Alpine Pcs, Inc. v. United States , 878 F.3d 1086 ( 2018 )


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  •   United States Court of Appeals
    for the Federal Circuit
    ______________________
    ALPINE PCS, INC.,
    Plaintiff-Appellant
    v.
    UNITED STATES,
    Defendant-Appellee
    ______________________
    2017-1029
    ______________________
    Appeal from the United States Court of Federal
    Claims in No. 1:16-cv-00001-CFL, Judge Charles F.
    Lettow.
    ______________________
    Decided: January 2, 2018
    ______________________
    NORMAN PATTIS, The Pattis Law Firm, LLC, Bethany,
    CT, argued for plaintiff-appellant.
    PATRICIA M. MCCARTHY, Commercial Litigation
    Branch, Civil Division, United States Department of
    Justice, Washington, DC, argued for defendant-appellee.
    Also represented by CHAD A. READLER, ROBERT E.
    KIRSCHMAN, JR.
    ______________________
    Before MOORE, REYNA, and TARANTO, Circuit Judges.
    2                         ALPINE PCS, INC.   v. UNITED STATES
    TARANTO, Circuit Judge.
    In 1996, the Federal Communications Commission
    (FCC) awarded spectrum licenses to Alpine PCS, Inc., for
    use in the provision of wireless telecommunications
    services. Alpine’s failure to make required payments for
    those licenses in 2002 triggered automatic cancellation of
    the licenses under FCC regulations. In addition to taking
    other steps in response, Alpine sought relief from the FCC
    and, on review under the Communications Act, 
    47 U.S.C. § 402
    (b)(5), from the United States Court of Appeals for
    the District of Columbia Circuit. Eventually, in 2016,
    Alpine filed this action against the United States under
    the Tucker Act, 
    28 U.S.C. § 1491
    (a)(1), in the United
    States Court of Federal Claims. Alpine alleged that the
    FCC breached contractual obligations in canceling the
    licenses and that the cancellation was a taking for which
    Alpine was entitled to just compensation under the Tak-
    ings Clause of the Fifth Amendment to the U.S. Constitu-
    tion. The Court of Federal Claims dismissed both of
    Alpine’s claims for lack of jurisdiction under the Tucker
    Act. We affirm, concluding that the Communications Act
    provides a comprehensive statutory scheme through
    which Alpine could raise its contract claims and could
    challenge the alleged taking and receive a remedy that
    could have provided just compensation in this case, fore-
    closing jurisdiction under the Tucker Act.
    I
    A
    In May 1996, Alpine submitted bids in an FCC spec-
    trum-license auction and won two 10-year “personal
    communication services” licenses. Alpine bid approxi-
    mately $8.9 million for one license and approximately
    $17.3 million for the other.
    As a small business, Alpine was eligible to pay its bid
    amounts in installments over the term of the licenses.
    ALPINE PCS, INC.   v. UNITED STATES                       3
    See 
    47 C.F.R. § 1.2110
    (e) (1995); 
    59 Fed. Reg. 44,272
    ,
    44,298–99 (Aug. 26, 1994), amended by 
    60 Fed. Reg. 52,865
    , 52,865 (Oct. 11, 1995). In September 1996, Alpine
    issued promissory notes to the FCC, providing for quar-
    terly payments from December 1996 through September
    2006. Alpine also executed security agreements designat-
    ing the licenses as collateral to secure the payment obli-
    gation.
    The notes contain two provisions highlighted by the
    parties. One describes the process of default:
    A default under this Note (“Event of Default”)
    shall occur upon . . . non-payment by [Alpine] of
    any Principal or Interest on the due date as speci-
    fied hereinabove if [Alpine] remains delinquent
    for more than 90 days and
    (1) [Alpine] has not submitted a request, in writ-
    ing, for a grace period or extension of pay-
    ments, if any such grace period or extension of
    payments is provided for in the then-
    applicable orders and regulations of the
    Commission; or
    (2) [Alpine] has submitted a request, in writing,
    for a grace period or extension of payments, if
    any such grace period or extension of pay-
    ments is provided for in the then-applicable
    orders and regulations of the Commission, and
    following the expiration of the grant of such
    grace period or extension or upon denial of
    such a request for a grace period or extension,
    [Alpine] has not resumed payments . . . in ac-
    cordance with the terms of this Note . . . .
    J.A. 21–22; J.A. 29–30. A second provision states that the
    “Note[s] shall be governed by and construed in accordance
    with the Communications Act of 1934, as amended, the
    then-applicable orders and regulations of the Commis-
    4                           ALPINE PCS, INC.   v. UNITED STATES
    sion, and federal law . . . , and nothing in th[ese] Note[s]
    shall be deemed to release [Alpine] from compliance
    therewith.” J.A. 25; J.A. 33.
    The security agreements incorporate the notes’ provi-
    sions regarding the process of default and identify auto-
    matic cancellation of the licenses as one of the FCC’s
    remedies upon default. The security agreements also
    state that they “shall be governed by and construed in
    accordance with [the] Communications Act of 1934, as
    amended, then-applicable Commission orders and regula-
    tions, as amended, and federal law.” J.A. 42; J.A. 50.
    The regulations in effect in September 1996 provided
    that a licensee “making installment payments . . . shall be
    in default” if a payment “is more than ninety (90) days
    delinquent,” but could “request that the [FCC] permit a
    three to six month grace period, during which no install-
    ment payments need be made.”                   
    47 C.F.R. § 1.2110
    (e)(4)(i)–(ii) (1995). The FCC could “consider[]
    whether to grant a request for a grace period” or “ap-
    prove[] a restructured payment schedule.”               
    Id.
    § 1.2110(e)(4)(ii). If the request was denied or the grace
    period expired without payment, the licenses would
    automatically cancel and the licensee would be subject to
    debt collection. Id. § 1.2110(e)(4)(iii).
    The FCC then amended the regulations, the amend-
    ments taking effect in 1998. See In re Amendment of Part
    1 of the Commission’s Rules – Competitive Bidding Proce-
    dures, 13 FCC Rcd. 374 (F.C.C. 1997); Celtronix Teleme-
    try, Inc. v. FCC, 
    272 F.3d 585
    , 586 (D.C. Cir. 2001). The
    1998 regulations, instead of requiring a request for a
    grace period upon default, provided for a 90-day non-
    delinquency period and a subsequent 90-day grace peri-
    od—effectively, two 3-month grace periods—as a matter of
    course. 
    47 C.F.R. § 1.2110
    (f)(4)(ii) (1998) (“If any licensee
    fails to make the required payment at the close of the 90-
    day period set forth in paragraph (i) of this section, the
    ALPINE PCS, INC.   v. UNITED STATES                        5
    licensee will automatically be provided with a subsequent
    90-day grace period,” and “[l]icensees shall not be re-
    quired to submit any form of request in order to take
    advantage of the initial 90-day non-delinquency period
    and subsequent automatic 90-day grace period.”); see also
    
    63 Fed. Reg. 2,315
    , 2,346 (Jan. 15, 1998), corrected by 
    63 Fed. Reg. 12,658
    , 12,659 (Mar. 16, 1998). But if the
    licensee did not pay the installment, plus late fees, after
    the second grace period, the licensee would be declared in
    default, have its licenses “automatically cancel[ed],” and
    be subject to debt collection. 
    47 C.F.R. § 1.2110
    (f)(4)(iii)–
    (iv) (1998).
    In January 2002, Alpine failed to make its quarterly
    payment. Under the regulations in effect at that time,
    Alpine received two 3-month grace periods as a matter of
    course, and its new payment deadline was July 31, 2002.
    See 
    47 C.F.R. § 1.2110
    (g)(4)(i)–(ii) (2000). 1 Unless Alpine
    paid the full amount, plus late fees, by that date, it would
    be declared in default, have its licenses “automatically
    cancel[ed],” and be subject to debt collection.          
    Id.
    § 1.2110(g)(4)(iii)–(iv).
    On July 24, 2002, a week before the deadline, Alpine
    asked the FCC to restructure the payment plan, invoking
    
    31 C.F.R. § 902.2
    . The FCC acknowledged receipt of that
    request on July 30, 2002. On July 31, 2002 (the payment
    deadline), Alpine asked the FCC to waive the automatic
    cancellation provision of the regulations. In re Alpine
    PCS, Inc., 22 FCC Rcd. 1492, 1495 (W.T.B. Jan. 29, 2007).
    In October 2002, a few months after the expiration of
    the grace periods, the FCC changed its public database to
    1  The relevant provisions of the regulations in effect
    in 2002 were substantially the same as those in effect in
    1998, although appearing in slightly different form and
    moved from subsection (f) to subsection (g).
    6                          ALPINE PCS, INC.   v. UNITED STATES
    show that the licenses had reverted to the FCC. Accord-
    ing to Alpine’s allegations in this case, however, the FCC
    assured Alpine that the database change was a clerical
    error, and the FCC continued to discuss possible payment
    restructuring with Alpine.
    The FCC ultimately denied both the payment-
    restructuring and waiver-of-cancellation requests. On
    January 16, 2004, the FCC told Alpine that Alpine was in
    default and “advised Alpine that the Restructuring Re-
    quest was being returned to Alpine ‘without action.’” J.A.
    14; see also In re Alpine PCS, Inc., 25 FCC Rcd. 469, 474
    (F.C.C. Jan. 5, 2010). Three years later, on January 29,
    2007, the FCC’s Wireless Telecommunications Bureau
    issued an order denying Alpine’s waiver and restructuring
    requests. In re Alpine, 22 FCC Rcd. at 1503 & n.2. Alpine
    timely filed a petition for reconsideration of the Bureau’s
    decision, which the FCC denied on January 5, 2010. In re
    Alpine, 25 FCC Rcd. at 509 (citing 
    47 U.S.C. § 155
    (c)(5);
    
    47 C.F.R. § 1.106
    ). Alpine appealed that decision to the
    D.C. Circuit under 
    47 U.S.C. § 402
    (b). The D.C. Circuit
    summarily affirmed the FCC’s decision. Alpine PCS, Inc.
    v. FCC, 404 F. App’x 508 (D.C. Cir. 2010).
    B
    Several other events and proceedings are relevant
    here. On April 4, 2008, while Alpine’s petition for recon-
    sideration regarding waiver and restructuring was pend-
    ing before the FCC, the FCC announced a new auction of
    the licenses, to be held on August 13, 2008. In re Alpine
    PCS, Inc., 23 FCC Rcd. 10,485, 10,486 & n.1 (F.C.C. July
    7, 2008). On April 18, 2008, Alpine asked the FCC to stay
    the auction until the FCC ruled on the reconsideration
    petition, but the FCC refused. 
    Id. at 10,486, 10
    ,488–92.
    In August 2008, Alpine filed for bankruptcy and
    moved for an automatic stay of the FCC auction. Debtor’s
    Emergency Mot. to Enforce Automatic Stay, In re Alpine
    ALPINE PCS, INC.   v. UNITED STATES                        7
    PCS, Inc., No. 08-00543 (Bankr. D.D.C. Aug. 18, 2008).
    The bankruptcy court denied the stay motion, determin-
    ing that the licenses were not part of the bankruptcy
    estate. In re Alpine PCS, Inc., No. 08-00543, 
    2008 WL 5076983
    , at *4 (Bankr. D.D.C. Oct. 10, 2008), aff’d, 404 F.
    App’x 504 (D.C. Cir. 2010). The FCC re-auctioned the
    licenses in 2008.
    In January 2013, Alpine sued the FCC in the U.S.
    District Court for the District of Columbia, alleging
    breach of contract, unjust enrichment, fraud in the in-
    ducement, and breach of fiduciary duty, and seeking
    declaratory judgments of no default and no debt. Compl.,
    Alpine PCS, Inc. v. FCC, No. 1:13-cv-000006, at 8–11
    (D.D.C. Jan. 3, 2013). Alpine argued that the case was
    properly before that court because the promissory notes
    include a forum-selection clause stating that “any legal
    action or proceeding relating to th[e] note[s], the security
    agreement[s], or other document[s] evidencing or securing
    the debt transaction evidenced hereby may only be
    brought in the United States District Court for the Dis-
    trict of Columbia.” J.A. 24; J.A. 32. The district court
    rejected Alpine’s argument and dismissed the claim for
    lack of jurisdiction, concluding, among other things, that
    the contract claims were essentially an attack on an FCC
    licensing decision, review of which is committed by stat-
    ute, 
    47 U.S.C. § 402
    (b), to the exclusive jurisdiction of the
    D.C. Circuit. The D.C. Circuit affirmed the district court’s
    decision. Alpine PCS, Inc. v. FCC, 563 F. App’x 788, 788–
    89 (D.C. Cir. 2014).
    C
    On January 4, 2016, Alpine brought the present ac-
    tion against the United States in the Court of Federal
    Claims. Alpine alleged breach of oral and written con-
    tract, breach of contract implied in fact, and breach of the
    duty of good faith and fair dealing (the contract claims).
    According to Alpine, the FCC breached its contractual
    8                          ALPINE PCS, INC.   v. UNITED STATES
    obligations under the notes and security agreements and
    breached its duty of good faith and fair dealing by auto-
    matically canceling Alpine’s licenses after the two grace
    periods, as provided in the amended regulations (de-
    scribed above). Alpine also asserted a constitutional
    claim under the Fifth Amendment (the takings claim)
    based on the FCC’s alleged regulatory taking of property
    in canceling the licenses under the amended regulations,
    for which Alpine was seeking just compensation. 2
    The government moved to dismiss the case for lack of
    jurisdiction: it argued that the claims, filed in 2016, were
    untimely under the six-year statute of limitations, 
    28 U.S.C. § 2501
    , which is a jurisdictional provision, see John
    R. Sand & Gravel Co. v. United States, 
    552 U.S. 130
    (2008). The court dismissed for lack of jurisdiction.
    Alpine PCS, Inc. v. United States, 
    128 Fed. Cl. 303
     (2016).
    The court dismissed the contract claims on the ground
    that Tucker Act coverage of those claims was displaced
    (“preempted”) by the Communications Act, which directs
    an aggrieved “holder of any . . . station license which has
    been modified or revoked by the Commission” to the D.C.
    Circuit for judicial relief. 
    Id. at 308
     (quoting 
    47 U.S.C. § 402
    (b)(5)). The court determined that the takings claim
    was untimely, holding that claim to have accrued no later
    than 2008, when the licenses were re-auctioned, more
    than six years before 2016. 
    Id. at 309
    .
    This appeal followed. We have jurisdiction pursuant
    to 
    28 U.S.C. § 1295
    (a)(3).
    2   Alpine’s complaint also alleged fraud in the in-
    ducement, which the Court of Federal Claims dismissed
    as a claim sounding in tort and outside its jurisdiction.
    Alpine does not challenge that ruling on appeal.
    ALPINE PCS, INC.   v. UNITED STATES                       9
    II
    A
    We review de novo the court’s dismissal of claims for
    lack of subject-matter jurisdiction under the Tucker Act.
    Folden v. United States, 
    379 F.3d 1344
    , 1354 (Fed. Cir.
    2004).
    As relevant here, the Tucker Act waives sovereign
    immunity for, and provides for Court of Federal Claims
    jurisdiction over, monetary claims against the United
    States “founded [] upon . . . the Constitution . . . or upon
    any express or implied contract with the United States.”
    
    28 U.S.C. § 1491
    (a)(1). On its face, therefore, the Tucker
    Act encompasses Alpine’s contract claims and its takings
    claim.
    The Supreme Court, however, has described the
    Tucker Act as serving a “gap-filling role” by allowing “for
    an action against the United States for the breach of
    monetary obligations not otherwise judicially enforcea-
    ble.” United States v. Bormes, 
    568 U.S. 6
    , 12–13 (2012)
    (footnote omitted). In accordance with that characteriza-
    tion, the Court has held that the Tucker Act does not
    apply in various circumstances in which Congress has
    provided “a precisely drawn, detailed statute” that “con-
    tains its own judicial remedies.” 
    Id. at 12
     (internal quota-
    tion marks omitted).        Where it has found those
    circumstances, the Court has held that the “specific
    remedial scheme establishes the exclusive framework for
    the liability Congress created under the statute” and
    “displace[s]” the Tucker Act. 
    Id.
    The Court has found such circumstances in a number
    of cases. See, e.g., Horne v. Dep’t of Agriculture, 
    569 U.S. 513
    , 526–28 (2013) (holding that Agricultural Marketing
    Agreement Act of 1937 displaces Tucker Act); United
    States v. Fausto, 
    484 U.S. 439
    , 454–55 (1988) (holding
    that the Civil Service Reform Act, which “established a
    10                         ALPINE PCS, INC.   v. UNITED STATES
    comprehensive system for reviewing personnel action
    taken against federal employees” and which “deliber-
    ate[ly] exclu[ded] employees in respondent’s service
    category from the provisions establishing administrative
    and judicial review for personnel action of the sort at
    issue here,” displaces Tucker Act jurisdiction over claims
    based on such personnel actions under the Back Pay Act);
    United States v. Erika, Inc., 
    456 U.S. 201
    , 208 (1982)
    (holding that Tucker Act jurisdiction over certain claims
    involving Medicare Part B payment decisions was dis-
    placed by “precisely drawn provisions” of the Medicare
    statute); Brown v. Gen. Servs. Admin., 
    425 U.S. 820
    , 834–
    35 & n.10 (1976) (“precisely drawn, detailed statute” of
    Section 717 of the Civil Rights Act of 1964 provides the
    exclusive judicial remedy for claims of racial discrimina-
    tion against the government, withdrawing jurisdiction
    under Tucker Act).
    This court has drawn the same conclusion in several
    cases, recognizing that “[w]hen such a ‘specific and com-
    prehensive scheme for administrative and judicial review’
    is provided by Congress, the Court of Federal Claims’
    Tucker Act jurisdiction over the subject matter covered by
    the scheme is preempted.” Vereda, Ltda. v. United States,
    
    271 F.3d 1367
    , 1375 (Fed. Cir. 2001) (quoting St. Vincent’s
    Med. Ctr. v. United States, 
    32 F.3d 548
    , 549–50 (Fed. Cir.
    1994)); see, e.g., Tex. Peanut Farmers v. United States, 
    409 F.3d 1370
    , 1373–74 (Fed. Cir. 2005) (district courts’
    exclusive jurisdiction over claims against Federal Crop
    Insurance Corp. in 
    7 U.S.C. §§ 1506
    (d), 1508(j), withdrew
    Tucker Act jurisdiction over claims for breach of crop
    insurance contract); Telecare Corp. v. Leavitt, 
    409 F.3d 1345
    , 1349 (Fed. Cir. 2005) (noting precedent that, as to
    certain claims arising under the Medicare Act, Tucker Act
    jurisdiction is displaced by the comprehensive “specialized
    administrative and judicial review process” for those
    claims, but holding that the particular claims at issue, for
    ALPINE PCS, INC.   v. UNITED STATES                       11
    which that process was unavailable, did not arise under
    the Medicare Act and hence remained within Tucker Act).
    B
    The Court of Federal Claims concluded that Tucker
    Act jurisdiction over Alpine’s contract claims is displaced
    by the comprehensive scheme for review provided in the
    Communications Act of 1934. We agree.
    “To determine whether a statutory scheme displaces
    Tucker Act jurisdiction, a court must ‘examin[e] the
    purpose of the [statute], the entirety of its text, and the
    structure of review that it establishes.’” Horne, 569 U.S.
    at 527 (quoting Fausto, 
    484 U.S. at 444
    ). In Horne, the
    Court determined that the Agricultural Marketing
    Agreement Act of 1937 provided mechanisms by which
    handlers could file a petition directly “challeng[ing] the
    content, applicability, and enforcement of marketing
    orders . . . , including constitutional challenges, in admin-
    istrative proceedings.” 
    Id.
     (citing 7 U.S.C. § 608c(15)(A)–
    (B)). After receiving an administrative ruling by the
    Secretary of Agriculture, the handler aggrieved by the
    order could request review by a district court, sitting in
    equity. Id. (citing 7 U.S.C. § 608c(15)(B)). The Supreme
    Court concluded that those statutory provisions, 7 U.S.C.
    § 608c(15)(A)–(B), “afford handlers a ready avenue to
    bring takings claim[s] against the [United States De-
    partment of Agriculture]” and displace Tucker Act juris-
    diction. Id. at 527–28.
    In Folden, we examined in detail the Communication
    Act’s “comprehensive statutory and regulatory regime
    governing orders of the [FCC],” including the remedial
    scheme of administrative review under 
    47 U.S.C. § 155
    and judicial enforcement and review under §§ 401–02.
    
    379 F.3d at
    1355–58. We held that the comprehensive
    scheme displaces Tucker Act jurisdiction for, inter alia,
    12                         ALPINE PCS, INC.   v. UNITED STATES
    FCC decisions and orders falling within 
    47 U.S.C. § 402
    (b). 
    Id. at 1358
    .
    Here, the key question is whether Alpine’s contract
    claims fall within § 402(b). That subsection provides for
    appeals to the D.C. Circuit of FCC “decisions and orders”
    “[b]y the holder of any . . . station license which has been
    . . . revoked by the [FCC].” § 402(b)(5). Alpine’s contract
    claims, which challenge the validity of the FCC’s cancella-
    tion and revocation of its station licenses, fall squarely
    within that provision.
    The D.C. Circuit came to the same conclusion in 2014.
    That court affirmed a district court order dismissing for
    lack of jurisdiction the same contract claims we now have
    before us. The D.C. Circuit explained: “Although camou-
    flaged as a contractual dispute, Alpine’s suit really chal-
    lenges the FCC’s decision to ‘revoke’ the licenses for non-
    payment and thus falls squarely within subsection
    402(b)’s bull’s-eye.” Alpine, 563 F. App’x at 789.
    Alpine contends that it is not challenging the revoca-
    tion of its licenses, but rather “the breach of a contract
    that resulted in forfeiture of [the] licenses.” Alpine Reply
    Br. 9. That distinction is an empty one. Subsection
    402(b)(5) is not limited to review of the act of revocation
    but rather allows for judicial review of the FCC’s underly-
    ing revocation decision. In particular, § 402(b)(5) provid-
    ed Alpine the opportunity to argue that the FCC’s
    decision was contrary to the terms of the contract. See
    Biltmore Forest Broad. FM, Inc. v. United States, 
    555 F.3d 1375
    , 1382 (Fed. Cir. 2009) (affirming dismissal of a
    contract claim brought in the Court of Federal Claims
    because “the District of Columbia Circuit not only has
    exclusive jurisdiction to review the grant or denial of FCC
    licenses [under § 402(b)], but also has exclusive jurisdic-
    tion to adjudicate the underlying issue of FCC rules
    compliance necessary to the licensing decision”—the
    “exact issue [decided] in Folden”).
    ALPINE PCS, INC.   v. UNITED STATES                      13
    Alpine also argues that its contract claims are not
    within the scope of § 402(b) because the D.C. Circuit is an
    appellate forum “ill-equipped” to handle matters that
    require “discovery, trial, and other relevant procedures.”
    Alpine Br. 19–20. That contention is unpersuasive. In
    addition to its powers to order supplemental briefing on
    any relevant issue, that court has the authority to remand
    the case to the FCC for any additional record development
    that is necessary. See F.C.C. v. ITT World Commc’ns,
    Inc., 
    466 U.S. 463
    , 469 (1984) (appellate court may “fairly
    [] evaluate” even a claim of ultra vires agency action on
    direct review under the Administrative Procedure Act
    because, if the court “finds that the administrative record
    is inadequate, it may remand to the agency” for further
    proceedings); Harrison v. PPG Indus., Inc., 
    446 U.S. 578
    ,
    593–94 (1980) (direct review of agency action by court of
    appeals under Administrative Procedure Act, even for
    agency action without formal adjudication, is not irra-
    tional because “an appellate court may always remand a
    case to the agency for further consideration”).
    Alpine itself, between 2002 and 2010, took advantage
    of the Communications Act’s administrative and judicial
    remedies and raised its contract claims before the FCC
    and the D.C. Circuit. When the applicable regulations
    threatened cancellation of the licenses in the summer of
    2002, Alpine filed administrative requests for waiver of
    those regulations and restructuring of the payment plan.
    After the Wireless Communications Bureau denied those
    requests, Alpine filed a petition for reconsideration by the
    FCC, arguing, among other things, that the FCC
    “breached fiduciary duties owed to Alpine,” including “a
    duty of candor and good faith.” In re Alpine, 25 FCC Rcd.
    at 506–07. The FCC denied the petition, and Alpine
    proceeded to the next step in the remedial scheme—
    review by the D.C. Circuit. There, Alpine argued that the
    FCC breached its contractual obligations under the notes
    14                         ALPINE PCS, INC.   v. UNITED STATES
    and that “the FCC violated the implied covenant of good
    faith [and fair dealing].” Final Br. of Appellant Alpine
    PCS, Inc., Alpine PCS, Inc. v. FCC, No. 10-1020, 
    2010 WL 3253656
    , at *32, *35 (D.C. Cir. June 3, 2010). Alpine
    asserted that the D.C. Circuit had “jurisdiction to hear
    Alpine’s appeal pursuant to 
    28 U.S.C. § 2342
    (1), and[] 
    47 U.S.C. §§ 402
    (a) and 402(b)(5).” 
    Id. at *1
    . The D.C.
    Circuit summarily affirmed the FCC’s decision. Alpine,
    404 F. App’x 508.
    We hold that Alpine’s contract claims fall within the
    exclusive jurisdiction of the D.C. Circuit under 
    47 U.S.C. § 402
    (b)(5) and therefore fall outside the Tucker Act
    jurisdiction of the Court of Federal Claims.
    C
    We also hold that the same conclusion applies to Al-
    pine’s takings claim: Tucker Act jurisdiction over the
    claim is displaced by the Communications Act. The Court
    of Federal Claims did not dismiss the takings claim on
    this basis, and the government does not argue for lack of
    jurisdiction on this particular ground. But we are inde-
    pendently obliged to consider defects in the trial court’s
    jurisdiction, even when not raised by the parties. See,
    e.g., Gonzalez v. Thaler, 
    565 U.S. 134
    , 141 (2012) (“When
    a requirement goes to subject-matter jurisdiction, courts
    are obligated to consider sua sponte issues that the par-
    ties have disclaimed or have not presented.”); United
    States v. Cotton, 
    535 U.S. 625
    , 630 (2002); Mitchell v.
    Maurer, 
    293 U.S. 237
    , 244 (1934). And the Supreme
    Court has confirmed that federal courts have discretion to
    choose which among several possible jurisdictional (or
    even certain non-jurisdictional threshold) issues to decide.
    See Ruhrgas AG v. Marathon Oil Co., 
    526 U.S. 574
    , 584–
    85 (1999); see also, e.g., Law Offices of David Efron v.
    Matthews & Fullmer Law Firm, 
    782 F.3d 46
    , 51 (1st Cir.
    2015). In this case, reaching the displacement issue is
    particularly justified for at least two reasons taken to-
    ALPINE PCS, INC.   v. UNITED STATES                       15
    gether: first, the displacement issue is more straightfor-
    ward than the timeliness issue, especially given that we
    have already analyzed the issue for the contract claims;
    second, the government’s brief argument in support of the
    timeliness ground relies centrally on a decision, Soriano v.
    United States, 
    352 U.S. 270
     (1957), that itself leads to the
    inquiry into whether another statutory regime displaces
    the Tucker Act. 
    Id.
     at 274–75 (holding that accrual of
    takings claim was not postponed by the availability of an
    Army Claims Service remedy where Congress “ha[d] not
    so restricted the jurisdiction of the Court of Claims”).
    Alpine’s takings theory is that the licenses are proper-
    ty for purposes of the Takings Clause and that the FCC’s
    cancellation of the licenses resulted, at some point, in a
    taking for which Alpine was due just compensation. In
    this court, the judgment on appeal is a dismissal for lack
    of jurisdiction, not on the merits. And the government, in
    its brief as appellee, has not contested Alpine’s premise,
    which the Court of Federal Claims endorsed, that the
    licenses are property protected by the Takings Clause.
    Alpine PCS, 128 Fed. Cl. at 308–09. We take the premise
    as a given (without deciding whether it is correct) for
    purposes of assessing the jurisdictional issue.
    What the parties have contested in their briefs is
    when any taking at issue occurred and gave rise to a
    claim for just compensation under the Tucker Act. The
    government contends that the claim accrued before Janu-
    ary 4, 2010—making the complaint in this case, filed on
    January 4, 2016, out-of-time under the six-year statute of
    limitations. In particular, the government contends that
    the alleged taking occurred at one or more of the following
    times: when the FCC canceled the licenses in 2002; when
    the FCC informed Alpine that Alpine was in default and
    that no action would be taken on the restructuring re-
    quest in 2004; when the FCC Wireless Telecommunica-
    tions Bureau denied Alpine’s waiver and restructuring
    16                         ALPINE PCS, INC.   v. UNITED STATES
    requests in 2007; or when the FCC re-auctioned the
    licenses in 2008. The Court of Federal Claims agreed that
    the taking, if there was one, occurred no later than 2008.
    Alpine PCS, 128 Fed. Cl. at 309.
    Alpine, on the other hand, contends that the alleged
    taking did not occur, and the claim did not accrue, until
    January 5, 2010, when the FCC reached a final decision
    not to waive the automatic cancellation provision of the
    amended regulations. Alpine relies on Supreme Court
    decisions that have articulated two “ripeness” require-
    ments applicable to certain regulatory takings claims
    (against state or local government entities): a sufficiently
    definitive decision about the injury to the complainant’s
    property from the government entity alleged to have
    committed the taking; and a sufficiently definitive denial
    of just compensation for such a taking. See, e.g., Palazzo-
    lo v. Rhode Island, 
    533 U.S. 606
    , 618–26 (2001); Suitum v.
    Tahoe Reg’l Planning Agency, 
    520 U.S. 725
    , 733–34
    (1997); Williamson Cty. Reg’l Planning Comm’n v. Hamil-
    ton Bank of Johnson City, 
    473 U.S. 172
    , 186, 194 (1985).
    The Court has also discussed the Williamson County-
    based ripeness requirements in Horne, 569 U.S. at 525–
    26, a case involving the federal government. The parties
    here dispute the scope of those decisions and whether and
    how they apply in this case to identifying the accrual date
    of a claim for Tucker Act compensation, notwithstanding
    the availability of relief from the FCC and the FCC’s final
    denial of such relief on January 5, 2010.
    The government relies for its pre-2010-accrual argu-
    ment on the Supreme Court’s decision in Soriano—which
    the cited Williamson County line of cases does not discuss.
    The Court in Soriano held that a Tucker Act claim for just
    compensation accrued at the time of a war-time requisi-
    tion of material from the plaintiff (by Philippine Army
    units assertedly acting under the authority of the U.S.
    Army), whether or not the plaintiff had yet sought com-
    ALPINE PCS, INC.   v. UNITED STATES                     17
    pensation from another government entity, the Army
    Claims Service. 
    352 U.S. at
    274–75. The Court stated as
    its ultimately decisive rationale that Congress “has not so
    restricted the jurisdiction of the Court of Claims” to hear
    a just-compensation claim for a completed taking based
    on the availability of a potential other avenue of relief.
    
    Id.
    Soriano thus suggests that, even to decide the timeli-
    ness issue in the way the government has argued it, we
    would have to examine whether the Communications Act
    remedy displaces Tucker Act jurisdiction for the govern-
    mental action challenged as a taking here. In any event,
    an examination of that question leads to a conclusion of
    no jurisdiction in this case without routing that conclu-
    sion through a determination regarding timeliness. Just
    as we concluded that the Communications Act displaces
    Tucker Act jurisdiction over Alpine’s contract claims, we
    conclude that, as relevant to Alpine’s quest for relief
    under the Takings Clause, the Communications Act
    provides “a ready avenue to bring [a] takings claim” and
    “withdraws Tucker Act jurisdiction.” Horne, 569 U.S. at
    527–28. Finding such displacement of Tucker Act juris-
    diction, we need not further explore the timeliness issue.
    There is no disagreement between the parties about
    the proposition that the FCC had the power to grant
    Alpine adequate relief, by eliminating the taking, provid-
    ing compensation, or some combination. Thus, Alpine
    insists that the FCC could have done the following:
    forgiven any amounts still owing on the licenses,
    concluded that Alpine was entitled to a refund of
    some or all the amounts it had already paid, pro-
    vided equivalent spectrum or other compensation
    to the holder of the spectrum [after re-auction]
    and awarded the [original] spectrum to Alpine,
    awarded Alpine licenses of equivalent value, pro-
    vided Alpine with a voucher representing the
    18                          ALPINE PCS, INC.   v. UNITED STATES
    amount to which Alpine was entitled and permit-
    ting the value of the voucher to be used or as-
    signed to third parties in future spectrum
    auctions to acquire alternative spectrum, or taken
    any number of other remedial steps had it con-
    cluded that the [Wireless Telecommunications]
    Bureau decision was erroneous.
    Alpine Br. 24. The government, for its part, has not
    denied that the FCC could have provided Alpine adequate
    relief. 3 Significantly, compensation in a form other than
    monetary damages can be constitutionally adequate. See
    Reg’l Rail Reorg. Act Cases, 
    419 U.S. 102
    , 150–51 (1984)
    (“No decision of this Court holds that compensation other
    than money is an inadequate form of compensation under
    eminent domain statutes.”). The displacement question
    before us therefore is limited to a situation in which the
    parties do not dispute the adequacy of the non-Tucker Act
    remedial regime both to adjudicate the takings claim and,
    if a taking is found, to provide the constitutionally re-
    quired relief (by curing the taking, providing just compen-
    sation, or some combination).
    The Communications Act, including 
    47 U.S.C. § 402
    (b), readily supports the conclusion that, as relevant
    to Alpine’s grievance, there is a comprehensive statutory
    scheme through which Alpine could present, and is di-
    rected to present, its takings claim, to the exclusion of the
    Tucker Act under the Horne analysis. As for relief at the
    3   See also Oral Argument at 28:40–29:00,
    http://oralarguments.cafc.uscourts.gov/default.aspx?fl=20
    17-1029.mp3 (during oral argument government counsel
    stated, regarding Alpine’s list of compensation options,
    that, “Yes, then that would be the case. . . . I cannot say
    that there’s nothing that the FCC could have done to
    provide them any sort of remedy.”).
    ALPINE PCS, INC.   v. UNITED STATES                      19
    agency level, there was no procedural impediment to
    Alpine’s presenting a takings claim to the FCC. The FCC
    did not suggest that it lacked the authority to review the
    license cancellation and take steps to provide compensa-
    tion. See generally In re Alpine, 25 FCC Rcd. 469 (FCC
    review of Alpine’s requests to waive the automatic cancel-
    lation rule and to restructure the payment plan); see also
    In re Alpine, 22 FCC Rcd. 1492 (Wireless Telecommunica-
    tions Bureau review of Alpine’s requests). Nor would
    Alpine’s takings claim have been futile in agency proceed-
    ings; for example, Alpine’s claim would not have required
    the FCC to question the constitutionality of a statute. See
    Weinberger v. Salfi, 
    422 U.S. 749
    , 765 (1975) (noting
    general rule against agency authority to deem statutes
    unconstitutional). And the FCC is generally under an
    obligation not to take action contrary to the Constitution
    and to hear properly presented constitutional claims. See
    
    5 U.S.C. § 706
    (2)(A), (B) (providing for reviewing court to
    set aside agency action that is contrary to law, including
    Constitution); FCC v. Fox Television Stations, Inc., 
    556 U.S. 502
    , 516 (2009); Graceba Total Commc’ns, Inc. v.
    FCC, 
    115 F.3d 1038
    , 1041–42 (D.C. Cir. 1997) (“The
    Commission has an obligation to address properly pre-
    sented constitutional claims which, like this one, do not
    challenge agency actions mandated by Congress.”).
    In any event, the judicial review scheme under the
    Communications Act squarely covers Alpine’s grievance.
    Alpine’s takings claim (like its contract claims) is based
    on the FCC’s cancellation of the station licenses, a deci-
    sion that falls squarely within the judicial-review provi-
    sion, 
    47 U.S.C. § 402
    (b)(5). The very purpose of the
    provision is to provide a remedy for licensees, like Alpine,
    that have suffered an injury from an FCC licensing deci-
    sion. Such parties are the “one[s] likely to be financially
    injured by the issue [or revocation] of a license” and “the
    only [ones] having a sufficient interest to bring to the
    20                         ALPINE PCS, INC.   v. UNITED STATES
    attention of the appellate court errors of law in the action
    of the [FCC] in granting [or revoking] the license.” F.C.C.
    v. Sanders Bros. Radio Station, 
    309 U.S. 470
    , 477 (1940);
    see also Clarke v. Sec. Indus. Ass’n, 
    479 U.S. 388
    , 394 n.8
    (1987) (noting that § 402(b) “grant[s] an explicit right of
    review to all persons adversely affected or aggrieved by
    particular . . . licensing actions by the [FCC]”). That
    remedial scheme provides for judicial review of constitu-
    tional challenges to the license cancellation. See Alvin
    Lou Media, Inc. v. F.C.C., 
    571 F.3d 1
    , 8 (D.C. Cir. 2009)
    (“This court ‘permit[s] both constitutional and statutory
    challenges to an agency’s application . . . of a previously
    promulgated rule, even if the period for review of the
    initial rule has expired.’”) (quoting Graceba, 
    115 F.3d at 1040
    )). And upon review of Alpine’s takings claim, the
    D.C. Circuit was capable of ordering any appropriate
    relief, whether on appeal or on remand to the agency.
    See, e.g., QUALCOMM Inc. v. F.C.C., 
    181 F.3d 1370
    , 1381
    (D.C. Cir. 1999) (ordering FCC “to take prompt action to
    identify a suitable spectrum and award QUALCOMM the
    license for it”).
    Under the comprehensive statutory scheme, then, Al-
    pine could have raised a constitutional takings claim; the
    FCC had the authority to grant relief; and the D.C. Cir-
    cuit had jurisdiction to review whether a taking occurred
    and, if so, whether the FCC decision “yield[ed] just com-
    pensation.” Williamson Cty., 
    473 U.S. at 194
    . The statu-
    tory scheme thus affords Alpine “a ready avenue” to bring
    its takings claim and displaces Tucker Act jurisdiction
    over that claim. Horne, 569 U.S. at 527–28. This conclu-
    sion, though statute-specific, accords with similar conclu-
    sions we have reached under other statutes.           E.g.,
    Innovair Aviation Ltd. v. United States, 
    632 F.3d 1336
    ,
    1342–43 (Fed. Cir. 2011) (holding that Tucker Act juris-
    diction over takings claim based on forfeiture of property
    seized pursuant to 
    21 U.S.C. § 881
     was displaced by the
    ALPINE PCS, INC.   v. UNITED STATES                    21
    Controlled Substances Act’s scheme for administrative
    and judicial review) (citing Vereda, 
    271 F.3d at 1375
    (same)); Lion Raisins, Inc. v. United States, 
    416 F.3d 1356
    , 1370, 1372–73 (Fed. Cir. 2005) (affirming dismissal
    of takings claim for lack of jurisdiction under the Tucker
    Act because the “administrative and judicial review
    procedures available under 7 U.S.C. § 608c(15)(A) provide
    a remedy to recover the value of the rights alleged to be
    taken”).
    III
    For the foregoing reasons, we affirm the judgment of
    the Court of Federal Claims.
    AFFIRMED
    

Document Info

Docket Number: 2017-1029

Citation Numbers: 878 F.3d 1086

Judges: Moore, Reyna, Taranto, Jqdges

Filed Date: 1/2/2018

Precedential Status: Precedential

Modified Date: 10/19/2024

Authorities (25)

telecare-corp-v-mike-leavitt-secretary-of-health-and-human-services , 409 F.3d 1345 ( 2005 )

United States v. Fausto , 108 S. Ct. 668 ( 1988 )

ST. VINCENT’S MEDICAL CENTER, Plaintiff-Appellant, v. the ... , 32 F.3d 548 ( 1994 )

Mitchell v. Maurer , 55 S. Ct. 162 ( 1934 )

United States v. Erika, Inc. , 102 S. Ct. 1650 ( 1982 )

Gonzalez v. Thaler , 132 S. Ct. 641 ( 2012 )

Lion Raisins, Inc. v. United States , 416 F.3d 1356 ( 2005 )

Federal Communications Commission v. Sanders Bros. Radio ... , 60 S. Ct. 693 ( 1940 )

Celtronix Telemetry, Inc. v. Federal Communications ... , 272 F.3d 585 ( 2001 )

Texas Peanut Farmers, Georgia Peanut Farmers, Alabama ... , 409 F.3d 1370 ( 2005 )

Vereda, Ltda. v. United States , 271 F.3d 1367 ( 2001 )

Ruhrgas Ag v. Marathon Oil Co. , 119 S. Ct. 1563 ( 1999 )

United States v. Cotton , 122 S. Ct. 1781 ( 2002 )

United States v. Bormes , 133 S. Ct. 12 ( 2012 )

Gene A. Folden, Coastal Communications Associates, and ... , 379 F.3d 1344 ( 2004 )

Alvin Lou Media, Inc. v. Federal Communications Commission , 571 F.3d 1 ( 2009 )

QUALCOMM Inc. v. Federal Communications Commission , 181 F.3d 1370 ( 1999 )

Harrison v. PPG Industries, Inc. , 100 S. Ct. 1889 ( 1980 )

Palazzolo v. Rhode Island , 121 S. Ct. 2448 ( 2001 )

Federal Communications Commission v. Fox Television ... , 129 S. Ct. 1800 ( 2009 )

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