Opinion ID: 664760
Heading Depth: 2
Heading Rank: 1

Heading: jurisdiction

Text: 6 Before we reach the merits, we will dispose of Figgie's preliminary argument that subject matter jurisdiction was improperly retained by the district court to enforce the settlement agreement after dismissal of the original infringement suit. As an appellate body, we have inherent jurisdiction to determine whether a lower tribunal had jurisdiction. See C.R. Bard, Inc. v. Schwartz, 716 F.2d 874, 877, 219 USPQ 197, 200 (Fed.Cir.1983). Whether the district court possessed jurisdiction to entertain Pharos' motion is an issue we review de novo. See Benderson Dev. Co. v. United States Postal Serv., 998 F.2d 959, 962 (Fed.Cir.1993). 7 Figgie does not dispute that the district court had jurisdiction over the original action pursuant to 28 U.S.C. Sec. 1338(a) (1988) and that the dispute was resolved through a binding settlement agreement. Nor does Figgie deny that the agreement expressly provided that the district court would have jurisdiction over the implementation of or disputes arising out of the settlement of this action for a period of two (2) years from the date of execution hereof [October 19, 1989]. These facts notwithstanding, Figgie insists that the district court was without jurisdiction to enforce the agreement because the agreement was not legally incorporated into the dismissal order, as is required in the Third Circuit. 8 Under the law of the Third Circuit, a court may retain jurisdiction to enforce an agreement settling a case over which it once presided by incorporating the agreement into an order of dismissal. See Sawka v. Healtheast, Inc., 989 F.2d 138, 141 (3d Cir.1993). Figgie argues that the requisite incorporation of the agreement was not achieved because the order failed to use the express language incorporate when referring to the agreement. 9 Figgie's assertion that there is a substantial question concerning jurisdiction borders on the frivolous. In urging its position, Figgie squarely disregards settled law that a court is not required to use explicit language or any magic form of words to effect a valid incorporation of an agreement into an order. See Halderman v. Pennhurst State School & Hospital, 901 F.2d 311, 317 (3d Cir.) (quoting McCall-Bey v. Franzen, 777 F.2d 1178, 1188 (7th Cir.1985)), cert. denied, 498 U.S. 850, 111 S.Ct. 140, 112 L.Ed.2d 107 (1990). Rather, the court need only manifest an inferable intent to retain jurisdiction. Id. The dismissal order at issue provided that 10 [t]he parties hereto have entered into an agreement settling the issues before [the district court], and by and through their attorneys, and pursuant to that agreement hereby stipulate that the complaint and counterclaim ... be dismissed with prejudice with each party bearing its own costs and attorney fees. [Emphasis added.] 11 Consistent with the law of the Third Circuit, we conclude that the order did effectively incorporate the terms of the agreement and that it adequately manifested the court's intent to retain jurisdiction for the purpose of enforcing the agreement. Thus, we hold that the district court had jurisdiction to entertain Pharos' motion. We now turn to the merits of the appeal. 12 Figgie makes a number of challenges to the various findings of fact and legal conclusions upon which the district court relied in granting Pharos' motion. We review the district court's decision in this case, as we would any bench trial, for errors of law and clearly erroneous findings of fact. See Fed.R.Civ.P. 52(a); Gould v. Quigg, 822 F.2d 1074, 1077, 3 USPQ2d 1302, 1304 (Fed.Cir.1987).