Opinion ID: 513300
Heading Depth: 1
Heading Rank: 2

Heading: jurisdiction

Text: 8 As a threshold matter, we must determine whether this Court has jurisdiction to hear H & W's entire appeal. Formosa contends that the district court erred in certifying for appeal under Fed.R.Civ.P. 54(b) the dismissal of count VI, the attempted monopolization claim. If this contention is valid, it deprives this Court of jurisdiction over that portion of the appeal. 2 Formosa has moved to dismiss H & W's appeal of count VI on this ground. 9 Rule 54(b) permits the immediate appeal, upon appropriate certification by the district court, of a judgment in a case involving multiple claims or multiple parties, even when other claims or parties remain before the lower court. Formosa contends that Rule 54(b) certification is improper whenever a claim remains before the lower court which is essentially similar to the one certified for appeal. As applied in this case, Formosa's argument is that H & W's appeal of the dismissal of the attempted monopolization claim under Rule 54(b) is inappropriate because another antitrust claim remains before the district court. Formosa focuses on the fact that the market power of Formosa and its subsidiary, J-M, is an important factor in resolving both antitrust claims. 10 It is true, as Formosa notes, that the use of Rule 54(b) is tempered by an historic federal policy against piecemeal appeals. Sears, Roebuck & Co. v. Mackey, 351 U.S. 427, 438, 76 S.Ct. 895, 901, 100 L.Ed. 1297 (1956); Curtiss-Wright Corp. v. General Electric Co., 446 U.S. 1, 8, 100 S.Ct. 1460, 1465, 64 L.Ed.2d 1 (1980). Thus, a district court is to exercise its authority to certify claims for appeal under 54(b) in the sound interest of judicial administration, taking into account such factors as whether the claims under review were separable from others remaining to be adjudicated and whether the nature of the claims to be determined was such that no appellate court would have to decide the same issues more than once even if there were subsequent appeals. Curtiss-Wright, 446 U.S. at 8, 100 S.Ct. at 1465. Formosa is incorrect, however, in arguing that this cautionary language directed to the district court strips this Court of the jurisdiction to hear any appeal certified under Rule 54(b) whenever similar claims remain before the lower court. 11 A district court decision to certify its judgment on some portion of a multiple claim as an appealable final judgment under Rule 54(b) is a discretionary act, which is not subject to second-guessing by this Court. Instead, the decision is reviewed for abuse of discretion. Curtiss-Wright, 446 U.S. at 8, 100 S.Ct. at 1465; DeMelo v. Woolsey Marine Industries, Inc., 677 F.2d 1030, 1034 (5th Cir.1982); Skinner v. W. T. Grant Co., 642 F.2d 981, 983-84 (5th Cir.1981). In delineating the scope of this discretionary authority, the Supreme Court has explicitly recognized that the fact that a similar claim remains before the district court does not necessarily preclude Rule 54(b) certification. Curtiss-Wright, 446 U.S. at 8, n. 2, 100 S.Ct. at 1465. Indeed, contrary to Formosa's argument, the Supreme Court and this Court have long recognized that claims arising out of the same transaction or sharing certain factual elements may be appealed separately under Rule 54(b). Sears, Roebuck & Co., 351 U.S. at 436 n. 9, 76 S.Ct. at 900; Cold Metal Process Co. v. United Engineering and Foundry Co., 351 U.S. 445, 452, 76 S.Ct. 904, 909, 100 L.Ed. 1311 (1956); Piney Woods Country Life School v. Shell Oil Co., 726 F.2d 225, 230 (5th Cir.1984), cert. denied, 471 U.S. 1005, 105 S.Ct. 1868, 85 L.Ed.2d 161 (1985). In view of these precedents, we find no abuse of discretion in the district court's decision to certify the attempted monopolization claim for appeal while retaining jurisdiction over another but different antitrust allegation. 12 There must also be consideration of a non-discretionary aspect of a district court's decision to certify a judgment for appeal under Rule 54(b). By its terms, Rule 54(b) only applies when multiple parties or multiple claims are involved. 3 When a complaint alleges mere variations in legal theory which are pleaded in the alternative or give rise to a single liability, true multiplicity is not present and Rule 54(b) cannot be employed to appeal a lower court judgment on one of the claims. Schexnaydre v. Travelers Insurance Co., 527 F.2d 855, 856 (5th Cir.1976); United States v. Crow, Pope and Land Enterprises, Inc., 474 F.2d 200, 202 (5th Cir.1973). In contrast, when the facts give rise to more than one legal right or cause of action, and the two grounds of recovery are not mutually exclusive, there are multiple claims which can be separately appealed upon certification under Rule 54(b). Cullen v. Margiotta, 811 F.2d 698, 711 (2nd Cir.), cert. denied sub nom. Nassau County Republican Comm. v. Cullen, --- U.S. ----, 107 S.Ct. 3266, 97 L.Ed.2d 764 (1987); Gas-A-Car, Inc. v. American Petrofina, Inc., 484 F.2d 1102, 1104-1105 (10th Cir.1973). See 10 C. Wright, A. Miller & M. Kane, Federal Practice and Procedure: Civil 2d Sec. 2657 (1983). 13 Counts VI and VII of H & W's complaint claim two separate grounds for recovery. Count VI, which was dismissed by the district court and certified for appeal, is brought under the Sherman Act and alleges an attempt to create a monopoly. Count VII, which remains before the trial court, is brought under Sec. 7 of the Clayton Act and challenges as anti-competitive Formosa's acquisition of its subsidiary, J-M. Although market share is relevant to both of these claims, they present separate claims for relief and thus can be appealed separately upon certification under Rule 54(b). See Gas-A-Car, 484 F.2d at 1104-1105 (claim of attempted monopolization ruled separate from price discrimination claim for purposes of Rule 54(b), although [a]dmittedly many of the same facts will be necessary to prove both counts.) 14 We conclude that the district court was within its authority in certifying for appeal under Rule 54(b) its dismissal of count VI. We find no abuse of discretion and conclude that there is no jurisdictional bar to H & W's appeal. We therefore deny Formosa's motion to dismiss that portion of the appeal. 15