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Emulex Corp. v. Varjabedian

Issues

Can an individual sue for inaccurate or missing disclosure statements in a firm’s tender offer under Section 14(e) of the Securities Exchange Act of 1934; and, is an alleged violation of Section 14(e) subject to a negligence or scienter standard of proof?

This case asks the Supreme Court to define the private right of action under Section 14(e) of the Securities Exchange Act of 1934. Gary Varjabedian and other Emulex Corporation shareholders contend that they have a right to file a private action against Emulex under Section 14(e). Emulex Corporation and Avago Technologies Wireless Manufacturing, Inc. counter that Section 14(e) does not allow a private cause of action based on negligence, and that a higher scienter standard should apply instead. The Supreme Court’s ruling will have significant implications for shareholders’ interests in the event of a merger.

Questions as Framed for the Court by the Parties

Whether the U.S. Court of Appeals for the Ninth Circuit correctly held, in express disagreement with five other courts of appeals, that Section 14(e) of the Securities Exchange Act of 1934 supports an inferred private right of action based on the negligent misstatement or omission made in connection with a tender offer.

In February 2015, the technology companies Emulex Corporation (“Emulex”) and Avago Technologies Wireless Manufacturing, Inc. (“Avago”) announced that they would be merging. Varjabedian v.

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Iancu v. Brunetti

Issues

Does the Lanham Act’s prohibition on registration of scandalous or immoral trademarks violate free speech rights guaranteed by the First Amendment?

Erik Brunetti founded a clothing brand named “FUCT” and applied to register the name as a trademark. The registration was denied by the examining attorney at the United States Patent and Trademark Office for not complying with Section 2(a) of the Lanham Act, which prohibits registration of scandalous or immoral marks. On appeal, the United States Court of Appeals for the Federal Circuit concluded that the provision was an unconstitutional violation of the First Amendment of the Constitution. Brunetti asks the Court to affirm the lower court’s invalidation of the provision because it amounts to viewpoint discrimination warranting strict scrutiny review, which the provision then fails. Iancu asks the Court to reverse the lower court decision because the scandalous marks provision is viewpoint neutral and does not impose an unconstitutional burden on speech. Iancu argues that the Court should instead apply the rational basis review standard and recognize that the provision serves legitimate government interests in protecting the moral sensibilities of all audiences as well as the orderly flow of commerce. The Court’s decision may have a chilling effect on free speech in commercial contexts and make it difficult for owners of marks deemed scandalous or immoral to reap commercial benefits from their marks.

Questions as Framed for the Court by the Parties

Whether Section 2(a) of the Lanham Act’s prohibition on the federal registration of “immoral” or “scandalous” marks is facially invalid under the free speech clause of the First Amendment.

Respondent Erik Brunetti founded a clothing brand, “FUCT,” in 1990. In re: Erik Brunetti, 877 F.3d 1330 (Fed. Cir.

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North Carolina Department of Revenue v. Kimberley Rice Kaestner 1992 Family Trust

Issues

Does the Due Process Clause of the Fourteenth Amendment permit states to tax the undistributed income of non-resident trusts based solely on the trust beneficiaries’ in-state residency?

In this case, the Supreme Court will determine whether a state in which a trust’s beneficiaries reside has the power to tax that trust’s income. Under the Due Process Clause of the Fourteenth Amendment, a state has the authority to tax an individual or entity—such as a trust—if that entity has “minimum contacts” with the state. North Carolina Department of Revenue argues that a beneficiary’s residence in a state provides sufficient minimum contacts between a trust and a state to authorize the state to tax the trust’s income. Kimberley Rice Kaestner 1992 Family Trust, on the other hand, contends that a state does not have the authority to tax a trust’s income based solely on the fact that beneficiaries reside in that state. The outcome of this case will determine the limits on state power to tax trusts and will have implications for all those involved in trust creation, management, and benefits.

Questions as Framed for the Court by the Parties

Whether the due process clause prohibits states from taxing trusts based on trust beneficiaries’ in-state residency.

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Parker Drilling Management Services, Ltd. v. Newton

Issues

Under the Outer Continental Shelf Lands Act’s choice-of-law provision, does state law apply only where federal law does not address the issue; or, does state law also apply when it addresses the issue and it is not pre‑empted by, or inconsistent with, federal law?

The Supreme Court will determine whether state wage-and-hour laws may supplement existing federal wage-and-hour laws for disputes arising on the Outer Continental Shelf (“OCS”) of the United States. The Outer Continental Shelf Lands Act (“OCSLA”) provides that state law that is “applicable and not inconsistent” with federal law may apply to cases on the OCS. The Fifth and Ninth Circuits, however, are split as to whether the OCSLA requires state law to only be used as a gap-filling device when federal law is not on point, or if state law may be used even when it supplements or overlaps with existing federal law. Petitioner Parker Drilling Company, Ltd. (“Parker Drilling”) argues that the text and legislative history of the OCSLA, as well as Supreme Court precedent, requires state laws to only be used as a gap-filling device when federal law does not address the issue. Parker Drilling also contends that even if state law can be used to supplement existing federal law, California wage-and-hour laws cannot be used because they are inconsistent with federal wage-and-hour laws. Brian Newton (“Newton”) counters that the text of the OCSLA allows for a more expansive use of state law that also includes supplementing existing federal law, as long as there is no conflict. Newton further asserts that California wage‑and‑hour laws can be applied here because they are relevant and compatible with existing federal wage‑and‑hour laws. From a policy perspective, this case is important because it may have implications for offshore drilling employer‑employee relationships and the responsibilities of federal officials administering the OCSLA.

Questions as Framed for the Court by the Parties

Whether, under the Outer Continental Shelf Lands Act, state law is borrowed as the applicable federal law only when there is a gap in the coverage of federal law, as the U.S. Court of Appeals for the Fifth Circuit has held, or whenever state law pertains to the subject matter of a lawsuit and is not pre‑empted by inconsistent federal law, as the U.S. Court of Appeals for the Ninth Circuit has held.

Beginning in January 2013, Respondent Brian Newton (“Newton”) worked for Petitioner Parker Drilling Management Services (“Parker Drilling”) on drilling platforms for approximately two years. Newton v. Parker Drilling Mgmt.

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Kisor v. Wilkie

Issues

Should the Supreme Court overrule Auer v. Robbins and Bowles v. Seminole Rock & Sand Co., which direct courts to defer to an agency’s reasonable interpretation of its own ambiguous regulation?

This case asks the Supreme Court to determine whether Auer deference—a rule that requires a court to defer to an agency’s reasonable interpretation of its own ambiguous regulation—ought to be overruled. James Kisor contends that the Auer doctrine is not part of the lawmaking authority that Congress has delegated to agencies, but it instead circumvents the limits that Congress has placed on their authority, is inconsistent with the U.S. Constitution, and lacks any policy justification. Robert Willkie, the Secretary of Veterans Affairs, counters that, while there should be significant limitations on Auer deference, altogether discarding the doctrine would have heavy practical consequences for both agencies and regulated parties. The outcome of this case will affect the ability of regulated individuals and entities to comply with agency regulations and to challenge agency interpretations of their own regulations.

Questions as Framed for the Court by the Parties

Whether the Supreme Court should overrule Auer v. Robbins and Bowles v. Seminole Rock & Sand Co., which direct courts to defer to an agency’s reasonable interpretation of its own ambiguous regulation.

Petitioner James L. Kisor is a veteran who served on active duty in the Marine Corps from 1962 to 1966. Kisor v. Shulkin at 1361. Kisor filed a claim for disability compensation benefits with the Department of Veteran Affairs (“VA”) Regional Office in Portland, Oregon in 1982, claiming that he suffered from post-traumatic stress disorder (“PTSD”).

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Lamone v. Benisek

Issues

Is partisan gerrymandering a form of unconstitutional First Amendment retaliation that is justiciable by the courts?

In this case, the Supreme Court will determine whether Maryland’s 2011 redistricting of the Sixth Congressional District constituted unlawful partisan gerrymandering in violation of the First Amendment, and whether the First Amendment retaliation framework used by the district court provided manageable standards to decide this case. Specifically, the Court will consider whether legislators redrew electoral maps in retaliation to citizens’ political affiliations and voting histories. Appellant Linda H. Lamone argues that although the redistricting process may be tainted by partisan bias, redistricting does not necessarily indicate an intent to punish citizens for their party affiliations and voting histories. Appellee O. John Benisek counters that the proper question is whether electoral maps were redrawn because of citizens’ political affiliations and voting histories, irrespective of malicious retribution. This case could have a meaningful impact on the scope of lawful electoral redistricting and whether the Court should consider legislators’ subjective intent when making this determination.

Questions as Framed for the Court by the Parties

(1) Whether the various legal claims articulated by the three-judge district court are unmanageable; (2) whether the three-judge district court erred when, in granting plaintiffs’ motion for summary judgment, it resolved disputes of material fact as to multiple elements of plaintiffs’ claims, failed to view the evidence in the light most favorable to the non-moving party, and treated as “undisputed” evidence that is the subject of still-unresolved hearsay and other evidentiary objections; and (3) whether the three-judge district court abused its discretion in entering an injunction despite the plaintiffs’ years-long delay in seeking injunctive relief, rendering the remedy applicable to at most one election before the next decennial census necessitates another redistricting.

After the 2010 census, the State of Maryland engaged in the redistricting of its eight congressional districts and forty-seven legislative districts to equalize each district’s population. Benisek v.

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PDR Network, LLC v. Carlton & Harris Chiropractic Inc.

Issues

Does the Hobbs Act compel district courts to defer to an agency’s interpretation of a statute?

This case asks the Supreme Court to determine whether 28 U.S.C. § 2342, commonly known as the Hobbs Act, required a federal district court to adhere to the Federal Communication Commission’s (“FCC”) interpretation of the Telephone Consumer Protection Act (“TCPA”). In 2016, Carlton & Harris Chiropractic sued PDA Network, after the latter sent an unsolicited facsimile announcing a free eBook edition of The Physician’s Desk Reference. Carlton & Harris argued that the fax constituted an advertisement for the purposes of the TCPA, which prohibits unsolicited advertisements. The United States District Court for the Southern District of West Virginia held that the fax was not an advertisement. The United States Court of Appeals for the Fourth Circuit reversed, holding that, under the Hobbs Act, the district court had failed to properly defer to the FCC’s interpretation of the TCPA. PDR Network contends that the Hobbs Act does not undermine district courts’ ability to interpret the TCPA in civil suits between private litigants, and that the Hobbs Act should be construed narrowly, to facilitate judicial review and preserve separation of powers. Carlton & Harris argue that the Hobbs Act required the district court to defer to the FCC’s legal interpretation of the TCPA, maintaining that in agency actions such as this one, Congress has explicitly reserved interpretive powers to appellate courts. The outcome of this case will affect judicial decision-making, agency determinations and the corresponding deference, and the scope of the Hobbs Act.

Questions as Framed for the Court by the Parties

Whether the Hobbs Act required the district court in this case to accept the Federal Communication Commission’s legal interpretation of the Telephone Consumer Protection Act.

Carlton & Harris Chiropractic (“Carlton & Harris”) is a West Virginia chiropractic office; PDR Network (“PDR”) sells healthcare products to doctors and other healthcare providers. Carlton & Harris Chiropractic, Inc. v. PDR Network et al. (“PDR et al.”) at 4.

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Rucho v. Common Cause

Issues

Do voters targeted by partisan gerrymandering have standing to bring a constitutional claim; is such a claim justiciable, or is it barred by the political question doctrine; and, how would voters then prove a constitutional violation?

In this case, the Supreme Court will determine whether claims of partisan gerrymandering may be heard by the courts, and if so, upon what standards such claims should be evaluated. In 2016, North Carolina adopted a new congressional district map with the express purpose of protecting Republican congressional delegates. Federal district court judges from the Middle District of North Carolina invalidated the map after voters and related groups claimed that the new district map violated voters’ rights under the First Amendment, the Equal Protection Clause, and the Elections Clause. As part of this ruling, the lower court determined that there was an injury sufficient to give the voters standing while also holding that the issue of partisan gerrymandering is not barred from judicial review by the political question doctrine. The case was then appealed directly to the Supreme Court, which will seek to answer the procedural and substantive questions while wrestling with a large body of competing jurisprudence. The decision could potentially open the courts to additional challenges by voters in several states and have implications for the scope of lawful electoral redistricting.

Questions as Framed for the Court by the Parties

  1. Whether plaintiffs have standing to press their partisan gerrymandering claims.
  2. Whether plaintiffs’ partisan gerrymandering claims are justiciable.
  3. Whether North Carolina’s 2016 congressional map is, in fact, an unconstitutional partisan gerrymander.

North Carolina’s congressional redistricting takes place every ten years in a process overseen by both chambers of the state’s General Assembly. Common Cause v. Rucho, 279 F. Supp. 3d 587, 599 (M.D.N.C.

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The Dutra Group v. Batterton

Issues

Are punitive damages available in personal­‑injury suits involving a breach of a general maritime duty?

The Supreme Court will determine whether the Jones Act allows punitive damages to be awarded in a personal‑injury suit involving a breach of the general maritime duty to provide a seaworthy vessel. The Dutra Group contends that Supreme Court precedent supports the proposition that the Jones Act bars punitive damages in unseaworthiness cases because it does so in negligence cases, and they are simply alternative causes of actions for the same injury. The Dutra Group also argues that punitive damages were not historically awarded in pre-Jones Act unseaworthiness cases. Christopher Batterton counters that punitive damages have traditionally been available in general maritime claims at common law and that the Jones Act did alter the remedies available in general maritime suits prior to its enactment. Additionally, Batterton asserts that the Jones Act allows for recovery of punitive damages under certain circumstances. From a policy perspective, this case is important because it has implications on the American maritime industry’s ability to compete with the foreign maritime industry, as allowing recovery for punitive damages could increase the business costs and sales prices.

Questions as Framed for the Court by the Parties

Whether punitive damages may be awarded to a Jones Act seaman in a personal‑injury suit alleging a breach of the general maritime duty to provide a seaworthy vessel.

Respondent, Christopher Batterton, worked as a deckhand on a ship owned and managed by the Dutra Group, Petitioner. Batterton v. Dutra Group at 4. In a work accident, pressurized air blew a hatch cover open, crushing Batterton’s left hand and leaving him permanently disabled.

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Cochise Consultancy Inc. v. United States, ex rel. Hunt

Issues

In a False Claims Act qui tam action in which the United States government does not intervene, under what circumstances may the relator rely on the statute of limitations set forth in 31 U.S.C. § 3731(b)(2)?

This case asks whether relators can benefit from the longer of the False Claims Act’s two statutes of limitations. The False Claims Act (“FCA”) contains two statutes of limitations, and circuits are split as to whether both statutes of limitations apply to private individuals. Cochise Consultancy, Inc. and the Parsons Corporation contend that, based on a contextual interpretation of the FCA, only the Act’s six-year statute of limitations, from when the cause of action occurs, should apply to relators. Billy Joe Hunt, the relator in this suit, counters that the plain language of the statute permits relators to benefit from the FCA’s three-year statute of limitations, which begins when an official of the United States learns the materials facts of the action, even when the United States is not a party. This case will likely impact the number and costs of suits brought under the FCA.

Questions as Framed for the Court by the Parties

Whether a relator in a False Claims Act qui tam action may rely on the statute of limitations in 31 U.S.C. § 3731(b)(2) in a suit in which the United States has declined to intervene and, if so, whether the relator constitutes an “official of the United States” for purposes of Section 3731(b)(2).

In 2006, Respondent Billy Joe Hunt worked for the Parsons Corporation (“Parsons”) in Iraq to fulfill Parson’s $60 million munitions clean-up contract with the Department of Defense. United States ex rel. Hunt v. Cochise Consultancy, Inc. at 1083–84. Parsons sought bids from subcontractors and initially awarded a contract to ArmorGroup.

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