Justia Transportation Law Opinion Summaries

BNSF Railway sought a declaration that the Interstate Commerce Commission Termination Act of 1995 (ICCTA) preempts Clark County, Washington’s permitting process. Clark County asserted that BNSF needed to obtain a permit for a project to upgrade an existing track and construct a second track in the Columbia River Gorge.The Ninth Circuit affirmed summary judgment in favor of BNSF. Under the ICCTA, the Surface Transportation Board has exclusive jurisdiction over rail carriers and track construction. If an apparent conflict exists between the ICCTA and a federal statute, then the courts must strive to harmonize the two laws, giving effect to both if possible. The court rejected an argument that the Columbia River Gorge National Scenic Area Act is such a federal statute. The Gorge Act does not establish national environmental standards but provides a framework for a commission of state-appointed officials to adopt a management plan and implement it through county land use ordinances. The Columbia River Gorge Commission retains final say over the approval and enforcement of the management plan and local county ordinances; enforcement actions may be brought in state court. The Gorge Act is not comparable to federal environmental laws and nothing in the Gorge Act indicates that the local ordinances otherwise have the force and effect of federal law. View "BNSF Railway Co. v. Friends of the Columbia River Gorge" on Justia Law

Under the 2008 Rail Safety Improvement Act, the Secretary of Transportation must promulgate regulations requiring certain railroad carriers to “develop a railroad safety risk reduction program,” 49 U.S.C. 20156(a)(1)(A)), within a specified time frame, The Secretary delegated this regulatory authority to the Federal Railroad Administration (FRA), which was required to conduct a study to determine whether it is in the public interest to withhold from discovery in litigation information gathered for implementation or evaluation of a risk reduction program. The FRA selected the Baker Botts law firm to conduct that study. Baker Botts concluded that it is in the public interest to protect the safety information railroads gather for risk reduction programs from discovery and use in litigation.In 2020 the FRA issued the Risk Reduction Program Final Rule (RRP Rule), mandating that each qualifying railroad establish and implement a risk reduction program with specified requirements. The FRA acknowledged that although the Act requires a risk reduction program to include a fatigue management plan, such plans were not addressed in this rulemaking and would be elaborated in a separate rulemaking. The FRA recently issued a notice of proposed rulemaking regarding fatigue management plans. The RRP Rule protects specific safety information railroads compile or collect from discovery and admissibility.The D.C. Circuit upheld the RRP, rejecting arguments by labor unions and attorneys representing railroad employees that it was untimely, arbitrary, and based on a study conducted by a biased contractor. View "Transportation Division of the International Association of Sheet Metal, Air, Rail and Tranportation Workers v. e Federal Railroad Administration" on Justia Law

Turner, a Wisconsin resident, filed a putative class action against Costa, an Italian cruise operator, and its American subsidiary, alleging that their negligence contributed to an outbreak of COVID-19 aboard the Costa Luminosa during his transatlantic voyage beginning on March 5, 2020. The Luminosa had evacuated a passenger, who subsequently died of COVID-19, from a cruise immediately preceding Turner’s cruise. Costa told passengers that the ship was safe. It did not hire any experts to verify that the ship had been sufficiently cleaned and allegedly failed to refuse boarding to individuals who had COVID-19 symptoms or had traveled to high-risk areas. On March 8, the Luminosa had docked to transport passengers with COVID-19 symptoms to the hospital but did not inform passengers of those circumstances, When passengers disembarked on March 19, 36 of the 75 passengers tested positive for COVID-19. The Eleventh Circuit affirmed the dismissal of Turner’s complaint on forum non conveniens grounds. Turner's passage ticket contract included a forum selection clause requiring that all claims associated with his cruise be litigated in Genoa, Italy. Forum selection clauses are presumptively valid and enforceable; Turner failed to defeat the presumption by showing that the clause was induced by fraud or overreaching, that he would be deprived of his day in court because of inconvenience or unfairness, the chosen law would deprive him of a remedy or enforcement of the clause would contravene public policy.’ View "Turner v. Costa Crociere S.P.A." on Justia Law

Romero, a truck driver employed by Watkins, an interstate trucking business, made deliveries only to retail stores in California. To complete paperwork and training, Romero periodically logged in to an online portal that required a unique employee identification number and password. Romero’s unique user account completed a set of “Associate Acknowledgements,” through which he clicked “I Agree,” signifying that he read and agreed to the Arbitration Policy, a stand-alone agreement that purports to waive any right to bring or participate in a class action; it states that the agreement is “governed by the Federal Arbitration Act,” and purports to waive "any provision of the FAA which would otherwise exclude [the agreement] from its coverage.” However, if "this [agreement] and/or its Waiver Provisions are not subject to and governed by the FAA, then the laws of the State of Nevada . . . will be the applicable state law.” The Arbitration Policy was not a condition of employment. Romero did not opt-out. In August 2019, Watkins announced it would cease operations. Romero and other employees were laid off.Romero filed a putative class action under the California and federal WARN Acts, 29 U.S.C. 2101, which require advance notice to employees before being laid off. The district court granted a motion to compel arbitration. The NInth Circuit affirmed, while noting that the Federal FAA exemption of employment contracts for transportation workers applies and cannot be waived by private contract. View "Romero v. Watkins & Shepard Trucking, Inc." on Justia Law

The First Circuit affirmed the district court's final judgment against Plaintiffs on their claims that Uber Technologies competed unlawfully in the on-demand, ride-hail ground transportation in and around Boston, Massachusetts, holding that Uber did not compete unfairly in violation of statutory and common law prohibitions governing the commercial marketplace.Plaintiffs - owners of companies that dispatched, leased, and maintained taxicab vehicles and owned taxi medallions - brought this complaint alleging that, in violation of Boston regulations, Uber caused asset devaluation by competing unfairly under Mass. Gen. Laws ch. 93A, violating the common law for unfair competition, and aiding and abetting a conspiracy to engage in unfair competition. The district court issued judgment in favor of Defendants. The First Circuit affirmed, holding that Uber's conduct in the transportation market during a period of regulatory uncertainty did not violate the statutory or common law governing the commercial marketplace. View "Anoush Cab, Inc. v. Uber Technologies, Inc." on Justia Law

The Ninth Circuit affirmed the district court's preliminary injunction in favor of BNSF in an action brought by BNSF, alleging that several California counties are taxing railroad property at a higher rate than the rate applicable to commercial and industrial property in the same assessment jurisdiction, in violation of the Railroad Revitalization and Regulatory Reform Act of 1976, 49 U.S.C. 11501(b)(3).As a preliminary matter, the panel held that the district court had jurisdiction over the action under section 11501(c), and the panel has jurisdiction under 28 U.S.C. 1292(a). The panel concluded that the district court applied the correct preliminary injunction standard under section 11501, which does not require courts to consider traditional equitable factors. Rather, binding circuit precedent establishes that a railroad is entitled to a preliminary injunction if its evidence demonstrates reasonable cause to believe that a violation of section 11501 has been, or is about to be committed. The panel also concluded that the district court properly analyzed BNSF's tax rate under the Trailer Train framework, and concluded that the counties were overtaxing BNSF's property in violation of section 11501(b)(3). The court suggested, as proceedings continue, that the district court consider in the first instance whether the State or the county is the proper assessment jurisdiction. View "BNSF Railway Co. v. County of Alameda" on Justia Law

After plaintiff, who was employed by Hulcher Services, lost several fingers at work in an accident at the railyard, he filed suit against Norfolk, the railyard owner, under the Federal Employers' Liability Act (FELA).The Fifth Circuit affirmed the district court's grant of summary judgment in favor of Norfolk, concluding that plaintiff failed to show that he was an employee of Norfolk and thus he could not recover under FELA. The court explained that plaintiff failed to show that Norfolk controlled the performance of his work or retained the right to do so. View "Wheeler v. Norfolk Southern Railway Co." on Justia Law

The Supreme Court answered a certified question from the United States Court of Appeals for the Seventh Circuit regarding whether a private school was entitled to receive public funding to transport children to its school.St. Augustine School applied for transportation benefits pursuant to Wis. Stat. 121.51 and 121.54, under which private schools are entitled to receive public funding to transport children to their schools but only one affiliated school per "religious denomination" can receive the funding in each "attendance area." The Superintendent of Public Transportation denied the application on the grounds that St. Gabriel was another school of the same religious denomination within the same attendance area. The certified question asked what information the Superintendent may consider in making a determination regarding whether two schools are affiliated with the same religious denomination. The Supreme Court answered that the Superintendent is not limited to consideration of a school's corporate documents exclusively but may also conduct a neutral and secular inquiry. View "St. Augustine School v. Taylor" on Justia Law

Zen-Noh purchased grain shipments. Sellers were required to prepay barge freight and deliver the product to Zen-Noh’s terminal but were not required to use any specific delivery company. Ingram, a carrier, issued the sellers negotiable bills of lading, defining the relationships of the consignor (company arranging shipment), the consignee (to receive delivery), and the carrier. Printed on each bill was an agreement to "Terms” and a link to the Terms on Ingram’s website. Those Terms purport to bind any entity that has an ownership interest in the goods and included a forum selection provision selecting the Middle District of Tennessee.Ingram updated its Terms and alleges that it notified Zen-Noh through an email to CGB, which it believed was “closely connected with Zen-Noh,” often acting on Zen-Noh's behalf in dealings related to grain transportation. Weeks after the email, Zen-Noh sent Ingram an email complaining about invoices for which it did not believe it was liable. Ingram replied with a link to the Terms. Zen-Noh answered that it was “not party to the barge affreightment contract as received in your previous email.” The grains had been received by Zen-Noh, which has paid Ingram penalties related to delayed loading or unloading but has declined to pay Ingram's expenses involving ‘fleeting,’ ‘wharfage,’ and ‘shifting.’” Ingram filed suit in the Middle District of Tennessee. The Sixth Circuit affirmed the dismissal of the suit. Zen-Noh was neither a party to nor consented to Ingram’s contract and is not bound to the contract’s forum selection clause; the district court did not have jurisdiction over Zen-Noh. View "Ingram Barge Co., LLC v. Zen-Noh Grain Corp." on Justia Law

The Eighth Circuit affirmed the district court's grant of summary judgment in favor of BNSF in an action brought by plaintiff, alleging constructive discharge and intentional infliction of emotional distress (IIED) under Nebraska law. The court concluded that the Railway Labor Act (RLA) divested the district court of subject matter jurisdiction over plaintiff's constructive discharge claim and thus the claim was properly dismissed.However, the court concluded that the district court erred in dismissing the IIED claim under Federal Rule of Civil Procedure 12(b)(1) because that claim can be resolved interpreting the collective bargaining agreement. Therefore, the district court did have subject matter jurisdiction over the claim. Nevertheless, the court concluded that dismissal was appropriate under Rule 12(b)(6) because the complaint failed to state a claim of intentional infliction of emotional distress under Nebraska law no matter what the collective bargaining agreement says. In this case, plaintiff alleged that BNSF or its employees disciplined and fired him without cause and berated him with expletive laced language and threats of physical violence. The court explained that it is unnecessary to interpret the collective bargaining agreement to conclude that these allegations do not support a reasonable inference of liability. Rather, plaintiff's allegations of discipline and termination without cause are insufficient to generate a reasonable inference of liability because discipline and termination without cause are not so outrageous that they give rise to a cause of action for intentional infliction of emotional distress under Nebraska law. View "Richardson v. BNSF Railway Co." on Justia Law