Opinion ID: 460116
Heading Depth: 1
Heading Rank: 4

Heading: Authority to Enjoin Relitigation and Release Liens

Text: 21 With respect to Cook II, Judge Schwartz ordered dismissal because the claims were res judicata as to the Kiewit defendants, no wrongful act was alleged against defense counsel, and the state court judges could assert the privilege of absolute immunity. He did not order dismissal for lack of subject matter jurisdiction. 5 In view of the repetitive procedures followed by Cook, Judge Schwartz did not abuse his discretion in enjoining future litigation of the factual and legal issues involved in Cook II. See 28 U.S.C. Sec. 1651; Wood v. Santa Barbara Chamber of Commerce, Inc., 705 F.2d 1515. 6 22 Judge Schwartz also properly released all liens filed against the defendants. See, e.g., Ryan v. Bilby, 764 F.2d 1325 (9th Cir.1985), where this court affirmed the release of liens, pursuant to I.R.C. Sec. 7402(a) (1982), imposed by taxpayers on the property of government officials. See also Stonecipher v. Bray, 653 F.2d 398 (9th Cir.1981), holding that an employer's withholding of taxes did not deprive the employee of any constitutional right.
23 In Cook III the court found that Cook was seeking to assert claims under 42 U.S.C. Sec. 1983 and Bivens v. Six Unknown Named Agents, 403 U.S. 388, 91 S.Ct. 1999, 29 L.Ed.2d 619 (1971). Judge Ramirez found the law suit wholly frivolous, insubstantial and groundless and thus outside this court's subject matter jurisdiction. (Citing Bell v. Hood, 327 U.S. 678, 66 S.Ct. 773, 90 L.Ed. 939 (1946) and Hagans v. Lavine, 415 U.S. 528, 537-38, 94 S.Ct. 1372, 1379, 39 L.Ed.2d 577 (1974) ). Thus, the substantiality doctrine could be and was applied. 7 24 Under the substantiality doctrine, the district court lacks subject matter jurisdiction when the question presented is too insubstantial to consider. Hagans v. Lavine, 415 U.S. 528, 536-39, 66 S.Ct. at 1378-80. The claim must be so insubstantial, implausible, foreclosed by prior decisions of this Court or otherwise completely devoid of merit as not to involve a federal controversy within the jurisdiction of the District Court, whatever may be the ultimate resolution of the federal issues on the merits. Oneida Indian Nation v. County of Oneida, 414 U.S. 661, 666, 94 S.Ct. 772, 776, 39 L.Ed.2d 73 (1974). 25 A dismissal based on the substantiality doctrine is, in many respects, similar to a dismissal for failure to state a claim. This court, however, has recognized that there exists a threshold difference. Franklin v. Oregon State Welfare Division, 662 F.2d 1337, 1343 (9th Cir.1981). Whereas dismissal based on failure to state a claim requires a judgment on the merits and cannot be decided before the court assumes jurisdiction, a substantiality doctrine dismissal does not operate as a judgment on the merits and thus allows a plaintiff the opportunity to seek relief in state court or to assert a claim for which the federal courts have jurisdiction. Id. See also Bell, 327 U.S. at 682, 66 S.Ct. at 776. Judge Ramirez's dismissal for lack of subject matter jurisdiction, thus, is not a judgment on the merits, 8 and he retained no power to make judgments relating to the merits of the case. Judge Ramirez relied on the All Writs Act, 28 U.S.C. Sec. 1651, and Wood, 705 F.2d at 1524, supra. Wood, however, permits the court to enjoin repetitive and vexatious litigation only after it has reached a judgment on the merits. Sec. 1651 also requires that an injunction be issued in aid of the court's jurisdiction. Because Judge Ramirez concluded that the court lacked subject matter jurisdiction, he did not reach a judgment on the merits and did not retain the necessary authority to issue an injunction against repetitive litigation of the factual and legal issues in Cook III. 26 A different situation is presented with respect to Judge Ramirez's order in Cook III enjoining relitigation of the issues in Cook II. A district court retains jurisdiction to enforce the judgments it [has] enter[ed]. Wood, 705 F.2d at 1524. This court held in Wood that the court retained jurisdiction to enforce the doctrines of res judicata and collateral estoppel of a final judgment it had previously entered. The court in Wood was able to enjoin repetitive litigation at a later date. Id. This case is complicated by reason of the fact that Cook filed the third action after Judge Schwartz had ruled orally, but before a written order had been entered. Judge Ramirez in his order, however, relied on Judge Schwartz's oral ruling, and we conclude that Judge Ramirez retained the jurisdiction to enjoin relitigation of the factual and legal issues of Cook II and correctly enjoined Cook from such relitigation. In any event, relitigation was properly enjoined by Judge Schwartz both orally and in his subsequent written order. Moreover, the facts alleged in Cook III are essentially the same as those alleged in Cook II. 27 There is some confusion and uncertainty as to Cook's contention on appeal regarding that part of the order in Cook III expunging liens on defendants' property. In his opening brief Cook states that [q]uestions of whether the court has jurisdiction to lift liens connected with cases in which the Respondent court does not possess subject matter to hear and decide the issues, have been settled by stipulation and are not issues in this appeal. The stipulation, however, refers only to liens on federal defendants' property. Both the federal defendants and the county defendants have interpreted Cook's statement to include liens against the property of all defendants. 9 Under the circumstances we consider this a reasonable interpretation. Moreover, it is of no practical significance, since we affirm the orders entered in Cook II releasing the liens.