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

The 1987 Public Utilities Act, 220 ILCS 5/8-403.1, was intended to encourage development of power plants that convert solid waste to electricity. Local electric utilities were required to enter into 10-year agreements to purchase power from such plants designated as “qualified” by the Illinois Commerce Commission, at a rate exceeding that established by federal law. The state compensated electric utilities with a tax credit. A qualified facility was obliged to reimburse the state for tax credits its customers had claimed after it had repaid all of its capital costs for development and implementation. Many qualified facilities failed before they repaid their capital costs, so that Illinois never got its tax credit money back. The Act was amended in 2006, to establish a moratorium on new Qualified Facilities, provide additional grounds for disqualifying facilities from the subsidy, and expand the conditions that trigger a facility’s liability to repay electric utilities’ tax credits. The district court held that the amendment cannot be applied retroactively. The Seventh Circuit affirmed. The amendment does not clearly indicate that the new repayment conditions apply to monies received prior to the amendment and must be construed prospectively. View "Illinois v. Chiplease, Inc." on Justia Law

Seitz and Welter were partners in Wasco, a property management company. Greg was also a police officer. Elgin’s police chief confronted Greg with the emails showing that Greg had used the Law Enforcement Agencies Data System (LEADS) to research cars parked in front of Wasco properties. Illinois limits use of LEADS to criminal justice purposes. The chief notified Gregg of a misconduct investigation regarding his use of LEADS. The city allegedly received its information after Tamara, Greg’s then wife and a fellow police officer, and Beeter accessed Greg’s email account and conveyed print-outs to the corporation counsel under cover of anonymity. Greg and Seitz sued Tamara and Beeter, alleging violations of the Federal Wiretap Act (FWA), the Stored Communications Act (SCA), and the Computer Fraud and Abuse Act, and state law claims. They sued Elgin under the FWA. The district court dismissed the complaint against the city, concluding that the FWA, 18 U.S.C. 2511(1) prohibits “persons” from intercepting communications, but does not extend its definition of “person” to municipalities. The Seventh Circuit affirmed. A 1986 amendment permits suit against governmental units by adding “entity” to the text, but only for substantive provisions that identify an “entity” as a potential violator of that provision. View "Seitz v. City of Elgin" on Justia Law

A 1952 collective bargaining agreement still governs aspects of the employment of some members of the Brotherhood of Locomotive Engineers and Trainmen, including the attendance and leave policy. In 2003 the Union Pacific Railroad adopted a new attendance policy. The union demanded arbitration under the Railway Labor Act, 45 U.S.C. 153, arguing that the new attendance policy conflicted with the 1952 agreement. An arbitrator found that the 2003 attendance policy did not conflict with the 1952 agreement. The union sought to vacate the arbitration award. The district court granted summary judgment against the union. The Seventh Circuit affirmed, holding that the arbitrator did not exceed his jurisdiction in interpreting the 1952 agreement. View "Bhd. of Locomotive Eng'rs & Trainmen v. Union Pac. R.R. Co." on Justia Law

Swanson purchased a lakeside home, next to the home of Whitworth, the elected mayor of Chetek. Swanson obtained a permit for “remodel-repair” and began work, including installation of a three-foot high fence between his property and Whitworth’s and along the street. Whitworth repeatedly told a building inspector that he should not have issued a permit; repeatedly entered the Swanson house without permission; used his influence to cause another inspector to delay a fence permit; told the fence installation team that Swanson was a drug dealer and unlikely to pay; and caused municipal prosecution of Swanson for construction of the fence in violation of a five-foot setback that did not apply to Swanson’s fence. Meanwhile, another neighbor of Swanson, installed a fence that encroached on part of Swanson’s property, without a permit, and was not prosecuted. Swanson filed a class-of-one equal protection suit and defamation and slander claims. The magistrate judge granted summary judgment for Whitworth, finding that Swanson did not show a similarly situated individual who received more favorable treatment. The Seventh Circuit reversed. A clear showing of animus, absent a “robust comparison” to a similarly situated individual, may sustain a class-of-one equal protection claim. View "Swanson v. Whitworth" on Justia Law

The U.S. Commodity Futures Trading Commission served administrative subpoenas on Worth, a precious metal wholesaler, Mintco, a precious metal dealer, and DSD, a depository that stores precious metals, seeking documents relating to purchases and sales of precious metals, in connection with its investigation into whether those companies violated the Commodity Exchange Act, 7 U.S.C. 1. The companies handed over the requested documents, but redacted the names and contact information of the individual customers, retailers, and intermediaries, asserting that they (the companies) were covered by the Right to Financial Privacy Act, which requires that customers of a “financial institution” be given notice and the opportunity to object before any disclosures, 12 U.S.C. 3401, 3402(2), 3405. The district court held that the RFPA does not apply to the companies. The Seventh Circuit affirmed, finding that the nature of the businesses is readily distinguishable from that of the other entities listed in the RFPA’s definition of “financial institution.” View "Commodities Futures Trading Comm'n v. Worth Bullion Grp. Inc., " on Justia Law

Under the Federal Mine Safety & Health Act of 1977, the Secretary of Labor protects the health and safety of miners, acting through the Federal Mine Safety and Health Administration (MSHA). Regulations under the Act require mine operators to report all mine-related injuries and illnesses suffered by employees. In 2010, MSHA acted on a new and broader interpretation and informed 39 mine operators that they would be required to permit MSHA inspectors to review employee medical and personnel records during inspections. Two operators refused to provide the records. MSHA issued citations and imposed penalties. An ALJ and the Review Commission found that the demands and enforcement were lawful under 30 U.S.C. 813(h) and 30 C.F.R. 50.41. Mine employees intervened to raise personal privacy challenges. The Seventh Circuit denied a petition for review, rejecting arguments that MSHA does not have authority for the requirement; that 30 C.F.R. 50.41 is not a reasonable interpretation of the Act and was not properly promulgated; that the requirement infringes operators’ Fourth Amendment right not to be searched without a warrant; that the demands violate the miners’ Fourth Amendment privacy rights in their medical records; and that penalties imposed for noncompliance violate the operators’ Fifth Amendment due process rights. View "Bickett v. Fed. Mine Safety & Review Comm'n" on Justia Law

During her birth in 2004, the 11-pound baby became lodged in the mother’s pelvis, so that nerves in her shoulder were injured (brachial plexus injury), resulting in a limited range of movement in her right arm A few months later her mother consulted a lawyer, who recommended against suing. Fifteen months later the mother consulted another lawyer; he agreed to represent her, but 16 months later, he withdrew. Finally, in 2010, the mother filed a malpractice suit against the Erie Family Health Center and the Center’s nurse-midwives who had provided her prenatal care. Erie is a private enterprise, but it receives grant money from the U.S. Public Health Service, so that its employees are deemed federal employees, 42 U.S.C. 233(g)(1)(A),(g)(4) and tort suits against it or its employees can be maintained only under the Federal Tort Claims Act, 42 U.S.C. 233(a),(g)(1)(A). The district court found the claim time-barred. The Seventh Circuit affirmed. While the limitations period for a tort suit under Illinois law would be eight years for a minor, 735 ILCS 5/13-212(b), the extension of the statute of limitations for a child victim does not apply to claims governed by the Federal Tort Claims Act. View "Arteaga v. United States" on Justia Law

The Illinois Department of Children and Family Services removed Woods, then seven years old from his parents’ home in 1991 and placed him in a residential treatment facility. There had been many reports of sexual abuse among residents of the facility and Woods, claiming to have been abused by another resident, filed suit under 42 U.S.C. 1983. The district court dismissed the suit as untimely because Woods failed to bring his claim within two years of its accrual, rejecting Woods’s contention that the 20-year limitations period applicable in Illinois to personal injury claims based on childhood sexual abuse applied. The Seventh Circuit affirmed. The limitations period applicable to all Section 1983 claims brought in Illinois is two years, as provided in 735 ILCS 5/13-202, and this includes claims involving allegations of failure to protect from childhood sexual abuse. View "Woods v. IL Dep't of Children & Family Servs." on Justia Law

Plaintiffs were riding in the family’s 1978 station wagon in 2007, in heavy rain with limited visibility. Williams, a recently hired substitute letter carrier for the Postal Service, was in a postal truck, parallel parked on the side of the road with the front of the truck sticking out. Williams had visited a friend and, in violation of USPS rules, was away from his designated route. The vehicles collided, damaging the station wagon. Plaintiffs claim that Williams refused to call police and left the scene, afraid of losing his job. Williams first denied involvement, then resigned. After exhausting administrative remedies, plaintiffs sued under the Federal Tort Claims Act, seeking $45 million. They did not offer any expert testimony on the cause of the collision. Williams did not appear at trial, but in a deposition stated that his vehicle was stationary at the time of the collision. Asked to reconcile this a with the fact that the back end of the car came into contact with the postal truck, Williams responded that he had no explanation and that it was “mystical.” The district court declined to find that Williams breached his duty of ordinary care. The Seventh Circuit affirmed. View "Furry v. United States" on Justia Law

Wisconsin police recruits must complete probation. Statewide requirements are set by the Law Enforcement Standards Board (LESB), Wis. Stat. 165.85. Milwaukee has interpreted Wis. Stat. 62.50(3)(b) as authority to adopt additional requirements; no new recruit becomes a full officer before 16 months of “actual active service.” Ramskugler’s probation in Milwaukee began in October 2007. Days later, Ramskugler injured her knee during training. The Department assigned Ramskugler to clerical duties. In November, she was given 2.5 months of leave for knee surgery. Ramskugler returned to duty in a clerical capacity for several months. She obtained medical clearance for unrestricted duty, but had to wait for the next recruit class to begin. Before graduating in November 2008, Ramskugler re-injured her knee. She had completed the course. After more leave and a second surgery, Ramskugler returned to clerical duties in January 2009. Although Ramskugler was a “law enforcement officer,” as defined by the LESB, she was on probation in Milwaukee, which did not consider clerical duties “actual active service.” The district court rejected a suit and, while appeal was pending, Ramskugler accepted a settlement. The Seventh Circuit dismissed the appeal as moot, holding that the union lacked standing to bring suit on its own behalf. View "Milwaukee Police Assoc. v. Bd. of Fire & Police Comm'rs" on Justia Law