Opinion

Farmer-Paellmann v. Brown & Williamson

Court
Court of Appeals for the Seventh Circuit
Filed
Dec 13, 2006
Status
Published
On the bench
Per Curiam
Nature of suit
civil
Cited by
0 cases
Authority
More cited than 39.8%

The opinion

In the

United States Court of Appeals

For the Seventh Circuit

____________

Nos. 05-3265, 05-3266, 05-3305

IN RE:

AFRICAN-AMERICAN SLAVE DESCENDANTS LITIGATION.

APPEALS OF:

DEADRIA FARMER-PAELLMANN, et al., and

TIMOTHY HURDLE, et al.

____________

Appeals from the United States District Court

for the Northern District of Illinois, Eastern District.

No. 02 C 7764—Charles R. Norgle, Sr., Judge.

____________

ARGUED SEPTEMBER 27, 2006—DECIDED DECEMBER 13, 2006

____________

Before EASTERBROOK, Chief Judge, and POSNER and

MANION, Circuit Judges.

POSNER, Circuit Judge. Nine suits were filed in federal

district courts around the country seeking monetary

relief under both federal and state law for harms

stemming from the enslavement of black people in Amer-

ica. A tenth suit, by the Hurdle group of plaintiffs, makes

similar claims but was filed in a state court and then

removed by the defendants to a federal district court. The

Multidistrict Litigation Panel consolidated all the suits

in the district court in Chicago for pretrial proceedings. 28

2 Nos. 05-3265, 05-3266, 05-3305

U.S.C. § 1407. Once there, the plaintiffs (all but the Hurdle

plaintiffs, about whom more shortly) filed a consoli-

dated complaint, and since venue in Chicago was proper

and in any event not objected to by the parties (other than

the Hurdle group, whose objection we consider later in

the opinion), the district court was unquestionably autho-

rized, notwithstanding Lexecon Inc. v. Milberg Weiss Bershad

Hynes & Lerach, 523 U.S. 26, 28 (1998), to determine the

merits of the suit. In re Carbon Dioxide Industry Antitrust

Litigation, 229 F.3d 1321, 1325-27 (11th Cir. 2000); cf. Neirbo

Co. v. Bethlehem Shipbuilding Corp., 308 U.S. 165, 167-68

(1939).

We are also persuaded that a district court to which a

case is transferred under section 1407 can rule on a mo-

tion to dismiss the case even if the plaintiff has not agreed

to let the court decide the merits. In re Phenylpropanolamine

(PPA) Products Liability Litigation, 460 F.3d 1217, 1230-31

(9th Cir. 2006); 15 Charles W. Wright, Arthur R. Miller &

Edward H. Cooper, Federal Practice and Procedure § 3866

(2006). While it is true that the Supreme Court held in the

Lexecon case that a transfer under section 1407 does not

authorize the district court to retain the case for trial, the

Court left open the question whether pretrial proceedings,

which are the business (the exclusive business) of the

transferee court, include rulings on dispositive pretrial

motions, such as motions to dismiss. But the Court hinted

that they do include them. Section 1407(a) states that “each

action so transferred [by the multidistrict litigation panel]

shall be remanded by the panel at or before the conclusion

of such pretrial proceedings to the district from which it

was transferred unless it shall have been previously

terminated.” Concerning this “provision of § 1407(a)

limiting the Panel’s remand obligation to cases not ‘previ-

Nos. 05-3265, 05-3266, 05-3305 3

ously terminated’ during the pretrial period,” the Court

remarked that “this exception to the Panel’s remand

obligation indicates that the Panel is not meant to issue

ceremonial remand orders in cases already concluded by

summary judgment, say, or dismissal,” 523 U.S. at 37

(emphasis added)—implying that the transferee court can

indeed decide the entire case at the pretrial stage.

And rightly so. The duty to conduct the pretrial proceed-

ings in a multidistrict litigation entails the transferee

court’s ruling on a host of pretrial motions, many of

which, whether or not formally dispositive, can shape

the litigation decisively. There is no reason to exclude from

the court’s authority rulings on motions to dismiss—

especially a motion to dismiss on the ground that there

is no federal jurisdiction. It would be odd to require a

court to transfer a case to another federal court when it

was apparent that neither court had jurisdiction over the

case.

Were it not for the Hurdle suit, we wouldn’t have to

decide whether the district judge could have dismissed

the transferred suits had the parties not agreed, by filing

a new complaint, to his retaining them after completion of

pretrial proceedings. But the Hurdle plaintiffs did not

agree, so we cannot duck the question.

The suits are a series of mostly identical class actions on

behalf of all Americans descended from slaves with

whom one or more of the defendants or their corporate

predecessors may have been directly or indirectly in-

volved. The consolidated complaint (the Hurdle com-

plaint is similar, so need not be discussed separately)

alleges the following facts, for which we do not vouch, but

merely summarize, the complaint having been dismissed

before the truth or falsity of the allegations was deter-

mined.

4 Nos. 05-3265, 05-3266, 05-3305

The defendants are companies or the successors to

companies that provided services, such as transportation,

finance, and insurance, to slaveowners. At least two of

the defendants were slaveowners; the predecessor of one

of the bank defendants once accepted 13,000 slaves as

collateral on loans and ended up owning 1,250 of them

when the borrowers defaulted, and the predecessor of

another defendant ended up owning 346 slaves, also as a

consequence of a borrower’s default. Even before the

Thirteenth Amendment, slavery was illegal in the northern

states, and the complaint charges that the defendants

were violating the laws of those states in transacting

with slaveowners. It also claims that there were occa-

sional enslavements long after the passage of the Thir-

teenth Amendment and that some of the defendants

were complicit in those too. By way of relief, the com-

plaint seeks disgorgement to the class members of the

profits that the defendants obtained from their dealings

with slaveowners.

The legal basis for the plaintiffs’ federal claim is 42 U.S.C.

§ 1982, which provides that “all citizens of the United

States shall have the same right, in every State and Terri-

tory, as is enjoyed by white citizens thereof to inherit,

purchase, lease, sell, hold, and convey real and personal

property.” See City of Memphis v. Greene, 451 U.S. 100, 119-

20 (1981); Jones v. Alfred H. Mayer Co., 392 U.S. 409 (1968). A

claim based on a federal statute invokes the federal-

question jurisdiction of the federal courts. But since most

of the conduct of which the plaintiffs complain occurred

prior to the passage of the Thirteenth Amendment, and

indeed prior to the Civil War, section 1982 does not

provide a sturdy basis for the retention of federal juris-

diction over the plaintiffs’ nonfederal claims. A frivolous

Nos. 05-3265, 05-3266, 05-3305 5

federal law claim cannot successfully invoke federal

jurisdiction. Hagans v. Lavine, 415 U.S. 528, 536-37 (1974);

Turner/Ozanne v. Hyman/Power, 111 F.3d 1312, 1317 (7th Cir.

1997); Crowley Cutlery Co. v. United States, 849 F.2d 273, 276-

77 (7th Cir. 1988); Lovern v. Edwards, 190 F.3d 648, 654-

55 (4th Cir. 1999). So it cannot provide a perch on which to

seat nonfederal claims in the name of the federal courts’

supplemental jurisdiction, 28 U.S.C. § 1367. And very

few of the plaintiffs have a nonfrivolous claim under sec-

tion 1982.

But with one exception, all the nonfederal claims are

within the federal diversity jurisdiction and so do not

require a federal-law handle. The exception is Richard E.

Barber, Sr.’s suit; for both he and Brown Brothers, one

of the defendants in his suit, are citizens of New Jersey.

Since he thus cannot invoke diversity as a basis for federal

jurisdiction and does not have a colorable section 1982

claim (in fact he makes no section 1982 claim at all), his

suit must be dismissed for want of federal jurisdiction

without regard to the other challenges that the defendants

mount to federal jurisdiction over these suits.

The district judge ruled that by virtue of both the

political-question doctrine and the requirement of stand-

ing to sue derived from Article III of the Constitution,

there was no federal jurisdiction over any of the suits and

that in any event they had no merit because the applicable

statutes of limitations had lapsed and anyway the com-

plaint failed to state a claim. 375 F. Supp. 2d 721 (N.D. Ill.

2005). The dismissal was with prejudice. But if the judge

was correct that there is no jurisdiction, he should have

dismissed the suits without prejudice and thus not decided

their merits.

6 Nos. 05-3265, 05-3266, 05-3305

The political-question doctrine bars the federal courts

from adjudicating disputes that the Constitution has been

interpreted to entrust to other branches of the federal

government. The earliest and still the best example is

Luther v. Borden, 48 U.S. (7 How.) 1 (1849). Rhode Island

had not adopted a new constitution after the break with

England, but instead continued to govern itself under its

colonial charter. Restive citizens convened a constitu-

tional convention not authorized by the charter. The

convention adopted a new constitution to which the

charter government refused to submit, precipitating

rebellion and the establishment in 1842 of a rival state

government. The Supreme Court refused to decide

which of the two competing governments was the legiti-

mate one. It would have been exceedingly difficult to

gather and assess, by the methods of litigation, the facts

needed for such a decision. Id. at 41-42. It would have

been even more difficult to formulate a legal concept of

revolutionary legitimacy to guide the decision. Formulat-

ing and enforcing a remedy would have presented ad-

ditional stumbling blocks. The case simply exceeded

judicial capabilities. So the Court left the matter to the

President, to whom Congress had delegated the duty of

resolving it. Id. at 43; see also Ohio ex rel. Bryan v. Akron

Metropolitan Park District, 281 U.S. 74, 79-80 (1930); Pacific

States Telephone & Telegraph Co. v. Oregon, 223 U.S. 118, 133-

50 (1912).

A case that sought reparations for the wrong of slavery

would encounter similar obstacles, but the plaintiffs have

been careful to cast the litigation as a quest for conven-

tional legal relief. All they are asking the federal judiciary

to do is to apply state law (plus the one federal statute, 42

U.S.C. § 1982) to the defendants’ conduct. They face, of

Nos. 05-3265, 05-3266, 05-3305 7

course, formidable obstacles, quite apart from the severely

limited applicability of section 1982. To name just one of

those obstacles, it is highly unlikely that antebellum laws

in northern states were intended to confer financial or

other benefits on the twenty-first century descendants of

slaves. But the obstacles to the vindication of the plain-

tiffs’ legal claims have the form at least of conventional

defenses to a lawsuit. If one or more of the defendants

violated a state law by transporting slaves in 1850, and the

plaintiffs can establish standing to sue, prove the viola-

tion despite its antiquity, establish that the law was

intended to provide a remedy (either directly or by provid-

ing the basis for a common law action for conspiracy,

conversion, or restitution) to lawfully enslaved persons

or their descendants, identify their ancestors, quantify

damages incurred, and persuade the court to toll the

statute of limitations, there would be no further obstacle

to the grant of relief.

But we think that the district court was correct, with

some exceptions to be noted, in ruling that the plaintiffs

lack standing to sue. It would be impossible by the meth-

ods of litigation to connect the defendants’ alleged mis-

conduct with the financial and emotional harm that the

plaintiffs claim to have suffered as a result of that conduct.

See generally James R. Hackney, Jr., “The Jurisprudence

of Slavery Reparations: Ideological Conflict, African

American Reparations, Tort Causation, and the Case for

Social Welfare Transformation,” 84 B.U. L. Rev. 1193 (2004).

For example, Aetna is alleged to have written several

insurance policies on slaves in the 1850s in violation of

state law applicable to the company, and to have obtained

premiums from the insureds—the slaveowners—that (we’ll

assume) exceeded the cost of the insurance to Aetna (its

8 Nos. 05-3265, 05-3266, 05-3305

expenses plus the payment of proceeds if the insured

event came to pass). The plaintiffs argue that Aetna’s net

income from this insurance was a wrongful profit that

the company should be ordered to restore to the plaintiff

classes.

If the insurance business was competitive back then (and

the plaintiffs do not argue that it was not), Aetna did

not profit in an economic sense from the transactions of

which the plaintiffs complain (its “profit” would just be its

cost of equity capital), and in any event it would have

distributed any profits from the transactions to its share-

holders long ago. All that to one side, there is a fatal

disconnect between the victims and the plaintiffs. When a

person is wronged he can seek redress, and if he wins,

his descendants may benefit, but the wrong to the ancestor

is not a wrong to the descendants. For if it were, then

(problems of proof to one side) statutes of limitations

would be toothless. A person whose ancestor had been

wronged a thousand years ago could sue on the ground

that it was a continuing wrong and he is one of the victims.

The plaintiffs introduce another claim of injury by

asserting that had the defendants refused to violate their

own states’ laws by doing business with slaveowners, there

would have been less slavery because the refusal would

have been tantamount to subjecting the slaveowners to a

partial boycott. That would have raised their costs, and, by

making slavery less profitable, might have reduced the

amount of it. (“Might,” not “would,” because the higher

costs might simply have depressed the price of a slave.)

And had there been less slavery, the argument continues,

some of the ancestors of the members of the plaintiff

classes would not have been slaves, but instead free

laborers, and they would have had some disposable

Nos. 05-3265, 05-3266, 05-3305 9

income part of which they might have saved rather than

spent, and left to their heirs.

But this causal chain is too long and has too many weak

links for a court to be able to find that the defendants’

conduct harmed the plaintiffs at all, let alone in an

amount that could be estimated without the wildest

speculation. It is impossible to determine how much, if

any, less slavery there would have been had the defen-

dants not done business with slaveowners, what effect a

diminution of slavery would have had on bequests by

ancestors of the class members, and how much of the

value of those bequests would have trickled down to the

class members.

Suppose a class member could prove that he was de-

scended from one of the slaves insured by Aetna or

transported by the Union Pacific Railroad (another defen-

dant) or bought with money lent to the buyer by the

predecessor of the JPMorgan Chase Bank (still another

defendant), and that these transactions were illegal and

that the descendants of slaves are among the people

whom the laws were intended to protect. Had he not been

insured or transported or bought with a bank loan, how

would the financial welfare of his remote descendant be

affected? Would this ancestor have been freed, or per-

haps never enslaved in the first place? As the plaintiffs

stress, slavery was profitable; is it conceivable that slave-

holders would have been unable to insure, transport, and

finance the purchase of slaves if northern companies had

been excluded from the provision of these services or had

refused to violate their states’ laws that sought to keep

them from providing the services?

Even if compliance with those laws would have cur-

tailed slavery and even if it could be shown (it could

10 Nos. 05-3265, 05-3266, 05-3305

not be) that as a result of that hypothetical curtailment a

plaintiff’s remote ancestor would not have been a slave but

instead a free laborer, how could the wages that the

ancestor would have earned as a free laborer be shown to

have influenced the wealth of his remote descendant?

Economists actually study such issues, under the rubric of

“intergenerational mobility,” see, e.g., Kerwin Kofi Charles

& Erik Hurst, “The Correlation of Wealth Across Genera-

tions,” 111 J. Pol. Econ. 1155 (2003); Keith N. Hylton, “The

Jurisprudence of Slavery Reparations: Slavery and Tort

Law,” 84 B.U. L. Rev. 1209, 1239-41 (2004), but these are

studies of aggregate effects, not of the effects of particular

acts, affecting particular individuals, on the wealth of

specific remote descendants. There is no way to determine

that a given black American today is worse off by a spe-

cific, calculatable sum of money (or monetized emotional

harm) as a result of the conduct of one or more of the

defendants.

Nor are the problems of measuring and tracing elided by

recasting the relief sought as restitution rather than dam-

ages. Restitution—the transfer of the wrongdoer’s gain to

his victim—is an alternative to damages, the monetization

of the victim’s loss. ConFold Pacific, Inc. v. Polaris Industries,

Inc., 433 F.3d 952, 957-58 (7th Cir. 2006); Charter Communica-

tions Entertainment I, DST v. Burdulis, 460 F.3d 168, 182 (1st

Cir. 2006); Kerr v. Charles F. Vatterott & Co., 184 F.3d 938,

944 (8th Cir. 1999); 1 Dan B. Dobbs, Dobbs Law of Remedies

§ 4.1, pp. 551, 555 (2d ed. 1993). It is a sensible remedy for

egregious misconduct because it makes the conduct

worthless to the defendant by taking away his profit even

if it exceeds the loss to the plaintiff. But it presupposes an

injury—it is a remedy for a legal wrong—and there is no

way in which to determine what if any injury the defen-

dants inflicted on the members of the plaintiff classes.

Nos. 05-3265, 05-3266, 05-3305 11

And again, if there were a legal wrong, it would not be

a wrong to any living persons unless they were some-

how the authorized representatives to bring suits on

behalf of their enslaved ancestors. With some exceptions

to be noted, the plaintiffs are suing to redress harms to

third parties (their ancestors), without being authorized to

sue on behalf of those parties. It is like a suit by a descen-

dant of a Union soldier, killed in battle, against a Civil

War era gun manufacturer still in business that sold guns

to the Confederacy in violation of federal law. A federal

court could not entertain the suit because the plaintiff

would be unable to prove a harm to an interest of his (such

as his bank account) that the law protects. E.g., Raines v.

Byrd, 521 U.S. 811, 818-19 (1997); Sierra Club v. Morton,

405 U.S. 727, 739-40 (1972). It is possible that had the

ancestor not died when he did he would have become a

wealthy person and left bequests so immense that his

remote descendant, the plaintiff, would have inherited

more money from his parents or grandparents than he

actually did. But that is too speculative an inquiry to

provide a basis for a federal suit. See McConnell v. FEC,

540 U.S. 93, 225-26 (2003); Branton v. FCC, 993 F.2d 906,

909 (D.C. Cir. 1993).

The two cases just cited, and others, treat remoteness as

a limitation on Article III standing. Still other cases treat

it as a nonjurisdictional limitation on who may sue in

federal court—but still a limitation. Holmes v. Securities

Investor Protection Corp., 503 U.S. 258, 268-69 (1992); Blue

Shield of Virginia v. McCready, 457 U.S. 465, 476-77 (1982);

Israel Travel Advisory Service, Inc. v. Israel Identity Tours, Inc.,

61 F.3d 1250, 1257 (7th Cir. 1995); Allegheny General Hospital

v. Philip Morris, Inc., 228 F.3d 429, 435 (3d Cir. 2000).

Another group of cases would deem the suit barred by

12 Nos. 05-3265, 05-3266, 05-3305

Article III because one function of the Article III stand-

ing doctrine is to prevent parties with slight interests in

a litigation from crowding those who have the main

interests. Valley Forge Christian College v. Americans United

for Separation of Church & State, Inc., 454 U.S. 464, 473 (1982);

Morlan v. Universal Guardian Life Insurance Co., 298 F.3d

609, 621 (7th Cir. 2002); Illinois DOT v. Hinson, 122 F.3d 370,

373 (7th Cir. 1997); People Organized for Welfare & Employ-

ment Rights (P.O.W.E.R.) v. Thompson, 727 F.2d 167, 173 (7th

Cir. 1984); Abraham v. Intermountain Health Care Inc., 461

F.3d 1249, 1268 (10th Cir. 2006). In our hypothetical case

of the Union soldier, the litigant with the paramount

interest in the case would be his estate and the damages

that the estate could recover would include whatever

amount of money he would have wanted his descendant

to inherit. If the descendant could sue the tortfeasor

directly for that amount (or for the tortfeasor’s profit, in

a suit for restitution), there would be either double re-

covery or an impossible task of allocating the monetary

recovery between the descendant and the estate.

A few of the plaintiff’s claims, however, as we noted

at the outset, are claims of subjection to involuntary

servitude after it was outlawed by the Thirteenth Amend-

ment, and indeed into the twentieth century. Cain Wall,

Sr. claims that “during the time that [he] was enslaved”—

which he contends extended into the 1960s—“one or more

of the defendants were doing business in Mississippi or

Louisiana. Some of the defendants had reason to know

of the enslavement of Cain Wall and yet failed to take

steps to eliminate same, while they continued to inure

benefits from the illegal, but sanctioned system of

servitude post-emancipation.” But there is no claim that the

defendants subjected Wall (or any other class member) to

Nos. 05-3265, 05-3266, 05-3305 13

involuntary servitude or did anything to perpetuate or

exacerbate his condition. The claim is that they took no

steps to free him. The briefs suggest no basis for thinking

that there is any kind of Good Samaritan legal duty to

eliminate a violation of the Thirteenth Amendment com-

mitted by someone else.

The limitations that Article III places on the right to

sue in a federal court require us to affirm, on the basis of

lack of standing, the greater part of the district court’s

judgment. But there are three qualifications. First, although

most of the plaintiffs and class members are suing as

descendants rather than as representatives of their ances-

tors’ estates authorized to sue on those ancestors’ behalf,

a few do claim to be suing in such a representative capac-

ity. It is highly unlikely that the estate of anyone who

died a century or more ago, or indeed more than half a

century ago (for although many former slaves survived

into the twentieth century, very few would still have

been alive 50 years ago, which is to say in 1956, 91 years

after the end of the Civil War), has not yet been closed. But

the district judge accepted that the purported representa-

tives had a right to sue on behalf of their ancestors, and

the defendants offer only a perfunctory rebuttal. We

shall assume without deciding that some of the plaintiffs

are legal representatives of their slave ancestors. These

plaintiffs not only escape the objection to standing that

the suits seek damages for injuries actually suffered by

third parties (the ancestors—no longer third parties, but the

real parties in interest, merely represented by the plain-

tiffs), but have less to prove. They just have to prove the

injury to the ancestors; the trickle-down question is elided.

In all likelihood it would still be impossible for them to

prove injury, requiring as that would connecting the

14 Nos. 05-3265, 05-3266, 05-3305

particular slavery transactions in which the defendants

were involved to harm to particular slaves. But in any

event, suits complaining about injuries that occurred

more than a century and a half ago have been barred for

a long time by the applicable state statutes of limitations.

It is true that tolling doctrines can extend the time

to sue well beyond the period of limitations—but not to

a century and more beyond. Slaves could not sue, and

even after the Thirteenth Amendment became effective

in 1865 suits such as these, if brought in the South,

would not have received a fair hearing. However, some

northern courts would have been receptive to such suits,

and since the defendants are (and were) northern compa-

nies, venue would have been proper in those states. Even

in the South, descendants of slaves have had decades of

effective access to the courts to seek redress for the

wrongs of which they complain. And it’s not as if it had

been a deep mystery that corporations were involved in

the operation of the slave system. See, e.g., Edgar J.

McManus, Black Bondage in the North 174 (1973); Kenneth

M. Stampp, The Peculiar Institution: Slavery in the Ante-

Bellum South 397 (1956).

The second qualification concerns a claim, rather buried

in the complaint but not forfeited, that in violation of

state fraud or consumer protection law members of the

plaintiff classes have bought products or services from

some of the defendants that they would not have bought

had the defendants not concealed their involvement in

slavery. This claim has nothing to do with ancient viola-

tions and indeed would be unaffected if the defendants’

dealings with slaveowners had been entirely legal. It is a

complaint of consumers’ being deceived because sellers

have concealed a material fact. The injury is the loss

Nos. 05-3265, 05-3266, 05-3305 15

incurred by buying something that one wouldn’t have

bought had one known the truth about the product.

It is true that under no consumer protection law known

to us, whether a special statute or a doctrine of the com-

mon law of contracts or torts, has a seller a general duty

to disclose every discreditable fact about himself that

might if disclosed deflect a buyer. To fulfill such a duty

he would have to know much more about his consumers

than he possibly could. But the plaintiffs are charging

the defendants with misrepresenting their activities in

relation to slavery. A seller who learns that some class of

buyers would not buy his product if they knew it con-

tained some component that he would normally have no

duty to disclose, but fearing to lose those buyers falsely

represents that the product does not contain the compo-

nent, is guilty of fraud. An example would be a manufac-

turer who represented that his products were made in the

United States by companies that employ only union labor,

whereas in fact they were made in Third World sweat-

shops. See Kasky v. Nike, Inc., 45 P.3d 243, 248 (Cal. 2003);

Price v. Philip Morris, Inc., 848 N.E.2d 1, 19 (Ill. 2005);

Oliveira v. Amoco Oil Co., 776 N.E.2d 151, 154-55 (Ill. 2002);

Lightning Lube, Inc. v. Witco Corp., 4 F.3d 1153, 1185 (3d Cir.

1993).

We do not offer an opinion on the merits of the consumer

protection claims, but merely reject the district court’s

ruling that they are barred at the threshold.

The third qualification concerns the Hurdle suit and is

related to the second qualification. Unlike the other

plaintiffs, the Hurdle plaintiffs didn’t want to remain in

the district court in Chicago. They wanted to return to the

California district court from which their case had been

transferred to Chicago for pretrial proceedings, when the

16 Nos. 05-3265, 05-3266, 05-3305

pretrial proceedings concluded. Actually they wanted to

return to the California state court from which the defen-

dants had removed their case to the district court, but that

is an issue for that district court to resolve if and when the

case is returned. As we pointed out at the beginning of

this opinion, the district court, as the transferee court in a

transfer pursuant to 28 U.S.C. § 1407, was authorized to

rule on a motion to dismiss the Hurdle suit. But though

the district judge in the exercise of that power rightly

dismissed so much of that suit as attacks wrongs done to

the plaintiffs’ ancestors, the Hurdle plaintiffs are among

the plaintiffs who have consumer protection claims as

well. As to them there will be further pretrial proceedings,

and they will be conducted in Chicago. So the Hurdle

plaintiffs can’t go back to California, at least not yet.

To summarize, the district court’s dismissal, for want

of standing, of all but the claims brought by legal represen-

tatives of slaves plus the consumer protection claims is

modified to be a dismissal without prejudice, and as so

modified is affirmed. (Barber’s suit is dismissed, also

without prejudice, for want of diversity.) The dismissal of

the claims brought by the plaintiffs who claim to be legal

representatives is affirmed, but on the merits (statute of

limitations) and so with prejudice. The dismissal of the

consumer protection claims is reversed and the case

remanded to the district court for further proceedings on

those claims consistent with this opinion. The district

court is authorized to retain those claims for the duration

of the litigation, except in the case of the Hurdle plaintiffs,

as to whom the court is authorized only to conduct pretrial

proceedings under 28 U.S.C. § 1407.

MODIFIED AND AFFIRMED, IN PART;

REVERSED IN PART AND REMANDED.

Nos. 05-3265, 05-3266, 05-3305 17

A true Copy:

Teste:

_____________________________

Clerk of the United States Court of

Appeals for the Seventh Circuit

USCA-02-C-0072—12-13-06

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.

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