Justia U.S. 7th Circuit Court of Appeals Opinion Summaries

Senne parked his car on the street in front of his Palatine, Illinois house in violation of an ordinance. A police officer stuck a parking ticket face down under the windshield wiper; it included Senne’s name, birthdate, sex, height, weight, driver’s license number, and address (outdated), plus the vehicle’s description and vehicle identification number. Senne filed a purported class action under the Driver’s Privacy Protection Act, 18 U.S.C. 2721, which forbids knowing disclosure of personal information obtained in connection with a motor vehicle record, “except as provided in subsection (b).” Subsection (b) permits “disclosure” “in connection with any civil, criminal, administrative, or arbitral proceeding”” and “use by any government agency, including any court or law enforcement agency, in carrying out its functions.” After a remand, the court rejected his claims. The Seventh Circuit affirmed, noting that there was no evidence that anyone has ever taken a parking ticket from a windshield in Palatine and used personal information on the ticket. There has never been a crime or tort, resulting from personal information placed on traffic tickets. Had the Village made parking ticket information publicly available over the Internet, or included highly sensitive information such as a social security number, the risk of a nontrivial invasion of privacy would be much greater and might outweigh the benefits to law enforcement. View "Senne v. Village of Palatine" on Justia Law

Illinois requires that motor carriers of property, conducting intrastate operations, obtain a license from the Illinois Commerce Commission, which requires appropriate insurance or surety coverage. A carrier complies by submitting proof of insurance or bond coverage and is then issued a public carrier certificate, stating that the holder “certifies to the Commission that it will perform transportation activities only with the lawful amount of liability insurance in accordance with 92 Ill. Admin. Code 1425.” Drivers must have a copy of the license with them at all times. It is a Class C misdemeanor offense for an operator not to produce proof of registration upon request. Three carriers were cited by the ICC police for conducting regulated activity without a license. During a follow-up investigation, the carriers refused to comply, reasoning that documents sought by the ICC would reveal their rates, routes, and services, so the requirement was preempted by the Federal Aviation Administration Authorization Act, 49 U.S.C. 14501(c). The ICC rejected the argument. The Seventh Circuit affirmed summary judgment in favor of the ICC, concluding that the document requests had no significant economic impact on rates, routes or services and, alternatively, that efforts to enforce the licensing requirement are exempted from preemption. View "Nationwide Freight Sys., Inc. v. Ill. Commerce Comm'n" on Justia Law

Most federal employees receive health benefits through the Federal Employee Health Benefits Program (FEHBP). Until the 2010 enactment of the Patient Protection and Affordable Care Act (ACA), members of the U.S. Senate and House of Representatives, and their staff members, were eligible for FEHBP insurance. The ACA limited their options to plans created under the ACA or offered through a health insurance exchange established under the ACA; they could no longer receive insurance through the FEHBP (42 U.S.C. 18032(d)(3)(D)). The Office of Personnel Management conducted notice-and-comment rulemaking and issued the final rule, 78 Fed. Reg. 60653-01. Senator Johnson and his legislative counsel sought to enjoin implementation of that rule, which, they claimed, was contrary to the ACA and other law because it allows the government to make pre-tax employer contributions to non-FEHBP plans and makes members of Congress and their staffs eligible for an ACA insurance exchange reserved for small businesses. The Seventh Circuit affirmed dismissal, finding that the plaintiffs had not identified a judicially cognizable injury that is traceable to aspects of the OPM regulation that they challenge. The court noted that the challenged regulation creates a benefit for Senator Johnson and that he is free to decline that benefit. View "Johnson v. United States Office of Pers. Mgmt." on Justia Law

Enacted after the attacks of September 11, 2001, the Terrorism Risk Insurance Act (TRIA), authorizes execution, in satisfaction of judgments against terrorists, on blocked assets that are seized or frozen by the United States. The plaintiffs, victims of terror, hold a judgment against al Qaeda for their $2.5 billion subrogation claims. The Seventh Circuit vacated summary judgment in favor of plaintiffs. Although plaintiffs have constitutional and statutory standing and TRIA is a remedial statute, under the statute the only assets subject to execution are blocked assets. Assets that are subject to a United States government license for final payment, transfer, or disposition, among other requirements, do not qualify as blocked assets. By the time plaintiffs filed their initial claims, the Office of Foreign Assets Control had already issued its license and the funds had already been arrested to preserve them for forfeiture; the funds were no longer blocked. View "United States v. Art Ins.Co." on Justia Law

The plaintiff, then age 40, applied to the Social Security Commission in 2009 for benefits, claiming to be disabled from gainful employment as a result of psychiatric disorders (depression and bipolar disorder), chronic back and hip pain, and an anal fissure. He had been trained as a machinist and, until 2002, had worked intermittently as a machinist and an assembly line worker. The administrative law judge denied his claim on the ground that he was capable of performing unskilled sedentary work. The district court upheld the denial of benefits. The Seventh Circuit reversed, noting contradictions and gaps in the ALJ’s reasoning. The court did “not say that Voigt is in fact totally disabled from gainful employment, however— only that he’s entitled to a more careful analysis of his claim by the Social Security Administration.” View "Voigt v. Colvin" on Justia Law

Since 1982 Chicago has provided free or subsidized health care to certain retirees who receive pension benefits. In 2013 the ordinance establishing those benefits expired. After being notified that they would have to pay more for medical coverage in 2014, the retirees filed suit, alleging that any reduction of health care or increase in the retirees’ contribution toward it violated Art. XIII 5 of the Illinois Constitution, which says that “[m]embership in any pension or retirement system of … any unit of local government … shall be an enforceable contractual relationship, the benefits of which shall not be diminished or impaired” and the Contracts Clause of the U.S. Constitution. Following removal, the district court dismissed the suit, ruling that the Illinois Pensions Clause does not apply to health care. While the case was on appeal, the Supreme Court of Illinois held that the Pensions Clause applies to health benefits. The Seventh Circuit vacated, noting that the Illinois case did not address the exact issue in this case. Because the Supreme Court of Illinois has granted review of a similar case and because this suit began in state court, relinquishing supplemental jurisdiction is preferable to certifying questions to the state judiciary. View "Underwood v. City of Chicago" on Justia Law

Hall, an aviation mechanic, was discharged in 2001 by the military because of pain from an ankle injury. He was deemed by the Department of Veterans Affairs to be 70 percent disabled and to be “unemployable” in “a substantially gainful occupation” and totally disabled, 38 C.F.R. 4.16. In 2010 he applied for social security disability benefits on the ground that pain from his ankle injury, plus back and knee pain and other ailments, had worsened and rendered him totally disabled under Social Security Act standards. From 2005-2011 he underwent physical examinations and diagnostic tests. Some results were normal but many were not, revealing torn ligaments, obesity, possible arthritis, an “alignment problem” in his back, and fibromyalgia. Hall testified about his pain and inability to perform normal functions. The Seventh Circuit reversed the denial of benefits. Several doctors noted that Hall had been in pain when examined, which was some corroboration of his testimony. The ALJ could have resolved her doubts by ordering an MRI or directing a further examination by a medical expert. In addition, her failure to analyze and weigh the VA determination that Hall is totally disabled was a further oversight. View "Hall v. Colvin" on Justia Law

When the applicant was 15 years old, “Harrington rods” were inserted into his spine to correct a 57-degree curvature of the spine. He then developed chronic back pains. He also has cognitive difficulties. At age 20 he was determined to be eligible for social security disability benefits, but he later obtained a job at a nonprofit organization, driving disabled clients, helping with cooking and cleaning, and performing clerical tasks. The Social Security Administration determined in 1999 (when the applicant was 32) that he was not disabled and tried to recover the $65,000 in benefits. He declared bankruptcy. Three years later, he was fired because he could not keep up with the demands of the job. Two years later he reapplied for social security disability benefits. Several physicians and mental-health professionals diagnosed: chronic back pain; cubital tunnel syndrome; a somatoform disorder; depression, anxiety, panic attacks, agoraphobia, low intelligence, dizziness, migraine headaches, and deficient short-term memory. The applicant and his father testified to sleeplessness, loss of balance, blurred vision, and abdominal pain. The ALJ concluded that he was capable of unskilled light work of a routine and repetitive character and was not disabled. The Seventh Circuit reversed the denial of benefits, finding the opinion “riddled with errors.” View "Adaire v. Colvin" on Justia Law

Defendant-appellant Dr. Kamal Patel was a physician who commonly prescribed home health care services for his patients. Federal investigators learned that defendant had been receiving undisclosed payments from Grand Home Health Care. Patel was charged with six counts of violating (and one count of conspiring to violate) the Anti-Kickback Statute. During his bench trial, at the close of the government’s evidence, defendant moved to acquit, arguing that he had not “referred” any patients to Grand because there was no evidence that he steered or directed his patients to Grand; rather, the patients independently chose Grand as their provider after defendant prescribed home health care. The district court rejected that argument, holding that, even if a patient had initially chosen Grand, defendant “referred” the patient to Grand when he certified or recertified that the patient needed care, that the care would be provided by Grand, and that Grand could be reimbursed by Medicare for services provided. On appeal, defendant argued that the district court erred by holding that the certification and recertification, via a standardized Medicare form (Form 485), of patients for treatment constituted a “referral” under the Anti-Kickback Statute. He also argued that even if those certifications were referrals, there was insufficient evidence to conclude that Patel was paid “in return for” certifications, as required by the statute. Finding no reversible error, the Seventh Circuit affirmed the district court's judgment. View "United States v. Patel" on Justia Law

The Association of Administrative Law Judges, a union, represents the Social Security Administration’s administrative law judges in collective bargaining pursuant to the Federal Labor-Management Relations Act, 5 U.S.C. 7101. The Association and ALJs employed by the SSA sued, claiming that, by setting a goal that its ALJs decide 500-700 social security disability cases a year, the Administration has interfered with their decisional independence, in violation of the Administrative Procedure Act, 5 U.S.C. 554(d)(2), 3105. The district court dismissed the complaint for want of subject-matter jurisdiction, holding that the Civil Service Reform Act of 1978 precluded resort to the APA by creating remedies for “prohibited personnel practices” taken against federal employees, including “significant change in duties, responsibilities, or working conditions,” 5 U.S.C. 2302(a)(1), (2)(A)(xii), (b). The Seventh Circuit affirmed, holding that the remedy under the Administrative Procedure Act for interference with decisional independence does not extend to the incidental consequences of a bona fide production quota. View "Ass'n of Admin. Law Judges v. Colvin" on Justia Law