Legal Document

476 U.S. 926 106 S.Ct. 2333 90 L.Ed.2d 921 Richard E. LYNG, Secretary of Agriculture, et al., Petitionersv.Ronald PAYNE etc. No. 84-1948. Argued March 24, 1986. Decided June 17, Rehearing Denied Aug. 19, See 478 1031, 107 11. Syllabus Under the Consolidated Farm and Rural Development Act, Agriculture has authority to make emergency loans farmers who suffer economic losses as a result natural disaster. Pursuant rule Farmers Home Administration (FmHA), required loan applicants suffering from disasters occurring between December 26, 1972, April 20, 1973, file their applications by 2, 1974. That embodied command Pub.L. 93-237 keep such programs open at least until that date. During this period, were available on terms far more generous than under later versions authorizing statute. In 1976, class action was instituted in Federal District Court, which respondents represented had been eligible for during period Florida flood early but who, because lack notice, not aware eligibility. It alleged, inter alia, FmHA's failure publicize program fully violated its own regulations, an injunction sought require FmHA reopen program. The Court granted requested relief, finding FmHA, violation one failed give adequate notice availability loans, requiring agency 15, 1981, 1981. Appeals affirmed different grounds, holding comply with another regulation it notify public through news media program's terms. After earlier remand adhered prior views reinstated decision, observing petitioner Government officials' liability premised follow regulations. Held: 1. lower courts erred Secretary's conduct procedures relevant implementation 93-237. Accordingly, even assuming, arguendo, reopening would have appropriate remedy regulations violated, awarding relief clearly improper light compliance procedures. agency's applicable provided press releases inform "provisions P.L. 93-237." Public Law itself said nothing about program, merely stated respect be administered 92-385, thus statement "loan will taken new law (P.L. 93-237) enacted January 1974," no less informative "provisions" Act release endeavoring describe. And history regulatory history, Court's cannot supported theory requirements. Pp. 935-942. 2. Nor can injunctive inadequate deprived property without due process law. Even assuming legitimate claim entitlement protected process, published Register after enactment 93-237, set out detail conditions well afforded full his procedures, ample satisfy any concerns. 942-943. 751 F.2d 1191, reversed. O'CONNOR, J., delivered opinion BURGER, C.J., BRENNAN, WHITE, MARSHALL, BLACKMUN, POWELL, REHNQUIST, JJ., joined. STEVENS, filed dissenting opinion, post, p. 943. Bruce N. Kuhlik, Washington, D.C., petitioners. Theodore L. Tripp, Jr., Fort Myers, Fla., respondent. Justice O'CONNOR Court. 1 vests (Act), §§ 321-330, 75 Stat. 311, amended, 7 U.S.C. 1961-1971 (Act). rule, 39 Fed.Reg. 7569 (1974) (later codified CFR § 1832.82(a) (1975)). statutory 87 1025. question presented is whether federal court remedial long-terminated basis Secretary, alleged adequately affected 2 * 1973 torrential rains struck 13 counties northern part Florida. Initial estimates, sharply reduced, projected resulting crop excess $3 million. scope these anticipated losses, May President Nixon declared region major disaster area. 38 14800 (1973). Disaster Relief 1970, 91-606, 84 1744 (repealed or transferred 1974). As declaration, came obligation "make loans" qualifying individuals region. 1961(b) (1970 ed., Supp. III). 3 At time like much rest Government, become embroiled budgetary dispute Executive Legislative Branches. Congress passed 86 554, authorized those Act. 1972 implemented carried 1% interest rate conditioned upon unavailability alternative sources credit. addition, directed forgive outright up $5,000 principal loan. On 27, larger, administration-wide effort control what viewed excessive congressional appropriations, regional (FmHA) officials effectively cease processing applications. generally Berends v. Butz, 357 F.Supp. 143 (Minn.1973); Impoundment Appropriated Funds President: Joint Hearings before Ad Hoc Subcommittee Senate Committee Operations Judiciary, 93d Cong., 1st Sess., 532 Aware "forgiveness features low rates 92-385" contributed unilateral executive decision curtail attempted resolve crisis repealing provisions. S.Rep. 93-85, (1973), Code Cong. & Admin. News 1285. 93-24, became effective 5%, limited unable obtain credit other sources, eliminated entirely provision previously allowed cancellation portion principal. A grandfather clause act, remain designated 1972. 4 Left unclear, however, status 4-month date 93-24. resolved uncertainty passing center case. Section that, "[n]otwithstanding provisions 93-24," "with occurred" interim governed 92-385. 10(c) deadline applying extended days beyond This 90-day extension supplanted established policy accept only if within nine months formal declaration. (For physical 60 days.) According Conference Report, purpose sure "administratively deadlines" took into account confusion among concerning numerous changes recent past. S.Conf.Rep. 93-363, 6 3340. bill signed Thus, congressionally mandated expired 5 coincided administration relief. Between (the declared), 1974 law), pursuant initial months, February 1974, submit loans. Presidential throughout rules certain designed potential borrowers 1832.3(a)(1) addition general announcements appear appropriate," County Supervisor various local "agricultural lenders" "the assistance [the] program." Ibid.1 undisputed filed. approximately six weeks issued instructions staff App. Pet. Cert. 48a. Shortly thereafter, material change Register.2 1832.81-1832.92 publication including rate, forgiveness provision, absence requirement applicant demonstrate 7571 (1974). also specified termination acceptance . 1974." Id., 7570. Also included directions "State Directors Supervisors media, newspapers, radio, television 49a "Special Emergency Loan Policies Implementing Applicable Provisions 93-237," (1974)). Attached suggested release.3 50a-51a. explained yet received could apply office. Although setting details model did state 51a. Consistent instructions, State director forwarded sample offices. Those offices turn sent copies and, two occasions, newspapers north Record, Defendants' Exhibits 10-12. second is, expiration four area applied 8 August respondent Payne, farmer, present United States Middle he actual special represent 2,500 but, Contending them law, directing prevailing "up Complaint 6. 9 certified relief.4 variety ways, found, Most deficiencies specifically found occurred period. example, number left meeting incorrect impression they ineligible knew misimpression, correct it. describing both incomplete. Finally, determined specific requirements county allude promulgated connection (§ 1832.82(a)). Apparently contained (1973) continued held adhere 60-day extending particular, "to appropriate." Ibid. 10 Eleventh Circuit affirmed, grounds. Payne Block, 714 1510 (1983). accepted findings findings, "pertain[ed] peripherally" affirm. F.2d, 1519. Regardless violations 1832.3(a)(1), concluded, self-imposed announced "inform 7570 done, believed, announcing explain view proposition agencies are duty bound held, most reaching conclusion, rejected Government's argument application therefore, expand. court's view, extend administratively days. Nothing divested discretion further. 11 review we petition certiorari, vacated judgment below, remanded reconsideration our Heckler Community Health Services Crawford County, Inc., 467 51, 104 2218, 81 42 (1984). Block 469 807, 105 65, 83 15 Services, principles equitable estoppel ever against "a private party surely prevail [on theory] demonstrating traditional elements present." U.S., 61, S.Ct., 2224. Appeals, petitioners' decision. 1191 (1985). 12 Because below exposes substantial reasoning implicates important questions powers, again certiorari. 474 815, 57, 88 46 We now reverse. II shares all essential characteristics accordingly, should analyzed acknowledge practical effect estop relying validly refusing further applications.5 readily agree theory, prevail. observed recently, subject estoppel, "private An element detrimental reliance adverse party's misrepresentations, id., 59, 2223 (citing J. Pomeroy, Equity Jurisprudence 805, 192 (S. Symons ed. 1941)); neither named plaintiffs, members represent, reliance. Moreover, misconduct information concededly Register. Our cases leave doubt "failure rights accorded" does "give rise Government." INS Hibi, 414 5, 8-9, 94 21-22, (per curiam ). supra, 63, 2226 ("[T]hose deal expected know law"); Crop Ins. Corp. Merrill, 332 380, 384, 68 1, 3, 92 L.Ed. (1947). 14 correctly observed, respondents' inability stringent common-law independently decide Indeed, beginning complaint course litigation, never rely recovery. Their instead, injunction, Administrative Procedure (APA), 551 seq., authorizes kind duly may some same concerns limit bear appropriateness remedies close substantive resemblance estoppel. reject, suggestion analogized necessarily invalid, regardless source cause action, unless plaintiff succeeds proving Cf. Honda Clark, 386 484, 494-495, 1188, 1193-1194, 18 244 (1967). divesting envisioned APA. If, farmer denial deadline's "arbitrary, capricious [and] accordance law," 706(2)(A), APA direct reconsidered. would, sense, deadline, us then estopped Respondents contend having delegated rulemaking authority, force therefore binding agency. To noncompliance, suggest, 706 "compe[l] 'action unlawfully withheld' [notice] 'set aside action' [application deadline] 'without observance law.' " Brief 21 (quoting 706) (bracketed original). 16 must clear three hurdles. outset, publications force, Schweiker Hansen, 450 785, 789, 101 1468, 1471, 67 685 (1981); remains shown provisions, began life unpublished remediable all. Second, power greater Congress. hardly abuse refuse do so many years receded inconsistent intent "agency action" seek "application deadline." Yet, exception standing,6 there allegation member includes act" definition reviewable 551(13), when allegedly aggrieved Mathews Eldridge, 424 319, 328, 96 893, 899, 47 (1976). 17 need not, definitively issues. confront broader contention instances inappropriate court, reviewing APA, independent one. predicate fact rules. explain, Appeals' conclusion insupportable. relied exclusively purported 1832.82(a), uphold issue releases, reasoned, describe breached 'inform 93-237.' 1520, quoting (emphasis supplied Appeals). 19 demonstrably incorrect. reduced possibility partial principal, elimination unavailable sources. though clarity, 51a; (1975). 20 runs roughshod over construction entitled deference. Larionoff, 431 864, 872, 97 2150, 2155, 53 48 (1977); Udall Tallman, 380 16-17, 85 792, 801-802, 616 (1965). publicity directive (1975) originally instruction implementing 48a-49a. Accompanying identical pertinent respects obviously reflected contemporaneous understanding directive, logically untenable suggest issuing modeled explicitly sample. disclaimed previous support affirmance judgment. do, defend warranted find supportable Appeals. matter, first plainly irrelevant. Starting complaint, lengthy reopened 45a. simple matter causation, old "terms benefits" 22 believe noncompliance 1832.3 justify remedy.7 face Ninth longer force. Assn., Inc. 653 1267, 1270 (1981). 23 By terms, 1832.3(a) requires place 1832.92 (describing reporting designations). plain language casts serious assumption intended serve means giving midcourse long declared. 24 Any ambiguity regulation's reach dispelled itself. recognized, acutely Nation's laws 1516-1517. central objective clarifying compensate "uncertain[ties]" objective, "implemen[t] These "supplemen[t] modif[y]" regime, 1832.3(a). While ambiguous, strongly suggests adopting geared mechanism spreading word areas already Congress' belief efforts implement failed, suggests, take tack assure one—notification 1832.82. 25 interpretation confirmed 1832.92, adopted 7575 There, "new" designations, given 1832.3. There mention whatever balance dealing published. fair inference omission disasters, flood, rather 1832.3, provide notifying consistent approach provides permissible ordering reopened. III 26 conclude, addressed either benefits, distinct receiving them, Due Process Clause Fifth Fourteenth Amendment. Walters National Assn. Radiation Survivors, 473 305, 320, n. 8, 3180, 3189, 220 Register, 44 1507 (Publication "is sufficient contents document person it"). 27 28 ordered. 29 dissenting. 30 When enacts victims disaster, spirit motivated believes parsimonious national interest. benefit, others, suffered 1973. statute enacted, President's Department Director, officials, agricultural lenders area, public. Ante, 930-931, "immediately." 31 found—and disagree—that For several statute, action. announcement "supplement" existing regulations—requiring advice media. announcement, ambiguous uninformative prepared distributed. nevertheless holds (1) complied supplementary (2) somehow superseded enacted. holdings, I submit, misread faithful governing 32 Before explaining why flagrant shall briefly comment timeliness rejection primary challenge propriety remedy. 33 litigation commenced 1976. contended timely "where, here, exigent circumstances farmers' precluded beneficiaries so. hold otherwise allow totally fail avoid being called task conduct." 1510, 1517 (CA11 1983).1 abandoned 935, 5. 34 argued, ordered rested theory. today correctly—and unanimously rejects argument, answering prompted grant certiorari way completely repudiates submission Solicitor General.2 doctrine nor passage since administrative bearing controls outcome best answered historical context arose. 35 position obligated thought unwise so.3 His time. Train City New York, 420 35, 95 839, 43 (1975); (Minn.1973). consequence fundamental disagreement Congress, legislative measures background First, response too generous, made increased percent five percent; denied eligibility elsewhere; discontinued practice forgiving indebtedness. considerably attractive before. 36 case arose, making earlier, farmers, Florida, severe opportunities loans—between higher favorable rate. 37 Throughout period—and thereafter—the detailed procedure "immediately" "such appropriate."4 agreed, actually disseminated good misinformation. Director advised Supervisors, release, July 30, 1973—which relating damage—but omitted reference production loss later. my period—after difficult informed refused. remained 1974.5 Notwithstanding dramatic Register—or anywhere else—until two-thirds expired. complete silence almost unquestionably regulations' command—if were, fact, applicable—that immediately added). publish supplemented 7569-7571. 40 perfectly disagree conclusion. Rather, takes remarkable irrelevant February. severely flawed. 41 accord structure implied replace withdraw pre-existing Instead, "supplements modifies" "Supplementing" "modifying" words wholesale obliteration majority.6 logic, presumably then. Yet flatly states 1832 simply inapplicable period—even significant amount "superseding" place. analysis conflicts obvious If accepts today, enabled defy ignore just refused Given benefit President, conclude otherwise, does, anomalous result. analysis, liberalizing created Bermuda Triangle blatant longstanding mysteriously disappear legal effect. incongruous extensive original favorable, vitiated—or permitted vitiate question. majority's erroneous. 45 satisfied requirements, 1832.82 unequivocally mandatory obligation: argue single constituted duty. rests preparation distribution release. disclose following: "These 57a. "of 93-237" construed authorized.7 Such reflect, "runs deference," ante, 939, adherence "plain language." Young Nutrition Institute, 974, 2360, 959 (1986). followed. short, followed newly predictable. thousands result, although intense commitment repeatedly legislating honing attempt overcome intransigence, sustained went naught.8 IV allows disregard "As conceived Houses, legislation firm sums relatively achieve solution deemed urgent problem. last minute scuttled entire providing seemingly limitless withhold funds allotment obligation." 45-46, 845. advise variant theme repudiated Train. 49 affirm Title part: "(a) [W]here Office Finance name [emergency] based immediately, instruct available. USDA Defense Board Chairman appropriate. "(1) Immediately jurisdiction, [loans]. Also, 553(b)(B) (d)(3), dispensed comment, delay contrary directions, 7570, Regulations, concedes compelling if, previously. event, moot expressly disabled "extend" deadlin[e]" days). loan, argued lacked standing complain inadequate. remand, entered amended final naming representative 46a-47a. STEVENS makes flawed respects. ignores applicable, "immediat[e]" notification himself "National Office;" lag mere few issuance fails qualify "immediate" meaning regulation. footnote, added: "We emphasize invoked, 'expected' invoke, similar confused terms." 1517, 26. "Question Presented" General "Whether equitably enforcing valid establishing filing ground specify credit, rejecting belatedly acknowledges unnecessarily prolonged vacating 1983 remanding consideration possible incongruity considering triggered obligations, moreover, dilatoriness respondents. unexplained reasons, reached trial. Since then, proceedings every step way—by appealing Appeals; asking dispose case; seeking noted inapplicability doctrine. unusual length irrelevant; extent relevant, bears responsibility delay. Separation Powers (testimony Butz). times Regulations following provisions: [of FmHA] EM 1832.13. soon possible. majority concludes contest regulation, detailing administering points out, 941-942, referred (1974), ("Instructions handling designations forthcoming. meantime, reported designation requests submitted forth 1832.3"). Far "confirm[ing]" supports supplement spelled repeating text itself, "though 'provisions' describe." 939. disturbingly cavalier trying help. accurate Without revived, virtually meaningless, certainly "Court judgment," emphasis patent: "FmHA transmit handful renewed "In prescriptions unnecessary determine 'such appropriate' judicially reviewable. note, paucity periods. Especially continual dearth noteworthy where testified 'flabbergasted' "Our record convinces district erroneous pages ultimate insufficient notice." 1519-1520 1983) (footnote omitted).

Classification Label: 3