Source: https://supreme.justia.com/cases/federal/us/344/206/
Timestamp: 2019-04-18 14:24:10+00:00

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Justia › US Law › US Case Law › US Supreme Court › Volume 344 › FTC v. Minneapolis-Honeywell Regulator Co.
Federal Trade Commission v. Minneapolis-Honeywell Regulator Co.
The Court of Appeals entered a judgment reversing the first of three parts of a cease and desist order issued by the Federal Trade Commission against respondent. After expiration of the period allowed for a petition for rehearing, the Commission filed a memorandum calling attention to the Court's failure to decree enforcement of Parts I and II, but it requested no alteration of the judgment relative to Part III. Subsequently, the Court of Appeals issued a "Final Decree" reversing Part III of the order and decreeing enforcement of Parts I and II. More than 90 days after entry of the first judgment, the Commission petitioned this Court for certiorari to review the judgment reversing Part III of its order.
Held: The 90-day period allowed by 28 U.S.C. § 2101(c) for filing a petition for certiorari began to run on the date of the first judgment, and the petition was not timely. Pp. 344 U. S. 207-213.
(a) Only when the lower court changes matters of substance, or resolves a genuine ambiguity, in a judgment previously rendered should the period within which an appeal must be taken or a petition for certiorari filed begin to run anew. Pp. 344 U. S. 211-212.
(b) A different result is not required by the fact that the Court of Appeals labeled its second order a "Final Decree," whereas the word "Final" was missing from its first judgment. Pp. 344 U. S. 212-213.
(c) Statutes which limit the appellate jurisdiction of this Court to cases in which review is sought within a prescribed period are not to be applied so as to permit a tolling of the time limitations because some event occurred in the lower court after judgment was rendered which is of no import on the matters to be dealt with on review. P. 344 U. S. 213.
Writ of certiorari to review 191 F.2d 786 dismissed.
another judgment reversing that part and decreeing enforcement of the other two parts of the order. On petition of the Federal Trade Commission, this Court granted certiorari to review the judgment reversing part of its order, and requested counsel to discuss the "timeliness of the application for the writ." 342 U.S. 940. Writ dismissed, p. 344 U. S. 213.
The initial question in this case is one of jurisdiction -- whether the petition for certiorari was filed within the period allowed by law. [Footnote 1] We hold that it was not.
and it issued a cease and desist order, in three parts, covering each of the three violations.
Respondent petitioned the Court of Appeals for the Seventh Circuit to review and set aside this order. The Commission sought enforcement of all parts of its order in a cross-petition.
Respondent abandoned completely its attack on Parts I and II of the order. In briefs and in oral argument, respondent made it clear that the legality of Part III was the only contested issue before the Court of Appeals. Neither party briefed or argued any question arising out of Parts I and II.
". . . it is ordered and adjudged by this Court that Part III of the decision of the Federal Trade Commission entered in this cause on January 14, 1948, be, and the same is hereby, Reversed, and Count III of the complaint upon which it is based be, and the same is hereby Dismissed."
"On July 5, 1951, the Court entered its opinion and judgment reversing Part III of the decision of the Federal Trade Commission dated January 14, 1948, and dismissing Count III of the complaint, upon which it is based. No disposition has been made of the Cross-Petition filed by the Commission for affirmance and enforcement of the entire decision. The Commission takes the position that its Cross-Petition should be in part sustained, i.e., to the extent that the Court should make and enter herein a decree affirming Parts I and II of the Commission's order to cease and desist and commanding Minneapolis-Honeywell Regulator Company to obey the same and comply therewith. . . ."
"11. In its briefs filed herein, the petitioner abandoned its attack upon Parts I and II of the order and challenged only the validity of Part III of the order (see page 1 of petitioner's brief dated March 15, 1951). Thus, petitioner concedes the validity of Parts I and II of the order, and does not contest the prayer of the Commission's Cross-Petition and brief with respect to the affirmance and enforcement of Parts I and II of the order."
"In conclusion . . . , submitted that the Court should make and enter . . . a decree affirming Parts I and II of the Commission's order to cease and desist."
"ordered, adjudged and decreed" that Part III of the Commission's order "is hereby reversed, and Count III of the complaint, upon which it is based, be, and the same is, hereby dismissed." The court then went on to affirm Parts I and II, and it entered a judgment providing for their enforcement, after reciting again that there was no contest over this phase of the order.
On December 14, 1951, the Commission filed its petition for certiorari. Obviously, the petition was out of time unless the ninety-day filing period began to run anew from the second judgment entered on September 18, 1951. In our order granting certiorari, 342 U.S. 940, we asked counsel to discuss the "timeliness of the application for the writ."
Petitioner apparently would equate its memorandum of August 21, 1951, with an untimely petition for a rehearing affecting Part III. But certainly its language and every inference therein is to the contrary. When petitioner filed its memorandum, the time for seeking a rehearing had long since expired.
treat the memorandum of August 21 as petitioner would have us treat it, we cannot hold that the time for filing a petition for certiorari was enlarged simply because this paper may have prompted the court below to take some further action which had no effect on the merits of the decision that we are now asked to review in the petition for certiorari.
"when a court actually changes its judgment, the time to appeal or petition begins to run anew irrespective of whether a petition for rehearing has been filed. [Footnote 6]"
We think petitioner's interpretation of our decisions is too liberal.
was for all purposes final. It put to rest the questions which the parties had litigated in the Court of Appeals. It was neither "tentative, informal nor incomplete." [Footnote 14] Consequently, we cannot accept the Commission's view that a decision against it on the time question will constitute an invitation to other litigants to seek piecemeal review in this Court in the future.
Thus, while we do not mean to encourage applications for piecemeal review by today's decision, we do mean to encourage applicants to this Court to take heed of another principle -- the principle that litigation must at some definite point be brought to an end. [Footnote 15] It is a principle reflected in the statutes which limit our appellate jurisdiction to those cases where review is sought within a prescribed period. Those statutes are not to be applied so as to permit a tolling of their time limitations because some event occurred in the lower court after judgment was rendered which is of no import to the matters to be dealt with on review.
38 Stat. 719, 15 U.S.C. § 45.
38 Stat. 731, 15 U.S.C. § 14.
38 Stat. 730, as amended, 49 Stat. 1526, 15 U.S.C. § 13(a).
Pfister v. Northern Illinois Finance Corp., 317 U. S. 144, 317 U. S. 149 (1942); Bowman v. Loperena, 311 U. S. 262, 311 U. S. 266 (1940); Wayne United Gas Co. v. Owens-Illinois Glass Co., 300 U. S. 131, 300 U. S. 137-138 (1937).
Brief for petitioner, p. 43.
28 U.S.C. § 452; see Zimmern v. United States, 298 U. S. 167 (1936).
See Fine v. Paramount Pictures, 181 F.2d 300, 304 (1950).
Department of Banking v. Pink, 317 U. S. 264; Toledo Scale Co. v. Computing Scale Co., 261 U. S. 399 (1923); Credit Co., Ltd. v. Arkansas Central R. Co., 128 U. S. 258 (1888).
See Zimmern v. United States, 298 U. S. 167, 298 U. S. 169 (1935); compare Department of Banking of Nebraska v. Pink, supra.
Compare Federal Power Commission v. Idaho Power Co., 344 U. S. 17 (1952).
Compare 73 U. S. v. Goodyear, 6 Wall. 153 (1868) (appeal allowed from a second decree, restating most provisions of the first because the first decree at the time of entry, was only regarded by the parties and the court as tentative); Memphis v. Brown, 94 U. S. 715 (1877) (appeal allowed from second judgment on the ground that the second made material changes in the first). See United States v. Hark, 320 U. S. 531, 320 U. S. 533-534 (1944); Hill v. Hawes, 320 U. S. 520, 320 U. S. 523 (1944).
The suggestion is made that the September 18 judgment injected a new controversy into the litigation -- the question of whether the Court of Appeals had the power to affirm and enforce the Commission's order after it had cross-petitioned for such relief. Cf. Federal Trade Commission v. Ruberoid Co., 343 U. S. 470 (1952). But if the respondent had sought to contest that issue, it could have done so from the start by raising objections to enforcement of all parts of the Commission's cross-petition. Instead, respondent refused to contest these parts of the Commission's order. Having done so, it removed the question involved in the Ruberoid case from the case.
See Dickinson v. Petroleum Conversion Corp., 338 U. S. 507, 338 U. S. 514 (1950).
See Matton Steamboat Co. v. Murphy, 319 U. S. 412, 319 U. S. 415 (1943).
to dismiss Count III of the complaint against Minneapolis-Honeywell. In doing so, the Court of Appeals invaded an area which Congress has made the exclusive concern of the Federal Trade Commission. See Federal Trade Commission v. Morton Salt Co., 334 U. S. 37, 334 U. S. 55; Federal Power Commission v. Idaho Power Co., 344 U. S. 17, 344 U. S. 20; Federal Communications Commission v. Pottsville Broadcasting Co., 309 U. S. 134, 309 U. S. 145-146.
Moreover, the Court of Appeals held that there was no evidence at all to substantiate the Commission finding that a quantity discount pricing system of Minneapolis-Honeywell resulted in price discriminations that violated § 2(a) of the Robinson-Patman Act. But there was evidence before the Commission that some customers of Minneapolis-Honeywell were given substantially bigger discounts on purchases than those given their competitors. And the Commission found that these variations were not justified by any differences in costs of manufacture, sale, or delivery. We have emphasized that such a showing amply supports a Commission cease and desist order. Federal Trade Commission v. Morton Salt Co., 334 U. S. 37, 334 U. S. 47. The Court of Appeals here failed to follow our holding in the Morton Salt case. For this reason also, it should be reversed.
that we review that partial order if it was a "final" one. Within that ninety days, on August 21, 1951, the Commission asked the Court of Appeals to pass on the remainder of the order. In response, a new and expanded decree of the Court of Appeals came down September 18, 1951, marked "Final Decree." December 14, 1951, within ninety days after rendition of this "Final Decree," the Commission filed here its petition for certiorari which the Court now dismisses.
litigant because of his failure to guess right when confronted in August, 1951, with a puzzle the answer to which no one could know until today.
In prior cases cited in the Court's opinion, this Court has found ways to grant review to litigants bedeviled and confused by the judicially created fog of "finality." [Footnote 2/5] In those prior cases, the Court recognized the vagueness of the finality rule, and refused to throw out of court litigants who had acted bona fide. It is unfortunate that the Court today fails to utilize this same kind of judicial ingenuity to afford this litigant the review Congress saw fit to provide in the public interest.
"Though the merits of the cause may have been substantially decided while anything, though merely formal, remains to be done, this court cannot pass upon the subject. If, from any intermediate stage in the proceedings, an appeal might be taken to the Supreme Court, the appeal might be repeated to the great oppression of the parties."
Chief Justice Marshall speaking for the Court in Life & Fire Ins. Co. of New York v. Adams, 9 Pet. 573, 34 U. S. 602.
"We think that the decree is not a final decree, and that this court has no jurisdiction of the appeal. The decree is not final because it does not dispose of the entire controversy between the parties."
Keystone Manganese & Iron Co. v. Martin, 132 U. S. 91, 132 U. S. 93.
"It is the settled practice of this court, and the same in the King's Bench in England, that the writ will not lie until the whole of the matters in controversy in the suit below are disposed of. . . . The cause is not to be sent up in fragments."
Holcombe v. McKusick, 20 How. 552, 61 U. S. 554 (1857).
"Probably no question of equity practice has been the subject of more frequent discussion in this court than the finality of decrees. . . . The cases, it must be conceded, are not altogether harmonious."
McGourkey v. Toledo & Ohio R. Co., 146 U. S. 536, 146 U. S. 544-545. Cf. Dickinson v. Petroleum Conversion Corp., 338 U. S. 507, 338 U. S. 511.
A multitude of cases would have supported such a belief on the part of Commission counsel. See, e.g., the following: "But piecemeal appeals have never been encouraged." Morgantown v. Royal Ins. Co., 337 U. S. 254, 337 U. S. 258.
"Congress, from the very beginning, has, by forbidding piecemeal disposition on appeal of what for practical purposes is a single controversy, set itself against enfeebling judicial administration."
Cobbledick v. United States, 309 U. S. 323, 309 U. S. 325.
"The foundation of this policy is not in merely technical conceptions of 'finality.' It is one against piecemeal litigation. 'The case is not to be sent up in fragments. . . .' Luxton v. North River Bridge Co., 147 U. S. 337, 147 U. S. 341."
Catlin v. United States, 324 U. S. 229, 324 U. S. 233-234,.
"Upon these facts, we cannot doubt that the entry of the 28th of November was intended as an order settling the terms of the decree to be entered thereafter, and that the entry made on the 5th of December was regarded both by the court and the counsel as the final decree in the cause."
"We do not question that the first entry had all the essential elements of a final decree, and, if it had been followed by no other action of the court, might very properly have been treated as such. But we must be governed by the obvious intent of the Circuit Court, apparent on the face of the proceedings. We must hold, therefore, the decree of the 5th of December to be the final decree."
Rubber Company v. Goodyear, 6 Wall. 153, 73 U. S. 155-156 (1867). See also Federal Power Commission v. Idaho Power Co., 344 U. S. 17, 344 U. S. 20-21; Hill v. Hawes, 320 U. S. 520; United States v. Hark, 320 U. S. 531; Zimmern v. United States, 298 U. S. 167; Memphis v. Brown, 94 U. S. 715.
See cases cited in Note 4.
Hormel v. Helvering, 312 U. S. 552, 312 U. S. 557. See also Maty v. Grasselli Chemical Co., 303 U. S. 197, 303 U. S. 200-201. Cf. Hazel-Atlas Glass Co. v. Hartford-Empire Co., 322 U. S. 238.
While I do not believe the merits of the case are as clear as MR. JUSTICE BLACK indicates, I join in the parts of his opinion which deal with the question whether the petition for certiorari was timely under 28 U.S.C. § 2101(c).

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