Opinion ID: 782104
Heading Depth: 3
Heading Rank: 1

Heading: Timeliness of the Forfeiture Action

Text: 8 The first question presented on this appeal is whether administrative forfeiture actions brought within the 120-day time period sufficiently comply with the letter of the law, as provided in § 924(d)(1), when the judicial proceedings are not brought also within the permissible 120 days. Section 924(d)(1) provides, in part: Any action or proceeding for the forfeiture of firearms or ammunition shall be commenced within one hundred and twenty days of such seizure. 18 U.S.C. § 924(d)(1). Although this is a question of first impression in the courts of appeals, a number of district courts have published opinions addressing this very question. See, e.g., United States v. Assorted Firearms, 201 F.Supp.2d 496, 498 (D.Md.2002) (noting that where ... administrative proceedings are timely instituted, a subsequent judicial action need not be instituted within 120 days of the seizure); United States v. Sixty Firearms, 186 F.Supp.2d 538, 545 (M.D.Pa.2002) (stating that administrative proceedings would be foiled by a process requiring the judicial action to be commenced within the same 120-day period); United States v. Miscellaneous Firearms, Explosives, Destructive Devices & Ammunition, 150 F.Supp.2d 988, 992 (C.D.Ill.2001) (holding that a forfeiture action is timely so long as at least an administrative action is filed within the 120-day statutory period); United States v. Twelve Firearms, 16 F.Supp.2d 738, 741 (S.D.Tex.1998), aff'd, 54 Fed. Appx. 405, 2002 WL 31688616, at  (5th Cir. Oct.28, 2002) (concluding that the statute required  either an administrative forfeiture proceeding or a judicial forfeiture action within 120 days of a seizure); United States v. Fourteen Various Firearms, 889 F.Supp. 875, 877 (E.D.Va.1995) (holding that the district court lacked jurisdiction to hear the case because both the administrative and the judicial forfeiture actions were not commenced within the 120-day timeframe); United States v. Twelve Miscellaneous Firearms, 816 F.Supp. 1316, 1317 (C.D.Ill.1993) (deciding that although the phrase any action or proceeding includes both judicial and administrative actions, the statute was satisfied so long as either action was brought within 120 days). In the instant case, the district court agreed with the rationale from Twelve Firearms that taking an administrative forfeiture action alone was sufficient compliance with the 120-day requirement and granted summary judgment for the government. On appeal, Short urges us to accept the rationale of Fourteen Various Firearms and dismiss this case for lack of jurisdiction based on the government's failure to file a judicial action within the 120-day requirement. Short contends that the statute's meaning is plain and unambiguous and that any means both administrative and judicial proceedings, and thus, in order to comply with § 924(d)(1), both actions must be brought within 120 days of the seizure. 9 In its opinion, the district court first recognized the general rule that seized property, other than contraband, should be returned to its rightful owner at the completion of criminal proceedings. See United States v. LaFatch, 565 F.2d 81, 83 (6th Cir.1977). With respect to firearms, a potential claimant has no right to contest seizure of weapons intrinsically illegal in character because he would have no property right in such a weapon. Cooper v. City of Greenwood, 904 F.2d 302, 304 (5th Cir.1990). On the other hand, the district court noted, a claimant may have an ownership interest in firearms, not intrinsically illegal. Joint Appendix (J.A.) at 93 (Dist.Ct.Op.). According to the district court, because § 924(d)(1) explicitly provides that firearms and ammunition involved in a knowing violation of § 922(g) are subject not only to seizure and forfeiture but also to relevant provisions of the Internal Revenue Code which contain a five-year statute of limitations, the judicial action was timely brought as long as the administrative action tolled the 120-day deadline. Persuaded by the rationale of Twelve Firearms, the district court found that the government met § 924(d)(1)'s requirements because commencing an administrative forfeiture proceeding is sufficient for compliance with the 120-day requirement. See generally Twelve Firearms, 16 F.Supp.2d at 741 (commenting that any requirement that both proceedings be initiated within this brief 120-day period defeat[s] the purpose of simplified administrative proceedings). 10 The key to this case turns on statutory interpretation. We begin our analysis by looking at the language of the statute itself to determine if its meaning is plain. U.S. Dep't of the Treasury v. Fabe, 508 U.S. 491, 500, 113 S.Ct. 2202, 124 L.Ed.2d 449 (1993); United States v. Choice, 201 F.3d 837, 840 (6th Cir.), cert. denied, 530 U.S. 1209, 120 S.Ct. 2210, 147 L.Ed.2d 243 (2000). Plain meaning is examined by looking at `the language and design of the statute as a whole.' Choice, 201 F.3d at 840 (quoting United States v. Meyers, 952 F.2d 914, 918 (6th Cir.), cert. denied, 503 U.S. 994, 112 S.Ct. 1695, 118 L.Ed.2d 407 (1992)). When interpreting the plain language of a statute, we mak[e] every effort not to interpret a provision in a manner that renders other provisions of the same statute inconsistent, meaningless or superfluous. Cafarelli v. Yancy, 226 F.3d 492, 499 (6th Cir. 2000) (quotation omitted). However, if the textual analysis is unclear or leads to ambiguous or unreasonable results, legislative history may be used to guide our interpretation of a statute. The Limited, Inc. v. Commissioner, 286 F.3d 324, 332 (6th Cir.2002). Moreover, [j]udicial perception that a particular result would be unreasonable may enter into the construction of ambiguous provisions, but cannot justify disregard of what Congress has plainly and intentionally provided. Commissioner v. Asphalt Prods. Co., 482 U.S. 117, 121, 107 S.Ct. 2275, 96 L.Ed.2d 97 (1987). We review de novo questions of statutory interpretation. Choice, 201 F.3d at 840. 11 The first court to address the question of whether timely administrative forfeiture actions without concurrent judicial proceedings comply with § 924(d)(1) determined that the filing of an administrative forfeiture within the 120-day period was adequate to confer jurisdiction. See Twelve Miscellaneous Firearms, 816 F.Supp. at 1317. In Twelve Miscellaneous Firearms, the court determined that the statutory phrase any action or proceeding included both judicial and administrative actions, and therefore bringing either within the timeframe was sufficient for compliance with the statute. Id. Following the logic of Twelve Miscellaneous Firearms, the district court in Twelve Firearms concluded that the government satisfied the 120-day time limit of § 924(d)(1) by timely bringing an administrative forfeiture action. See Twelve Firearms, 16 F.Supp.2d at 741. Twelve Firearms interpreted the absence of more specific language in § 924(d)(1) as intentional: 12 First, ... if Congress had intended that the time limit provided in § 924(d)(1) should always apply to the filing of a judicial complaint for forfeiture of firearms, even when an administrative proceeding has also been initiated, it could have easily specified so in the statute, as it did in 21 U.S.C. § 888(c) with respect to drug-related forfeitures. 13 Id. As a secondary rationale, the Twelve Firearms court commented that dual proceedings would defeat the purpose of simplified administrative proceedings. Id. 14 We are convinced that the approach taken by Twelve Miscellaneous Firearms, Twelve Firearms, and other district courts that followed their lead, is correct. Beginning with the statute's language itself, 1 we first assess whether its meaning is plain. See The Limited, Inc., 286 F.3d at 332. We agree that the meaning of the word `any' in § 924(d)(1) is ambiguous. Twelve Firearms, 16 F.Supp.2d at 741. As the government points out, the proof of the ambiguity is evidenced by the disagreement over its meaning; some district courts have read any to mean either/or, whereas at least one district court has interpreted any to mean all or every. Compare id. (the time limitation in § 924(d)(1) merely requires the United States to initiate either an administrative forfeiture proceeding or a judicial forfeiture action within 120 days of a seizure.), with Fourteen Various Firearms, 889 F.Supp. at 877 (deciding that the word any made it imperative that, irrespective of which type of proceeding was at issue,  any administrative proceeding or judicial action for the forfeiture of the ... firearms had to begin within 120 days and that a judicial action brought after 120 days was too late). Because the statutory language is ambiguous, we engage the entire text and structure of the statute, being careful not to interpret it in a way that renders other provisions of the same statute inconsistent, meaningless or superfluous. Cafarelli, 226 F.3d at 499 (quotation omitted). 15 Interpreting the statute in its entirety, we cannot ignore that § 924(d)(1) expressly incorporates provisions of the Internal Revenue Code relating to forfeiture. See 18 U.S.C. § 924(d)(1) (all provisions of the Internal Revenue Code ... relating to the seizure, forfeiture, and disposition of firearms, ... shall, so far as applicable, extend to seizures and forfeitures under the provisions of this chapter.). One such provision, 26 U.S.C. § 7327, incorporates the provisions of the customs forfeiture laws which provide in 19 U.S.C. § 1621 for a five-year statute of limitations for bringing a judicial forfeiture action. See 26 U.S.C. § 7327 (The provisions of law applicable to the remission or mitigation by the Secretary of forfeitures under the customs laws shall apply to forfeitures incurred or alleged to have been incurred under the internal revenue laws.). Because we assess the plain meaning by looking at the language and design of the statute as a whole, we must consider § 924(d)(1)'s express language applying provisions in the Internal Revenue Code to forfeitures under § 924(d)(1) when we attempt to discern the statute's meaning. See Choice, 201 F.3d at 840 (citation omitted). Surely § 924(d)(1)'s inclusion of relevant Internal Revenue Code provisions, and hence, the five-year statute of limitations for judicial forfeiture actions, must have some bearing on judicial forfeiture actions in the firearm context. In our estimation, this five-year statute of limitations becomes applicable once an administrative action has tolled the 120-day requirement for initiation of an administrative forfeiture action or a judicial forfeiture proceeding. 16 A requirement that both administrative and judicial proceedings be initiated within the same 120-day period does not make sense for two primary reasons: (1) administrative forfeitures are favored, and (2) the opportunity for bringing a judicial forfeiture action could be lost while the parties await a decision on the administrative forfeiture proceeding. See generally United States v. Eight Thousand Eight Hundred & Fifty Dollars ($8,850) in United States Currency, 461 U.S. 555, 103 S.Ct. 2005, 76 L.Ed.2d 143 (1983) (noting that permitting the government to wait for a decision on an administrative forfeiture action is beneficial to the claimant, government, and court system); Sixty Firearms, 186 F.Supp.2d at 545 (stating that because administrative forfeiture proceedings alleviate the need for judicial action, [i]t makes little sense to require the government to initiate both an administrative proceeding and a judicial forfeiture action within 120 days of seizure of the property). The purpose of administrative proceedings, as stated by the Twelve Firearms court, is to provide, if possible, a mechanism for the government and private parties to resolve their forfeiture-related disputes without the need for judicial actions. Twelve Firearms, 16 F.Supp.2d at 741. As the Supreme Court noted in a decision involving the post-seizure filing of a judicial forfeiture action: 17 An important justification for delaying the initiation of forfeiture proceedings is to see whether the Secretary's decision on the petition for remission will obviate the need for judicial proceedings. This delay can favor both the claimant and the Government. In many cases, the Government's entitlement to the property is clear, and the claimant's only prospect for reacquiring the property is that the Secretary will favorably exercise his discretion and allow remission or mitigation. If the Government were forced to initiate judicial proceedings without regard to administrative proceedings, the claimant would lose this benefit. Further, administrative proceedings are less formal and expensive than judicial forfeiture proceedings. Given the great percentage of successful petitions, allowing the Government to wait for action on administrative petitions eliminates unnecessary and burdensome court proceedings. Finally, a system whereby the judicial proceeding occurs after administrative action spares litigants and the Government from the burden of simultaneously participating in two forums. 18 $8,850, 461 U.S. at 566, 103 S.Ct. 2005 (citations omitted). 19 Consistent with the Supreme Court's analysis in $8,850, we believe that § 924(d)(1) does not mandate that judicial actions be brought within 120 days of the seizure, as long as an administrative proceeding has been brought within that timeframe. As the Court suggests in $8,850, permitting the government to await a decision on the administrative forfeiture proceeding protects the courts from overly burdensome litigation, conserves economic resources, and preserves a claimant's opportunity for remission or mitigation. See id. If parties were required to bring both proceedings within the 120-day period, a claimant awaiting a response on the administrative action and eagerly anticipating remission may have to forego his chance to challenge the forfeiture in a court of law. See id. In a situation where a statutory provision is ambiguous, our perception that a particular result would be unreasonable must play an important role in our interpretation process. Asphalt Prods. Co., 482 U.S. at 121, 107 S.Ct. 2275. Thus, after considering the the language and design of the statute as a whole, Meyers, 952 F.2d at 918, and after making every effort ... to interpret a provision in a manner consistent with the rest of the statute, Cafarelli, 226 F.3d at 499, we conclude that § 924(d)(1)'s ambiguous statutory language any action or proceeding should not be interpreted to mean every but rather either a judicial action or an administrative proceeding. Furthermore, we agree that because the administrative forfeiture proceeding was brought within 120 days, a judicial forfeiture action brought within five years, as provided in § 1621, was within the statute of limitations. This interpretation allows for consideration of the statute's language in its entirety, gives meaning to Internal Revenue Code provisions, and fosters the favored status of administrative actions. 20 Short criticizes the district court's reliance on Twelve Firearms as error because that decision considered § 924(d)(1)'s language ambiguous but nevertheless failed to consider legislative history. Short, citing Fourteen Various Firearms, posits that the legislative history supports his argument that both administrative and judicial proceedings must commence within the 120-day period. The Fourteen Various Firearms court noted that the sponsor of the Firearms Owners' Protection Act (FOPA), the statute creating § 924(d)(1), criticized its alternative, the Hughes bill, because `[the latter did] not require an agency to bring judicial actions within 120 days, or any other limit, of a seizure.' 889 F.Supp. at 877 (citing 132 Cong. Rec. H1652 (April 9, 1986)). What Short fails to realize is that this court has stated that legislative history is used when textual analysis is unclear, or leads to ambiguous or unreasonable results. The Limited, Inc., 286 F.3d at 332. Although the word any in § 924(d)(1) is ambiguous, the textual analysis of the entire statute combined with an assessment of the statute's structure leads us to a reasonable, not unreasonable, result: one that upholds the favored status of administrative proceedings and allows for judicial proceedings still to be brought after an administrative forfeiture has failed. Moreover, as previous courts have indicated, if Congress had intended that the time limit provided in § 924(d)(1) should always apply to the filing of a judicial complaint for firearms, even when an administrative proceeding has also been initiated, it could have easily specified so in the statute. Twelve Firearms, 16 F.Supp.2d at 741. Short's reliance on one stray comment in the legislative history cannot override the statute's structure, meaning, and purpose; Congress votes on the statute in its entirety, not on the House sponsor's comments alone. Moreover, the sponsor's comment is not at odds with our interpretation. The comment's emphasis is on the timing of judicial proceedings, recognizing that such proceedings need some time limit. Our holding today also recognizes FOPA's concern with bringing timely proceedings and determines that the 120-day limit will apply to judicial proceedings when no administrative forfeiture action was brought to toll the 120-day requirement. 21 On a final note, Short argues that the five-year statute of limitations in § 1621, when properly applied, runs from the date the alleged offense was discovered, not the date of seizure as in § 924(d)(1). Short then proceeds to argue, without citing any authority, that an earlier date of discovery should apply in his case because the government knew he had a felony conviction for possession of firearms in 1979 and was aware that he possessed firearms in advance of the execution of the search warrant. Short suggests that because he openly purchased his firearms through registered dealers, the government was constructively aware that he had these weapons well before August 20, 1994. The record is entirely void of any evidence in support of this argument. Moreover, Short waived this argument by failing to raise it before the district court. This court has repeatedly held that it will not consider arguments raised for the first time on appeal unless our failure to consider the issue will result in a plain miscarriage of justice. In re Hood, 319 F.3d 755, 760 (6th Cir.2003) (quotation omitted). Here, our decision not to address Short's factually and legally unsupported argument does not result in a miscarriage of justice.