# U ni te d S ta te s Co ur t of A pp ea ls

For the Eig hth Circu it

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No. 1 3- 19 02

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Uni te d S ta te s o f Am eri ca

ll ll ll ll ll ll ll ll ll ll l Pla in ti

ff - App el le e

v.

$4 8,1 00 .00 in Uni te d S ta te s C ur ren cy

ll ll ll ll ll ll ll ll ll ll l Defe nd

an t

Jo hn R. Nels on

ll ll ll ll ll ll ll ll ll ll l Cl ai man t - Ap pe ll an t

__ __ __ __ __ __
App eal fro m

Uni te d S ta te s Di st ric t Co ur t fo r th e Dis tri ct of Ne br as ka - Om ah a

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Su bm it te d: Marc h 2 4, 2 01 4
Fil ed : J un e 2 7, 2 01 4

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Befo re LOKEN, BYE, an d B ENTON, Ci rcu it Ju dg es

.

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BYE, Cir cu it Ju dg e.Cl ai m an t Jo hn R. Nels on ap pe al s th e m ag is tra te jud ge ’s or de r di rect in g fo rfei tu re of

$4 8,1 00 .00 sei zed pu rs ua nt to a tr affi c st op . W e rev ers e th e or de r of fo rfei tu re an d

rem an d wi th di rect io ns to di sm is s t he act io n.

I

Thi s ca se st em s fr om

th e se iz ur e o f cu rren cy

pu rs ua nt to a la wfu l t raff ic st op
whi ch oc cu rred on Octo be r 19

, 20 09

. W he n st op pe d, Nels on was dr iv in g hi s pa ren ts ’

recr e at io na l ve hi cl e (RV) eas t fro m Co lo rad o to ward hi s de st in at io n, hi s pa ren ts ’

ho m e in Ced arb ur g, Wisc on si n, a s ub ur b o f Mi lwau ke e.

Nels on ha d se t ou t fo r Co lo rad o fro m Ced arb ur g sev eral week s earl ie r. Pri or

to th e tri p, Nels on , th en twen ty-two y ears ol d an d li vi ng wit h hi s pa ren ts

, ha d se ve ral

di sc us si on s wit h hi s pa ren ts ab ou t th e po ss ib il it y of th e tri p le ad in g to hi s pe rm an en t

rel oc at io n to Co lo rad o. Nels on ’s pa ren ts ex pe ct ed th e tri p wou ld cu lm in at e in Nels on

li vi n g i n d ep en de nt ly in Co lo rad o. As th e da te of th e tri p ap pr oa ch ed

, Nels on ’s

pa ren ts ga ve hi m pe rm is si on to us e th ei r RV, gi fte d hi m wit h a GPS de vi ce fo r th e

tri p, an d g av e Nel so n a dd it io na l fu nd s t o h el p s up po rt h im du rin g t he tra ns it io n.

Nel s o n o w n e d a c ar bu t ch os e to tra ve l in th e RV at le as t in pa rt to

acco m m od at e tra ve ll in g wit h hi s t w o d o g s an d av oi d st ay in g in ho te ls

. Nels on

ga th ered ap pr ox im at el y $5 0,0 00 in cu rren cy , th e su m to ta l of hi s sa vi ng s, to br in g

al on g fo r th e tri p. Nels on di sd ai ne d ba nk s, pr efer rin g to st or e hi s sa vi ng s in a sm al l

p e r s o n a l sa fe, whi ch he br ou gh t to Co lo rad o. Onc e th ere, Nels on pu rch as ed a
ba ck pa ck in whi ch he be ga n t o k eep th e cu rren cy in st ead of t he saf

e.

Nels on sp en t se ve ral week s in Den ve r wit h fri en ds

. W hi le th ere, he ob ta in ed

a s mal l am ou nt of m ed ic al m ari juan a vi a on e fri en d li cen se d to pu rch as e su c h

. Nels on al so le arn ed Den v e r ha s a m un ic ip al or di na nc e res tri ct in g th e own ers hi p of
pi t bu ll s. As on e of Nels on ’s do gs was a pi t bu ll

, he ris ke d th e do g be in g se iz ed if he

-2

-de ci de d to st ay in Den ve r. Fo r th is an d ot he r reas on s, Nels on ev en tu al ly de ci de d to

ret ur n to hi s pa ren ts ’ res id en ce in Ced ar b u r g

. A Neb ras ka st at e tro op er st op pe d

Nels on for a tr affi c v io la ti on whi le Nels on was e n ro ut e.

Dur in g th e st op , th e tro op er be ga n to su sp ect Nels on was tra ns po rti ng a la rg e

am ou nt of hi gh gr ad e m ari juan a. Sp ec i f

i c a l l y, th e tro op er reac te d to Nels on

tra ve ll in g in a la rg e, un eco no m ic al ve hi cl e fro m Den ve r, a m ari juan a tra ns po rta ti on
hu b ci ty, to Mi lwau ke e, a di st rib ut io n ci ty. The tro op er al so fo un d su sp ic io us Nels on
be in g ne rv ou s, un de r-re pr es en ti ng hi s cri m in al hi st or y, an d fal se ly cl ai m in g sn ow 1

bo ard in g h ad be en hi s re as on for ha vi ng tra ve le d t o C ol or ad o.

Afte r is su in g Nels on a tra ffi c ci ta ti on , t h e t r o op er as ke d Nels on if th e RV

co nt ai ne d dr ug s or gu ns

. W he n Nels on to ld hi m it di d no t, th e tro op er as ke d to se arch

th e RV. W he n Nels on refu se d pe rm is si on , t he of fic e r d e t a i n e d hi m an d cal le d in a

can in e un it fo r a sn iff se arch

. W hi le awai ti ng th e can in e un it

, th e tro op er to ld Nels on

po ss es si ng on ly a “ pe rs on al us e” am ou nt of m ari juan a wou ld m erel y be su bjec t to a

fin e. Nels on th en ad m it te d ha v i n g a sm al l am ou nt of m ari juan a in th e RV.

Co nc lu di ng he th en ha d pr ob ab le cau se to se arch th e RV, th e tro op er be ga n to do so

.

In si de th e RV, the of

fi ce r fo un d Nels on ’s ba ck pa ck

, whi ch co nt ai ne d 2.7 gr am s

of m ari juan a, a m ari

juan a gr in de r, se ve ral m ari juan a-t he m ed m ag azi ne s, an d a pl as ti c
ba g co nt ai ni ng $4 8,1 00 .00 in cu rren cy

. Nels on ha d or ga ni zed th e c u r r e nc y in to

ru bb er ba nd -s ecu red bu nd le s of sa m e de no m in at io n bi ll s. The sm al le r bu nd le s were

se cu red by a si ng le ru bb er ba nd in to a la rg er bu nd le

. The tro op er al so fo un d Nels on ’s

lu gg ag e, whi ch

, al on g wit h Nels on ’s cl ot he s, co nt ai ne d a m ari juan a pi pe an d a gl as s jar co nt ai ni ng se ve nt een gr am s of th e m ari juan a Nels on ha d in di rect ly ob ta in ed fro m

Nels on di d no t rep or t ha vi ng be en ch arg ed wit h an un sp eci fie d dr ug c r i m e 1

whi le st il l a m in or

.

-3

-a m ed ic al m ari juan a di sp en sa ry

. The tro op er fo un d no ot he r co nt rab an d bu t di d fin d

a fi le cab in et co nt ai ni ng Nels on ’s im po rta nt pe rs on al do cu m en ts

.

The tro op er arre st ed Nels on , ci te d hi m fo r po ss es si on of m ari juan a, an d se iz ed

th e cu rren cy an d Nels on ’s cel l ph on e. A se arch of th e te xt m es sa ge s an d vo ic e m ai l

reco rd in gs on th e cel l ph on e rev eal ed no refe ren ces to an y dr ug tra ns act io ns

. Nels on

was ev en tu al ly rel eas ed

. The go ve rn m en t th en fil ed th is act io n, se ek in g fo rfei tu re of

th e $ 48 ,10 0.0 0 fo r be in g s ub st an ti al ly con ne ct ed to dru g t raff ic ki ng

.

At th e fo rfei tu re he ari ng , bo th Nels on an d hi s fat he r te st ifi ed th e cu rren cy ha d

co m e fro m Nels on ’s earn in gs , th e sa le of bo nd s, Nels on ’s st oc k di vi de nd s, an d

m on ie s gi ve n to Nels on by hi s rel at iv es

. The go ve rn m en t co nc ed ed th e cu rren cy ha d

al l co m e fro m le gi ti m at e so ur ces bu t so ug ht f o r fei tu re on th e th eo ry Nels on ha d
pl an ne d to us e it to pu rch as e na rco ti cs in an un sp eci fie d tra ns act io n whi ch fo r so m e

un kn own reas on ha d no t oc cu rred

. The go ve rn m en t pr ov id ed no af fi rm at iv e ev id en ce

of th e tr an sa ct io n.

Ado pt in g th e go ve rn m en t’s th eo ry , th e m ag is tra te jud ge co nc lu de d it was m or e

li ke ly th an no t th e $4 8,1 00 .00 was su bjec t to fo rfei tu re fo r be in g s u b s t a n t i a ll y

co nn ect ed to a p l a nn ed

, bu t un co ns um m at ed

, dr ug tra ns act io n. Nels on ap pe al s,
ch al le ng in g t he m ag is tra te jud ge ’s con cl us io n.

II

On ap pe al

, Nels on co nt en ds th e ev ide nc e did not su pp or t th e m ag is tra te jud ge ’s

co nc lu si on th e cu rren cy was su bs ta nt ia ll y co nn ect ed to an in te nd ed dr ug tra ns act io n.

On rev ie w o f an or de r of

for fei tu re, “ [w]e revi ew an y pr ed ic at e fact ua l fin di ng s fo r
cl ear erro r, bu t th e ul ti m at e co nc lu si on as to whe th er th os e fact s es ta bl is h a

su bs ta nt ia l co nn ect io n be twee n se iz ed cu rren cy an d a na rco ti cs tra ns act io n is a m ix ed

qu es ti on of la w an d fact th at we rev ie w de no vo .” Uni te d St at es v. $1 24 ,70 0 in U.S.

-4

-Cu rren cy , 45 8 F.3 d 82 2, 82 5 (8 th Ci r. 20 06 ) (in te rn al qu ot at io n m ark s an d ci ta ti on s

om it te d)

. In m ak in g th is de te rm in at io n, we co ns id er th e to ta li ty of th e ci rcu m st an ces ,
ap pl y in g co m

m on se ns e co ns id erat io n s. See Uni te d St at es v. U.S. Cu rren cy , in

A mo u nt of $1 50 ,66 0.0 0, 98 0 F.2 d 12 00

, 12 06 (8 th Ci r. 19 92 ) (ex am in in g t h e

“ ag gr eg at e o f fac ts ” an d a pp lying “ co m m on ex pe rie nc e co ns id erat io ns ”).

In pe rti ne nt pa rt, 21 U.S.C. § 88 1( a)(6 ) se ts fo rth th at “ al l m on ey s

. . . in te nd ed

to be us ed to faci li ta te an y [d ru g tra ffi ck in g cri m e]” sh al l be su bjec t to fo rfei tu re.

“ [F]o r f e i t u r es are no t fav or ed ; th ey sh ou ld be en fo rced on ly whe n wit hi n bo th th e
le tt er an d sp iri t of th e la w.” Uni te d St at es v. O n e 1 9 76 Fo rd F-1 50 Pi ck -Up VIN

F1 4YUB0 37 97

, 76 9 F.2 d 52 5, 52 7 (8 th Ci r. 19 85 ) (q uo ti ng Uni te d St at es v. One Fo rd

Co ach

, 30 7 U.S. 21 9, 22 6 (1 93 9) ). The go ve rn m en t be ars th e bu rd en of pr ov in g

m on ey is su bjec t to fo rfei tu re by a pr ep on de ran ce o f t h e ev id en ce. 18 U.S.C.
§ 9 83 (c)( 1)

.

The pa rti es do no t di sp ut e t h e f a ct s, on ly th e co nc lu si on to be dr awn fro m

th em

. Nels on co nt e n d s h e in te nd ed to us e th e m on ey to fin an ce hi s po te nt ia l

rel oc at io n to Den ve r. Nels on arg ue s th e fact s su pp or t hi s ex pl an at io n th at hi s tra ve l

to Den ve r was for th is pu rp os e an d h is ret ur n was m ot iv at ed by fi nd in g it ha rd er to

li ve on hi s own th an ex pe ct ed an d di sc ov eri ng a lo cal or di na nc e co ul d ha ve le d to on e

of hi s d og s b ei ng sei zed an d p ut do wn. The go ve rn m en t con te nd s Nels on in te nd ed

to us e th e cu rren cy fo r a pl an ne d dr ug tra ns act io n, arg ui ng Nels on ’s tra ve l to Den ve r

an d ba ck was fo r th e pu rp os e of o b t a i n in g a la rg e am ou nt of m ari juan a to se ll in

Mi lwau ke e.

Mu ch of th e affi rm at iv e ev id en ce in th is cas e co ul d su pp or t ei th er pa rty’ s

po si ti on

. Nels on ’s tra ve l wit h a la rg e am ou nt of cu rren cy is by it se lf su sp ic io us

. See

$1 24 ,70 0 i n U.S. Cu rren cy , 45 8 F.3 d at 82 6. Equ al ly sus pi ci ou s i s t he way Nels on
bu nd le d th e m on ey an d carr ie d it in a pl as ti c ba g in si de hi s ba ck pa ck

, be cau se do in g

so is co ns is te nt wit h th e po ss ib il it y o f it be in g dr ug m on ey

. See id

. (“ [W] e ha ve

-5

-ad op te d th e co m m on -s en se vi ew th at bu nd li ng an d co nc eal m en t of la rg e am ou nt s of

cu rren cy , co m

bi ne d w it h ot he r su sp ic io us ci rcu m st an ces , su pp or ts a co nn ect io n
be twee n m on ey an d dr ug tra ffi ck i n g

. ” ). Howev er, th ere is no di sp ut e th e cu rren cy

cam e f r o m l e g i t im at e so ur ces an d we ha ve pr ev io us ly no te d “ an in no cen t tra ve le r

m ig ht th eo ret ic al ly carr y m or e th an $1 00 ,00 0 in cas h acro ss co un try an d se ek to

co nc eal fu nd s fro m wou ld -b e th ie ve s on th e hi gh way [.]” Id

. In li gh t of th e cred ib le

te st im on y in di cat in g Nels on di sd ai ne d ban ks

, Nels on m erel y tra ve ll in g wit h a la rg e

su m in cu rren cy do es no t by it se lf weig h m or e in fav or of Nels on in te nd in g to us e th e

cu rren cy to faci li t a t e dr ug -tr affi ck in g. Nor do th e m et ho ds of bu nd li ng an d

co nc eal m en t weig h m or e he av il y in fav or of Nels on in te nd in g to us e th e cu rren cy to

faci li ta te dr ug -tr affi c k in g. If on e were to tra ve l wit h a la rg e su m in cu rren cy ,

co m m on se ns e wou ld su pp or t ha vi ng a m et ho d of ke ep in g it or ga ni zed whi le carr y in g

an d c on ceal in g i t fr om

wou ld -b e th ie ve s.

Nels on ’s ro ut e an d ch oi ce of v e hi cl e co ul d si m il arl y su pp or t ei th er pa rty’ s

po si ti on

. Trav el fro m th e Mi lwau ke e area to Co lo rad o an d ba ck is eq ua ll y co ns is te nt

wit h a pl an to ob ta in m ari juan a fo r tra ns po rt an d sa le in Mi lw a u k e e as it is wit h a

y ou ng m an ’s ul ti m at el y

un su cces sf

ul att em pt to m ov e ou t o f hi s p aren t’s h om e an d

rel oc at e to Den ve r. Si m il arl y , tra ve ll in g wit h an RV m ak es jus t as m uc h se ns e fo r

on e who wan ts to tra ns po rt a la rg e am ou nt of co nt rab an d as it do es fo r on e who wan ts

to tra ve l cr os s co un try with two do gs for th e p ur po se of r el oc at in g.

Nels on ’s ne rv ou sn es s du rin g th e st op is al so no t pa rti cu la rly fav or ab le to ei th er

pa rty’ s th eo ry

. The re was cred ib le te st im on y at th e he ari ng th at Nels on was be in g

tre at ed fo r an xi et y at th e ti m e of th e st op

. The ne rv ou sn es s cou ld be al so at tri bu te d

to th e pr es en ce of th e sm al l am ou nt of m ari juan a in th e RV. If an y th in g, it r u n s

co un te r to co m

m on se ns e to tra ce Nels on ’s ne rv ou sn es s du rin g th e tra ffi c st op , whi ch

o c c u r r e d w hi le he on hi s way ho m e fro m Co lo rad o, to a la rg e sc al e pu rch as e o f

Co lo rad o m ari

juan a whi ch di d n ot tak e p la ce.

-6

-Nels on ’s po ss es si on of m ari juan a a nd dr ug pa rap he rn al ia co ul d, in ot he r
ci rcu m st an ces , weig h in fav or of th e go ve rn m en t’s th eo ry

. S e e Uni te d St at es v. $8 4,6 15 in U.S. Cu rren cy , 37 9 F.3 d 49 6, 50 1 (8 th Ci r. 20 04 ) (co nc lu di ng po ss es si on

of il le ga l dr ug s is co ns is te nt wit h dr ug tra ffi ck in g)

. How e v e r , t h e sm al l am ou nt of

m ari juan a an d p arap he rn al ia fo un d her e were far m or e co ns is te nt wit h p ers on al us e

th an dr ug tra ffi ck in g. In ad di ti on , th e pr es en ce of th e fil e cab in et co nt ai ni ng Nels on ’s

im po rta nt pe rs on al do cu m en ts weig hs in fav or of th e pu rp os e of Nels on ’s tra ve l be in g

a pl an to rel oc at e rat he r th an a pl an to ob ta in a la rg e am ou nt of m ari juan a an d ret ur n

to Mi lwau ke e.

A s n o te d by th e m ag is tra te jud ge , Nels on ’s li e to th e tro op er ab ou t s n o w
bo ard in g be in g hi s reas on fo r tra ve ll in g to Co lo rad o weig hs ag ai ns t Nels on ’s

cred ib il it y

. The re was no di sc ern ab le re a s on fo r Nels on to of fer th is li e. The

2

m ag is tra te jud ge fo un d th is to ti p th e ba la nc e i n fav or of th e go ve rn m en t’s th eo ry

. W e do no t. The fla w in th e m ag is tra te ’s reas on in g on th is po in t is co nc lu di ng it is an

“ ei th er-o r” ch oi ce be twee n Nels on ’s ex pl an at io n fo r hi s tra ve l an d th e go ve rn m en t’s,

su ch th at if o n e ex pl an at io n is do ub tfu l, th e ot he r be co m es m or e li ke ly as a res ul t.

Had th e go ve rn m en t pr ov id ed so m e affi rm at iv e ev id en ce of t h e dr ug tra ns act io n it

sp ecu la te s th at Nels on pl an ne d to en ga ge in

, th is m ig ht be th e cas e. Howev er, in th e
ab se nc e of so m e affi rm at iv e ev id en ce of th e al le ge d pl an ne d tra ns act io n, th e e f f ect

on Nels on ’s cred ib il it y do es no t ne ces sa ri ly weig h in fav or of th e go ve rn m en t’s dr ug

tra ffi ck in g th eo ry

. It m erel y weig hs ag a i n s t th e cred ib il it y of Nels on ’s of fere d

ex pl an at io n. Put an ot he r way , Nels on co ul d h av e b een tra ve ll in g fo r an y reas on he

wou ld no t wan t to sh are wit h la w en fo rcem en t, e.g ., dr ug tra ffi ck in g, gu ns , st al ki ng ,
st ol en go od s, or an y of a nu m be r of un la wfu l or em

ba rras si ng act iv it ie s. Fi nd in g hi s

pr of fere d reas on fo r tra ve l no t cred ib le mea n s an y ot he r reas on is po ss ib le

. In th e

Nels on ’s l ie s ab ou t hi s cri m in al hi st or y an d no t ha vi ng dr ug s in th e RV a r e , 2 by co nt ras t, read il y at tri bu ta bl e to th e un di sc lo se d dr ug

- r e l a te d ch arg e ha vi ng

oc cu rred whi le Nels on was a m in or an d N e l s o n w a n t in g to av oi d be in g ci te d fo r
po ss es si on of t he sm al l am ou nt of m ari juan a in th e RV.

-7

-ab se nc e of an y affi rm at iv e ev id en ce su gg es ti ng it was fo r dr ug tra ffi ck in g, th e co ur t

wou ld ha ve to sp ecu la te to fin d th e dr ug tra ffi ck in g ex pl an at io n m or e li ke ly th an an y

ot he r.

In th e en d, th is cas e m ay be m or e ab ou t wha t was no t fo un d in th e RV. As we

ha ve no te d, th e go ve rn m en t’s th eo ry ab ou t Nels on ’s al le ge d p l a n t o ob ta in a la rg e

am ou nt of m ari

juan a to se ll in Mi lwau ke e is no t su pp or te d b y a n y affi rm at iv e

ev id en ce. Thi s is no t by it se lf di sp os it iv e. The go ve rn m en t ne ed no t pr ov e th e se iz ed

cu rren cy is li nk ed to a n y p a r t i cu la r dr ug tra ns act io n. U.S. C ur ren cy , i n Am ou nt of

$1 50 ,66 0.0 0, 98 0 F.2 d at 12 05

. In ad di ti on , th e go ve rn m en t m ay carr y it s bu rd en of

pr oo f us in g ci rcu m st an ti al ev id en ce. $8 4,6 15 in U.S. Cu rren cy , 37 9 F.3 d at 50 1; se e

al so Uni te d St at es v. $1 17 ,92 0. 0 0 i n U .S. Cu rren cy , 41 3 F.3 d 82 6, 82 9 (8 th Ci r.

20 05 ) (p res en ce of pa rap he rn al ia co ns is te nt wit h dr ug tra ffi ck in g, dr ug do g’s al ert to

cu rren cy , pl us ot he r fa c t o r s , su pp or ts a co nn ect io n be twee n th e m on ey an d dr ug

tra ffi ck in g)

.

The go ve rn m en t’s cas e, ho wev er, fal ls sh or t. As th e tro op er te st ifi ed

, th ere are

se ve r a l th in gs m is si ng he re whi ch he wou ld typic al ly ex pe ct to fin d if Nels on ha d

be en pl an ni ng to pu rch as e an d tra ns po rt a la rg e am ou nt of dr ug s cro ss -co un try to se ll

. Nels on ’s ph on e, whi ch was se iz ed an d ex am in ed

, co nt ai ne d n o t ex ts or vo ic e m ai l

reco rd in gs refe rri ng to a pl an to en ga ge in tra ffi ck in g. Nels on als o ha d no fir earm , th e po ss es si on of whi ch th e tro op er te st i f i e d o f t e n go es “ ha nd in ha nd ” wit h dr ug

tra ffi ck in g. The m ari

juan a Nels on po ss es se d was sm al l, co ns is te nt wit h pe rs on al us e,

an d th e pa rap he rn al ia in hi s po ss es si on was far m or e co ns is t e nt wit h pe rs on al us e

th an di st rib ut io n. I n t h e en d, th e go ve rn m en t’s th eo ry ab ou t a pl an ne d tra ns act io n
rel ie s o n m ere s pe cu la ti on rat he r th an cir cu m st an ti al ev id en ce.

Ac co rd in gl y , th e go ve rn m en t ha s fai le d to carr y it s bu rd en to pr ov e it m or e

li ke ly th an no t th at Ne l so n in te nd ed to us e th e se iz ed cu rren cy in a pl an ne d dr ug

tra ns act io n.

-8

-III

The or de r di rect in g fo rfei tu re of th e $4 8,1 00 .00 is rev e r se d. The m at te r is

rem an de d wi th di rect io ns to di sm is s t he act io n.

__ __ __ __ __ __ __ __ __ __ __ __ __ __ __

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