F ILED U.S. CO URT OF AP P EALS ELEVENTH CI RCUIT Oc tob er 24, 2 008 THO MAS K . KAHN CLERK [DO NOT PUBLISH]
IN THE UN ITED STATES COURT OF APPEALS FOR THE ELE VENTH CIRCUIT

__ __ __ __ __ __ __ __ __ __ __ __ No. 0 8- 12 21 4 Non -Arg um en t Ca le nd ar

__ __ __ __ __ __ __ __ __ __ __ __ D. C. Dock etNo. 0 7- 00 75 3- CV-RWS-1 COCA-C OLA ENT ERPRI SES INC., ENTERPRISES ACQUIS ITION COMPANY, INC., THE COCA-COLA COMPANY, THE COCA-COLA TRADING COMPANY, INC. Pl ai nt iff s- App el la nt s, ve rs us NOVELIS CORPORATION,

Defen da nt -Ap pe ll ee.

__ __ __ __ __ __ __ __ __ __ __ __ App eal fro m

th e Uni te d S ta te s Di st ric t Co urt fo r th e North ernDis tri ctof Ge or gi a

__ __ __ __ __ __ __ __ __ __ __ __ _ (Oc to ber 2 4, 2 00 8) Befo re TJ OFLAT, BLACK andCARNES, Ci rcu itJu dg es .PER CURI AM:

Co ca-C ol a Ent erp ris es ap pe al s t he di st ric t co urt’s jud gm en t g ran ti ng di sm is sa l u nd er Ru le 12 (b )(6 ) to th e d efen da nt s No ve li s C or po rat io n a ndAlca n Co rp or at io n. Coc a-Co laall eg es th atNov el is bre ach edth e m os t-f av or edna ti on 1 (MF N) pr ov is io n o f it s al um in um supp ly con tra ctby offer in g An he us er-B us chth e sa m e cei li ng m et al pri ce as Co ca-C ol a rec ei ve d, b utfora pe rio d o f ti m e th at
ex te nd edbe y on d t he en d o f th e Co ca-C ol a co nt ract . The d is tri ctco urt d is m is se d Co ca-C ol a’s co m

pl ai ntaft er fi nd in g t ha t No ve li s’ dea l wi th Anh eu se r-Bu sc h d id
no t trig ge r th e MFN c laus e. W e aff irm. I. InJan uary

20 02 th e p art ie s en te redin to a Lon g Term Mark et in g Ag reem en t
un de r whi chAlcan— an d l at er, No ve li s—wou ldpro vi de alu m in um cansh eetto Co ca-C ol a b ot tl in g c om

pani es . The Lo ng Term

Mark et in g Ag reem en t was to te rm in at e o n Dec em

be r 31 , 20 06 . Und er the co nt ract , th e p art ie s es tabl is he d t ha t th e can sh eet ’s pri ce, d es ig na te d “ P1 of t he Pri ci ng Sch edul e” wo ul d b e a fl oa ti ng am ou ntco m

pu te d b y co m bi ni ng th e m ark etpri ce o f al um in um with No ve li s’ ch arg e to co nv ertth atalu m in um in to cansh eet . The p art ie s al so ag reedth at , Novelis Corporation is, by merg er and name chang e, the succe ssor to Alcan Corporation’s 1 rights and obligations under this contrac t. 2reg ard le ss of t he m ark etpri ce fo r al um in um , th atco m po ne ntof C oc a-Co la ’s pri ce wou ldbe cap pe d a t 8 5 c en ts pe r po un d. The pa rti es als o s ettl edon a m os t-f av or edna ti on pro vi si on , des ig ne d t o pr ev en t No ve li s fr om

un de rs el li ng it s C oc a-Co lade al by offer in g b et te r te rm s t o an ot he r al um inum

bu y er. Und er the MFN, if Nov el is off

eredan y ot he r cu st om er ei th er “ (A) a l owe r co nv ers io n c os t/ lb forat l eas t thr ee m on th s . . . (B) a l owe r cei li ng or f

lo or , forat l eas t s ix m on th s . . . [or ] (C) a ny oth er el em en t, ex cep t In ve st m en t Re la te d Di sc ou nt s, tha t [m ad e] the off er m or e ad va nt ag eo us as awho le to th e cu st om er tha n P 1 o f th e Pri ci ng Sch edul e,” the n No ve li s wo ul d h av e to off er th e sa m e el em en t t o t he Co ca-C ol a b ot tl ers “ fo r th e sa m e dur at io n c ov eredby the of fer t o t he ot he r cu st om er.” InJu ne 20 04 Nov el is en te redin to a si m il ar fi ve -y ear a lu m inum supp ly
co nt ractwith An he us er-B us ch . Anh eu se r-Bu sc h re cei ve d t he same 85 -cen t cap o n it s m et al pri ce co m

po ne nt , bu t b ecau se th atco nt ractbe ga n i n 2 00 4, i ts pri ce cei li ng was e ffec ti ve th ro ug h 2 00 9. Inlat e 2 00 5 t he pri ce o f al um in um ros e ab ov e 8 5 c en ts pe r po un d. No ve li s ho no redit s co nt ractua l ce il in g fo r th atco m po ne ntinCo ca-C ol a’s co ntractun ti l i t
ex pi redinDecem

be r 20 06 . Howev er, i n n eg ot ia ti ng a ne w con tra ctwith C oc aCo la , Nov el is refu se d t o i nc lu de a pr ic e cei li ng forth e p eri odfro m 20 07 th ro ug h 320 11 . Ins te ad , th e p art ie s en te redin to a ne w con tra ct , th e So ft- Tol l Ag reem en t,

whi chco nt ai ne d n o c ei li ng onth e p ric e o f al um in um bu t d idco nt ai n a n M FN pr ov is io n. Co ca-C ol a th ensu edNov el is inGeor gi a st at e co urt, al le gi ng th atit s al um in um

sal es to Anh eu se r-Bu sc h a t 8 5 c en ts pe r po un d v io la te th e So ft- Tol l Agr eem en t. Tha t ca se is pe nd in g. 2 InApri l 2 00 7 C oc a-Co lafil eda se pa rat e co m pl ai ntag ai ns t No ve li s an d i ts pr ed eces so r Alc aninth e Uni te d S ta te s Di st ric t Co urt fo r th e North ernDis tri ctof Geo rg ia . Coc a-Co laall eg edth atNov el is ’ refu sa l t o e xt en d i ts 85 -cen t p ric e cei li ng th ro ug h 2 00 9 was a br each of t he Lon g Term Mark et in g Ag reem en t’s MFN p ro vi si on . Nov el is fil eda Ru le 12 (b )(6 ) m ot io n t o d is mis s, wh ic h t he di st ric t co urt g ran te d. Co ca-C ol a ti m el y ap pe al s. II . W e rev ie w de n ov o t he di sm is sa l o f a co m pl ai ntun de r Fed . R. Civ . P. 12 (b )(6 ), “ ap pl y in g t he same sta nd ardas d idth e d is tri ctco urt.” Ri ve ll v. Pri va te Heal th Care Sy s. In c., 52 0 F .3d13 08 , 13 09 (11 thCir . 20 08 ). The Lon g Term

Mark et in g Ag reem en t d ic ta te s, an d the pa rti es ag ree, tha t New Yorklaw ap pl ie s. Un de r New York l aw, am bi gu it y ina co nt ractua l pr ov is io n c reat es a qu es ti on of f act , andall am

bi gu it ie s m

us t b e res ol ve d i n t he Attempts to remove that ca se to fede ral c ourt failed f or lac k of complete diversity
. 2 4pl ai nt iff’s fav orat t hi s s ta ge . Etern ity Glo ba l M as te r Fu ndLtd . v. Mo rg anGuar
. Trus t Co ., 37 5 F .3d16 8, 1 78 (2dCir . 20 04 ) (ap pl y in g New Yo rklaw) (“ [A] clai m pr ed ic at edona m at eri al ly am bi gu ou s co ntractterm

is no t d is m is si bl e o n t he pl ead in gs .”). Howev er, a p la in ti ff ca nn otcrea te am bi gu it y ina co ntractsi m

pl y by al le gi ng a di ffer en t i nt erp ret at io n o f a co nt ractua l p ro vi si on . Elle ts on v. Bo nd ed In su la ti on Co ., 27 2 A.D.2 d 8 25 , 82 7, 7 08 N.Y.S.2d51 1, 5 13 (N.Y. App . Div
. 20 00 ) (“ [A]n am

bi gu it y do es no t ex is t s im

pl y be cau se th e p art ie s u rg e d iff eren t in te rp ret at io ns .”) (quo ta ti on m ark s o m it te d) . An una m bi gu ou s co nt ractua l pr ov is io n h as a “ de fin it e an d p reci se m ean in g, u na tt en de d b y da ng er o f
m is co nc ep ti on . . . an d c on cern in g wh ic h the re i s n o re as on ab le ba si s fo r a di ffer en ce o f op in io n.” Kry st al Inv es ti ga ti on s & Sec. Bu reau , Inc . v. Un it ed Parc el Serv . Inc ., 35 A.D.3d81 7, 8 18 , 82 6 N.Y.S.2 d 7 27 , 72 8 (N.Y. Ap p. Di v. 20 06 ). If the ag reem en t una m

bi gu ou sl y supp orts th e d efen da nt ’s in te rp ret at io n, the pl ai nt iff’s com

pl ai ntm ay

be di sm is se d o n t he pl ead in gs . Id., 8 26 N.Y.S.2dat 7 29 (“ Co nt rary to the pl ai nt iff’s con te nt io n, the ag reem en t b etweenth e p art ie s was cl ear a ndun am

bi gu ou s . . . . Accor di ng ly, th e co urt co rrec tl y gra nt edth e de fen da nt ’s m ot io n t o d is m is s the co m pl ai nt .”); see als o B el l At l. Co rp . v. Twom bl y , 55 0 U.S. _

__ , 12 7 S . Ct. 1 95 5, 1 96 8 (2 00 7) (ho ld in g t ha t d is m is sa l

5un de r Ru le 12 (b )(6 ) is ap pr op ria te forco m pl ai nt s t ha t fa il to st at e “pl au si bl e” cl ai m s fo r rel ie f). II I. The rel ev an t p ro vi si on of the Lon g Term Mark et in g Ag reem en t, Se ct io n 10 .1, s ta te s: If, ta ki ng in to acco un t al l i nc en ti ve s, d is co un ts , reb at es , cred it s, Sc rap Sp read s an d t he li ke , bu t n ot“ In ve st m en t Re la te d Di sc ou nt s”
. . . ALCAN, or an y

ALCAN Affil ia te , off

ers (of fer i nc lu de s an y

off er o r pr op os al , in cl ud in g, b utno t l im it edto , th os e in it ia te d b y ALCAN or th os e m ad e in res po ns e to a reque st , in it ia ti ve , or c ou nt er o f an ot he r pu rch as er, ex cep t as ot he rwis e p ro vi de d i n S ect io n 9 .2) t o a ny cu st om er, o r ot he r us er o f Alu m inum CanSto ck , forde li ve ry

inNort h Am eri ca, (A) a l owe r co nv ers io n c os t/ lb forat l eas t thr ee m on th s o r co ns ecu ti ve pe rio ds to ta li ng at l eas t thr ee m on th s, n otto ex ceedth ree m on th s i n ay ear, the n X1 inth e Pri ci ng Sch edul e (Exh ib it2), o r (B) alo wer cei li ng or f

lo or , forat l eas t s ix m on th s o r co ns ecu ti ve pe rio ds to ta li ng at l eas t s ix m on th s, n otto ex ceed si x m on th s i n ay ear, tha n t ha t p ro vi de d i n S ect io n 4 of t he Pri ci ng Sch edul e (Ex hi bi t 2 ) or (C) a ny oth er el em en t, ex cep t In ve st m en t Re la te d Di sc ou nt s, th atm ak es th e o ffer

m or e ad vant ag eo us as awho le to th e cu st om er tha n P 1 o f th e Pri ci ng Sch edul e (Ex hi bi t 2 ), th enth e el em en ts in cl ud edinsu choff er s ha ll be off

eredto PARTICI PANTS [Co ca-C ol a b ot tl ers ] fo r th e sa m e dur at io n c ov ered by the off er t o the othe r cu st om er. Each PARTICIP ANT m ay acce pt orde cl in e th e o fferforit s v ol um e. If acc ep te d, the pri ce fo r th e 6acce pt edvo lu m e is pro vi de d i n S ect io n 2 .5 o f th e Pri ci ng Sch edul e

(Exh ib it2). The pa rti es ag ree t ha t Se ct io ns 10 .1(A) an d 1 0.1 (B) wer e n otvi ol at ed , be cau se Anh eu se r-Bu sc h d idno t re cei ve a lo wer co nv ers io n c os t o r a l owe r cei li ng th anCo ca-C ol a’s 85 cen ts pe r po un d. In st ead , Coc a-Co laall eg es th at Nov el is vi ol at edSect io n 1 0.1 (C) wh enitga ve Anh eu se r-Bu sc h an 8 5- cen t ce il in g pr ic e v al idun ti l 2 00 9, wh il e Co ca-C ol a’s en de d i n 2 00 6. The is su e b efo re thi s C ou rt i s wh ethe r Sec ti on 10 .1(C ) is am bi gu ou s—th at is , whethe r itis reas on ab le to readitas t rig ge redby N ov el is off eri ng a co m

pe ti to r th e sa m e p ric e te rm s fo r th e sa m e p eri odof t im e, bu t s ta rti ng lat er an d t hu s en di ng la te r th anCo ca-C ol a’s Lon g Term Mark et in g Ag reem en t. If the co nt ractua l la ng ua ge can no t re as on ab ly bear the in te rp ret at io n t ha t Co ca-C ol a requi res in
or de r to st at e a cl ai m

for it s b reac h, the di stric t co urt d idno t err in gra nt in g R ul e 12 (b )(6 ) di sm is sa l. See , e.g., Kry st al Inv es ti ga ti on s, 3 5 A.D.3 d a t 8 18 , 82 6 N.Y.S.2dat 7 29
. Mo stim po rta nt ly, Sect io n 1 0.1 is ab ou t p ric e, no t t im e. The s ect io n b eg in s by “ taki ng in to acco un t al l i nc en ti ve s, d is co un ts , reb at es , cred it s, Sc rap Sp read s an d t he li ke .” All of t he se are p ric e te rm s, an d the pri nc ip le of e jus de m ge ne ris pr ev en ts anun rel at edterm li ke “ du rat io n o f co nt ract ” fro m sl ip pi ng inth ro ug h

7“ an d t he li ke .” See 2 42 –4 4 Eas t 7 7th S t., LLC v. Gre at er New Yo rkMu t. In s. Co .,

31 A.D.3d10 0, 1 03 –0 4, 8 15 N.Y.S.2d50 7, 5 10 (N.Y. App . Div . 20 06 ) (“ [T]he
m ean in g o f a wo rdina se rie s o f wor ds is de te rm in edby the co m pa ny it k eep s.”) (ci ta ti on an d quo ta ti on m ark s o m it te d)
. Sect io n 1 0.1 (A) ad dr es se s co nv ers io n c os ts an d p rev en ts a co m pe ti to r fro m rece iv in g alo wer co nv ers io n p ric e th anX1, the equi va le ntterm inCo ca-C ol a’s
co nt ract . Sect io n 1 0.1 (B) a dd res se s p ric e cei li ng s an d fl oo rs , andpre ve nt s a co m pe ti to r fro m

rece iv in g alo wer fl oo r orcei li ng th anth os e ag reedto inCo caCo la ’s con tra ct . As Co ca-C ol a p oi nt s o ut , bo th of the se sec ti on s d o i nc lu de pe rio ds of t im e. A lo wer co nv ers io n c os t wo ul d n ottri gg er the MFN u nd er Sect io n 1 0.1 (A) unl es s i t l as te d a t l eas t thr ee m on th s; si m il arl y , a lo wer fl oo r or cei li ng m us t l as t atlea stsi x m on th s u nd er Se ct io n 1 0.1 (B) i n o rd er t o t rig ge r th e MFN. Bu t the se ti m in g p hr as es ex is t o nl y to co ns tra inth e lo wer co nv ers io n c os ts
an d l owe r fl oo rs or c ei li ng s t ha t the MFN fo cu se s o n. Ev ery ti m e p eri odin Sect io n 1 0.1 is ex pr es sl y

ti edto a m on et ary fo rm

in vo lv in g alo wer p ric e. Nowh ere d oe s “ ti m e”—m uc h l es s a d at e o f co ntractterm in at io n— st an d a lo ne as anele m en t o f pr ic e th atco ul d trig ge r Sec ti on s 1 0.1 (A) o r (B). Fi na ll y , fol lo win g t he “ lo wer co nv ers io n c os t” inSect io n 1 0.1 (A) an d t he

“ lo wer cei li ng or f

lo or ” in Sect io n 1 0.1 (B), Se ct io n 1 0.1 (C) c ov ers “ an y ot he r 8el em en t” —ex cep t o ne sp eci fic ki ndof d is co un t—th at“ m ak es th e o fferm or e

adva nt ag eo us as awho le to th e cu st om er than P 1 o f th e Pri ci ng Sch edul e (Exh ib it 2) .” P1 of t he Pri ci ng Sch edul e is th e su m of e le m en ts X1, Y1 , andZ1, an d rep res en ts th e to ta l p ric e o f th e can sh eetto Co ca-C ol a. Thu s, the ph ras e “ an y ot he r el em en t” un am

bi gu ou sl y m ean s an y

ot he r el em en t tha t fa ct or s i nt o t ha t pr ic e. The o bv io us co m

pa ris onis be twee n any elem en t o f a co m pe ti to r’s de al th at fact or s i nt o i ts pri ce an d t he co rres po nd in g e le m en t tha t fa ct or s i nt o P 1, Co caCo la ’s pri ce. No al le ga ti onha s b een m ad e th atNov el is off eredAnh eu se r-Bu sc h any el em en t tha t m ad e it s p ric in g m or e ad va nt ag eo us th anP1 of C oc a-Co la ’s Pric in g Sch edul e dur in g t he term of t he Lon g Term

Mark et in g Ag reem en t. In st ead , th e two co m pe ti to rs rece iv edth e sa m e 8 5- cen t ce il in g o n t he pri ce o f m et al , m ean in g th atth ro ug h Dec em

be r 31 , 20 06 , when th e Lon g Term Mark et in g Ag reem en t te rm in at ed , no co m

pe ti to r ha d re cei ve d abe tt er p ric e th anCo ca-C ol a. Infact , ev enaft er the Lon g Term Mark et in g Ag reem en t t erm in at ed , Anh eu se r-Bu sc h ap pa ren tl y

di d n otrece iv e a b et te r pr ic e th anCo ca-C ol a h adrece iv ed , bu t o nl y a be tt er p ric e th anCo ca-C ol a was ab le to pro sp ect iv el y ne go ti at e aft er i ts MFN pr ov is io n e xp ire d.

9Rea di ng Sect io n 1 0.1 as C oc a-Co lado es wou ldall ow an y ot he r of fer m ad e by Nove li s b etween20 02 an d 2 00 6, re ga rd le ss of i ts term in at io n d at e an d reg ard le ss of i ts pri ce (s o l on g a s i t o ffer eda pr ic e b et te r th anth e 2 00 7 o pe nm ark etpri ce) t o fa ll withi n t he MFN fo r th e o th er co nt ract ’s ent ire pe rio d. Un de r Co ca-C ol a’s reas on in g, u nl es s No ve li s t erm in at edall ot he r rec en t co nt ract s o n Decem be r 31 , 20 06 , Coc a-Co lawou ldalwa y s b e ab le to gl om on to a co m

pe ti to r’s
on go in g c on tra ctpri ce t o k eep it s o wn m et al pri ce d own . All o f th is , acco rd in g t o Co ca-C ol a, oc curs at a ndaft er the ex pi rat io n o f Co ca-C ol a’s own de al onwhi ch it s co nt ractua l ri gh ts are al le ge dl y ba se d. Itis di ffi cu ltto im ag in e anMFN pr ov is io n t ha t i m

pl ic it ly gran ts a pa rty the rig htto th e b es t p ric e ev enaft er the MFN i ts el f, as pa rt o f a d at edco nt ract , exp li ci tl y ex pi res . Whe n an M FN pr ov is io n e xp ire s, i t en ds . Here, th atpro vi si on en de d o n Dec em be r 31 , 20 06
. Co ca-C ol a h as no t al le ge d t ha t b efo re Dece m be r 31 , 20 06 , any oth er p arty rece iv eda be tt er p ric e el em en t tha n a ny of th os e in it s o wn P1 —an d t ha t i s al l tha t Sect io n 1 0.1 (C) p ro hi bi ts . AFFIRMED.

10