Opinion ID: 429666
Heading Depth: 2
Heading Rank: 1

Heading: dismissal of the complaint as a final order

Text: 7 The appellee's first contention, that the dismissal of the complaint on December 23, 1982 constituted a final order for the purposes of F.R.App.P. 4(a), requires us to decide the nature of the court's action. If the dismissal of the complaint was a final order, then the plaintiff's notice of appeal, filed on April 8, 1983 would be untimely. 1 8 Those courts that have considered the question of whether dismissal of a complaint is a final order are of differing views. The Second Circuit has held that the dismissal of a complaint, unless leave to amend is explicitly granted, constitutes a final appealable order. Elfenbein v. Gulf & Western Industries, Inc., 590 F.2d 445, 448 (2nd Cir.1978); Weisman v. LeLandais, 532 F.2d 308, 309 (2nd Cir.1976). The Ninth, Sixth and Third Circuits, in contrast, distinguish between a dismissal of the complaint and a dismissal of the action, holding that only the latter constitutes a final order, unless the trial court has made clear in dismissing the complaint that the action could not be saved by amendment. Ruby v. Secretary of United States Navy, 365 F.2d 385, 387 (9th Cir.1966); Azar v. Conley, 480 F.2d 220, 222-23 (6th Cir.1973); Borelli v. City of Reading, 532 F.2d 950, 951-52 (3rd Cir.1976). See also Moore's Federal Practice, p 12.14 (recognizing the distinction); Wright & Miller, Federal Practice and Procedure Sec. 1483 (recognizing the distinction, but suggesting that it may be too formalistic). 9 In Elfenbein, the Second Circuit attributed the divergent views to the different manner in which the courts view the right to amend after a complaint has been dismissed. Although the Ninth Circuit allows the plaintiff to amend once as a matter of right under F.R.Civ.Pro. 15(a) even after dismissal, the Second Circuit has held that the right to amend terminates upon the dismissal of the complaint. 590 F.2d at 448 n. 2. From the Second Circuit's perspective, therefore, the effect of a complaint being dismissed turns upon whether the plaintiff has a continuing right to amend in an attempt to save the complaint. 10 Our circuit has not decided expressly either question: whether the dismissal of a complaint is a final order or whether a plaintiff may amend once as a matter of right under Rule 15(a) after a dismissal. The court, however, has indicated that a plaintiff has the choice either of pursuing a permissive right to amend a complaint after dismissal or of treating the order as final and filing for appeal. United States v. Mayton, 335 F.2d 153, 158 n. 12 (5th Cir.1964); 2 United Steelworkers v. American International Aluminum Corp., 334 F.2d 147, 150 n. 4 (5th Cir.1964). 11 Mayton and United Steelworkers thus suggest an intermediate approach between those adopted by the Second and Ninth Circuits. Although the plaintiff does not have a right to amend as a matter of course after dismissal of the complaint, 3 the dismissal itself does not automatically terminate the action unless the court holds either that no amendment is possible or that the dismissal of the complaint also constitutes a dismissal of the action. 4 We believe that this approach is consistent with Rule 15's liberal mandate that leave to amend be freely given when justice so requires, without granting the plaintiff carte blanche power to reopen a case at will by filing an amendment. See Clardy v. Duke University, 299 F.2d 368, 369-70 (4th Cir.1962); Wright & Miller, Sec. 1483; Moore's Federal Practice p 15.07. 12 Here, the trial court in its order dismissing the complaint did not state that it also was dismissing the action or that the complaint could not be saved through amendment. Indeed, a fair reading of the court's order with its extensive discussion of why the Railway Labor Act rather than the NLRA was the proper statute appears to invite an amendment by the plaintiff. In his proposed amendment, the plaintiff did not allege any new facts, but only advanced the Railway Labor Act as his new basis for jurisdiction. Thus, although the court in its order of March 10, 1983 characterized its earlier order as one dismissing the cause of action, the plaintiff could not have been reasonably expected to realize that the court was entering a final order. Consequently, no final order was entered on December 23, 1982, and the plaintiff's notice of appeal from the March 10, 1983 order was timely. 13