Columbia"
the FDIC).
jurisdiction
On
April 2,
over
the
any
for
claim
FDIC moved
to
transfer the case to the United States District Court for the
District
of Rhode Island
and witnesses."
transferred
28
the
U.S.C.
case
on
1404(a).
April
The
23,
of parties
district court
1992.
Appellant's
for
case
lack
had returned
of subject
north, the
matter
FDIC moved
jurisdiction
to
and for
At the same time, the FDIC also argued that appellant's claim
for injunctive
relief was
barred by
12 U.S.C.
____________________
1.
1821(j).1
-3-
The
district
court
jurisdiction.
dismissed
the
case
for
want
of
F.2d 703,
1821(j).
707 (1st
Cir. 1992);
the property
(giving
statutory powers as
of a
debtor.
see
___
also 12
____
U.S.C.
12 U.S.C.
1821(d)(B)(ii)
the [failed]
institution").
Thus, the
district court
was
property barred by
____________________
12 U.S.C.
1821(j) (emphasis supplied). According to the
FDIC, none of the statutory exceptions authorize injunctive
relief of the kind sought by appellant.
2. The district judge determined that the suit was barred
both because the court lacked jurisdiction pursuant to 12
U.S.C.
1821(d)(6)(A) and because it had no jurisdiction
over a case removed from a state court which itself did not
have jurisdiction over the original case. While it was once
settled law that a federal court's removal jurisdiction was
derived from the state court's jurisdiction, this rule has
been abolished by statute.
See 28 U.S.C.
1441(e). Thus,
___
we address only the effect of 12 U.S.C.
1821(d)(6)(A) on
the district court's jurisdiction.
-4-
Appellant's
cancellation of
lie
in
the
maw
claims
for
equitable
the statute,
reformation
no better.
for,
in
and/or
These claims
the
statutory
respect
institution
for
receiver."
12 U.S.C.
to
which
[]
the assets
the Corporation
1821(d)(13)(D).
of
has
a[]
depository
been appointed
By its
terms, the
those
instances
"otherwise
provided"
in section
1821(d).
Id.; see also Marquis v. Federal Deposit Ins. Corp., 965 F.2d
__
___ ____ _______
_________________________
1148, 1153 (1st Cir. 1992).
the federal
over
courts are
claims
against
We
barred
the
its
express
implies
circumstances),
section 1821(d).
jurisdiction,
existence
of
by
of
virtue
12 U.S.C.
depository
that, in addition
section
the
various
in
other
subsections of
910, 912-13
provision in
to
1821(d) also
jurisdiction
(5th Cir.
failed
of
jurisdiction
at 1153 (suggesting
grants of
the
from asserting
assets
to
We further
jurisdictional provision of
control
-5-
over
the
more
section
general
jurisdictional
grant found
in 12
U.S.C.
application") (citing
1819(b)(2)(A).3
over one of
more general
v. J.T. Gibbons,
_____________
seeks to
after all,
jurisdiction
upon federal
the
Rather,
FDIC
district
maintained
District
of
courts to
that
the
appellant's
for
its
Massachusetts)
in
the
the
expressly confers
entertain suits
the
Columbia,
only
claims
district
principal
and
statute
based
ruled
over
court
haven
below,
jurisdiction
safe
section 1821(d)(6)(A)
find
see
___
12
were
where
place
federal
courts
urged by
which
the
the
federal
failed
of
business
district
court
U.S.C.
had
bank
(here,
for
the
1821(d)(6)(A).4
____________________
3.
12 U.S.C.
1819(b)(2)(A).
a claimant
Lloyd's
appeal attacks
this
ruling.
now
contends
that
that can
be waived (and
instance).
We
think
1821(d)(6)(A)
but is instead
which the
the
appellant
has
section
jurisdictional limitation,
And
is
a venue provision
FDIC was
not
right
in this
the first
time
around.
For
one
1821(d)(6)(A)
limited
thing,
indicates
See
___
id.
__
plain
that it
language
is a
of
section
jurisdictional grant
the
that
either
such
court
of Columbia.
"shall
have
F.Supp. at
the only
958.
court
For
that, to
our knowledge,
reasoning of
has found
section
jurisdictional
F.S.B., 798
_____
section
provision.
In Vinton
______
v.
1821(d)(6)(A)
was
not
grant
Trustbank, Sav.,
________________
court held that
of
"exclusive
____________________
Court for the District of Columbia (and such court
shall have jurisdiction to hear such claim).
12 U.S.C.
1821(d)(6)(A).
-7-
third
which
court
obtained.5
read
as a
without
of
Id.
__
jurisdiction
at 1065. But
grant of
it
had
previously
section 1821(d)(6)(A)
jurisdiction to
can be
two designated
courts
exclusive grant.
Accord
______
J.F. Assocs., 813
____________
F.Supp.
at
955.
As
we interpret
it,
specified courts--but,
deprive a court
jurisdiction
1821(d)(6)(A).
that
by the
of jurisdiction
has
same token, it
where, as
source
does not
in Vinton,
______
independent
of
that
section
subsections
of
section
1821(d)
other
than
section
where
bank's
failure
postdates
the
for jurisdiction in
no
District Court
or the
viewed simply
from the
to allow for
Consequently, even
perspective
suits of
of policy,
it
this sort to
be
____________________
5.
In
tried in
where
the district
the court
is
where the
likely
transactions occurred
to be
most
and
familiar with
any
1821(d)(13)(D), compels
argument to
appropriately
us, absent
the contrary, to
determined
find that
that
it
a more
persuasive
the district
lacked
subject
court
matter
plain language
normal remedy in
however,
Lloyd,
a dismissal
who
is in
transfer to
the
Island,
any
of
1819(d)(6)(B)
disallowance
effect
means
claim
of
since
victim
District Court
(unless
of
seems unfair
of
for the
redress.
claimant
within
60
(as it did).
it would
the
Here,
deprive
FDIC-inspired
District of
See
___
requests
days
be for
of
12
Rhode
U.S.C.
review
of
determination,
____________________
6. We note that, liberally construed, appellant's complaint
also invokes 12 U.S.C.
1821(e), a statute which provides
that the FDIC may repudiate contracts entered into before its
appointment as receiver, but affords an injured party a right
to compensatory relief. See, e.g., Howell v. Federal Deposit
___ ___
______
_______________
Ins. Corp., 986 F.2d 569, 571 (1st Cir. 1993).
We do not
__________
decide whether the district court would have jurisdiction
under this section because appellant has explicitly disavowed
any intention of pursuing a breach of contract claim.
-9-
further
Since the
transfer
matter
rights or
transferor court
of
this action
jurisdiction
remedies with
over
was not
to
it,
see
___
which
28
be to a district where
brought"),
we
think it
District
Court for
the District
to such
empowered to
a court
district
Kelley,
______
respect
more
claim").
order the
lacked subject
U.S.C.
1404(a)
action to the
the
United States
of Columbia on
improvidently granted.
that
See
___
the ground
Turner v.
______
to
transferor
court
jurisdiction under
5 U.S.C.
to transferor
because
transferee
court
552(a)); Majewski
________
lacked
v. New York
________
court
because
transferee court
lacked
jurisdiction).
The
allowing
dismissal is therefore
the district
enter
court to
costs.
-10-
such an
purpose of
order.
No