Patricia Holloway v. Clackamas River Water ( 2018 )


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  •                            NOT FOR PUBLICATION                           FILED
    UNITED STATES COURT OF APPEALS                        JUN 19 2018
    MOLLY C. DWYER, CLERK
    U.S. COURT OF APPEALS
    FOR THE NINTH CIRCUIT
    PATRICIA HOLLOWAY,                              No.    16-35884
    Plaintiff-Appellant,            D.C. No. 3:13-cv-01787-AC
    v.
    MEMORANDUM*
    CLACKAMAS RIVER WATER; LEE E.
    MOORE, Jr.; DEAN MARK PHILLIPS;
    KATHERINE KEHOE; BARBARA
    KEMPER; CINDI LEWIS-WOLFRAM;
    MICHAEL CARDWELL; VANCE
    VOYLES; LARRY SOWA; KENNETH
    HUMBERSTON; HUGH KALANI;
    SPECIAL DISTRICTS ASSOCIATION OF
    OREGON; FRANK STRATTON; JENS
    JENSEN; DOUG ANDERSON; TAMSEN
    LEACHMAN,
    Defendants-Appellees.
    Appeal from the United States District Court
    for the District of Oregon
    Marco A. Hernandez, District Judge, Presiding
    Argued and Submitted June 7, 2018
    Portland, Oregon
    Before: GRABER and M. SMITH, Circuit Judges, and HELLERSTEIN,** District
    *
    This disposition is not appropriate for publication and is not precedent
    except as provided by Ninth Circuit Rule 36-3.
    **
    The Honorable Alvin K. Hellerstein, United States District Judge for
    Judge.
    Plaintiff-Appellant Patricia Holloway appeals the district court’s denial of
    her motion for leave to amend the complaint. We have jurisdiction pursuant to 
    28 U.S.C. § 1291
    , and we affirm in part, reverse in part, and remand.
    1.    To pursue her civil RICO claims, Holloway must allege civil RICO
    standing. Sedima, S.P.R.L. v. Imrex Co., 
    473 U.S. 479
    , 496 (1985). Because her
    RICO claims are based on fraud, these allegations must meet Federal Rule of Civil
    Procedure 9(b)’s heightened pleading standard. She failed to do so. Each of her
    alleged injuries either does not constitute a “harm to a specific business or property
    interest” or lacks the requisite connection to alleged racketeering activity. Newcal
    Indus., Inc. v. Ikon Office Sol., 
    513 F.3d 1038
    , 1055 (9th Cir. 2008) (quoting Diaz
    v. Gates, 
    420 F.3d 897
    , 900 (9th Cir. 2005) (en banc) (per curiam)). The district
    court properly denied leave to amend these claims.
    2.    As to Holloway’s First Amendment retaliation claims, most of Defendants-
    Appellees’ alleged conduct is not actionable. Conduct occurring before October 7,
    2011, is outside the statute of limitations. See 
    Or. Rev. Stat. § 12.110
    (1); Whidbee
    v. Pierce County, 
    857 F.3d 1019
    , 1022 (9th Cir. 2017). Most of Defendants-
    Appellees’ actions within the statute of limitations either (1) are protected under
    the Noerr-Pennington doctrine and do not fall within the narrow sham litigation
    the Southern District of New York, sitting by designation.
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    exception, see Prof’l Real Estate Inv’rs, Inc. v. Columbia Pictures Indus., Inc., 
    508 U.S. 49
    , 60–61 (1993); or (2) are not adverse actions because they did not deprive
    Holloway of the authority she enjoyed by virtue of her elected office, Blair v.
    Bethel Sch. Dist., 
    608 F.3d 540
    , 545 n.4 (9th Cir. 2010).
    Holloway does allege that the Clackamas River Water Board (Board) voted
    to exclude her permanently from executive sessions on October 13, 2011, and that
    the Board actually excluded her from an executive session on December 8, 2011.
    These allegations are adverse actions because they deprived Holloway of the
    “rights and prerogatives” of her elected office. 
    Id. at 544
    . While no final action
    may be taken at executive sessions, the Board can deliberate on important matters
    and review documents at executive sessions, which can inform decision-making.
    
    Or. Rev. Stat. § 192.660
    (2), (6). Holloway’s alleged exclusion from executive
    sessions deprived her of those opportunities. Further, an executive session is a
    type of meeting, which is “the convening of a governing body . . . for which a
    quorum is required in order to make a decision or to deliberate toward a decision
    on any matter.” 
    Id.
     § 192.610(5). An executive session must therefore be open to
    all members of that governing body, regardless of whether all Board members
    actually attend. Therefore, we reverse the district court’s denial of Holloway’s
    motion for leave to amend insofar as she sought to plead a First Amendment
    retaliation claim based on her exclusion from executive sessions. We affirm the
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    district court’s denial of Holloway’s motion for leave to amend her complaint with
    respect to all other First Amendment retaliation claims. On remand, this case is
    limited to the First Amendment retaliation claim based on Holloway’s exclusion
    from executive sessions.
    3.    Reassignment is proper only in “rare and extraordinary circumstances.”
    Krechman v. County of Riverside, 
    723 F.3d 1104
    , 1112 (9th Cir. 2013) (quoting
    United Nat’l Ins. Co. v. R&D Latex Corp., 
    242 F.3d 1102
    , 1118 (9th Cir. 2001)).
    There is no evidence that the district judge or the magistrate judge was unfair, 
    id.,
    or exhibited personal bias, or that reassignment is necessary in order to maintain
    the appearance of justice, see Nat’l Council of La Raza v. Cegavske, 
    800 F.3d 1032
    , 1045 (9th Cir. 2015). We therefore decline to reassign the case on remand.
    Each party shall bear its own costs on appeal.
    AFFIRMED IN PART, REVERSED IN PART, REMANDED.
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