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Home Court filings Chambless Enterprises, LLC v. Redfield Plaintiffs' Reply — Appeal from Magistrate's Stay Order — Chambless v. Redfield (W.D. La.)

Court filing

Plaintiffs' Reply — Appeal from Magistrate's Stay Order — Chambless v. Redfield (W.D. La.)

Filed June 2, 2021 in Chambless v. Redfield; one of 23 filings from this case.

Record facts

CourtUNITED STATES DISTRICT COURT
Filed2021-06-02

UNITED STATES DISTRICT COURT · No. 3:20-cv-01455-TAD-KDM · Doc. 59 · 2021-06-02 · Docket on CourtListener

Full text

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IN THE UNITED STATES DISTRICT COURT 
FOR THE WESTERN DISTRICT OF LOUISIANA 
MONROE DIVISION 
 
 
CHAMBLESS ENTERPRISES LLC, et al., 
 
      Plaintiffs, 
 
v. 
 
CENTERS FOR DISEASE CONTROL AND 
PREVENTION, et al., 
 
      Defendants. 
 
 
 
 
 Case No. 3:20-cv-1455 
 
Judge Terry A. Doughty 
 
Magistrate Judge Kayla D. McClusky
 
PLAINTIFFS’ REPLY TO THE GOVERNMENT’S OPPOSITION TO PLAINTIFFS 
APPEAL FROM ORDER OF MAGISTRATE JUDGE 
 
The Government once again argues that Plaintiffs should endure a stay of District Court 
proceedings just because they exercise their right to appeal the denial of their motion for 
preliminary injunction. Plaintiffs do not give up their right to advance their case in the District 
Court by pursuing the right to an interlocutory appeal.  
Moreover, each of the relevant factors cut against staying District Court proceedings. 
Plaintiffs do not argue that the Magistrate merely came out the wrong way in a difficult balancing 
of divergent factors. On the contrary, Plaintiffs maintain that there was no basis for finding that 
any of the factors cut in favor of a stay. And further, Plaintiffs have argued that there is a categorical 
rule against imposing a stay where it would cause prejudice to the non-moving party—a point for 
which the Government has no response. Nor does the Government dispute the related rule that a 
stay is improper where the moving party fails to show a significant hardship should the proceedings 
continue. 
Case 3:20-cv-01455-TAD-KDM   Document 59   Filed 06/02/21   Page 1 of 9 PageID #:  781

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Plaintiffs are asking this Court simply to lift the stay, order the Government to produce the 
administrative record, and establish a briefing schedule to resolve the merits of this case. Simply 
put, Plaintiffs are asking this Court to do what would otherwise have had happened if the 
Magistrate had not improperly stayed the case. As Plaintiffs have shown in their opening brief 
objecting to the Magistrate’s order, Plaintiffs do not give up the right to pursue the merits of their 
claims simply because they chose to exercise their right to appeal the denial of a preliminary 
injunction. Plaintiffs clearly have standing to pursue their claims, and those claims are 
unquestionably valid. Indeed, four district courts and a panel of the Sixth Circuit have concluded 
that the CDC’s eviction moratorium is unlawful. See Tiger Lily, LLC v. U.S. Dep’t of Housing and 
Urban Development, 992 F.3d 518 (6th Cir. Mar. 29, 2021); Alabama Ass’n of Realtors v. U.S. 
Dep’t of Housing and Urban Development, No. 20-cv-3377, 2021 WL 1779282 (D.D.C. May 5, 
2021); Tiger Lily, LLC v. U.S. Dep’t of Housing and Urban Development, No. 2:20-cv-02692, 
2021 WL 1171887 (W.D. Tenn. Mar. 15, 2021); Skyworks, Ltd. v. Centers for Disease Control 
and Prevention, No. 5:20-cv-2407, 2021 WL 911720 (N.D. Ohio Mar. 10, 2021); Terkel v. Ctrs. 
for Disease Control & Prevention, No. 6:20-cv-564, 2021 WL 742877 (E.D. Tex. Feb. 25, 2021). 
Plaintiffs are therefore entitled to pursue their claims in this Court. Contrary to the Government’s 
contention, they have no obligation to illustrate irreparable harm in order to pursue a merits 
decision in this Court on the question of whether the CDC’s eviction moratorium is lawful. See, 
e.g., Skyworks, Ltd., 2021 WL 911720 (setting aside CDC moratorium under APA section 706 
despite concluding plaintiffs did not suffer irreparable harm). Nor is the June 30 expiration date of 
the CDC’s current order relevant to the question of a stay of proceedings in this Court. The CDC’s 
order has been in effect since last September and has been renewed three times. There is every 
reason to believe it will be renewed again and the Government has not said otherwise. The 
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Government is, in effect, asking this Court to resolve the stay question by deciding, without benefit 
of briefing or argument, that Plaintiffs will either lose on the merits before this Court or that the 
Court will conclude the case is moot. But that is wholly inappropriate. This Court should not permit 
the government to pursue its strategy of delay in order to avoid a decision on the merits.  
ARGUMENT 
While the parties agree as to the relevant factors in considering a motion to stay, there is 
fundamental disagreement as to what showing is required for those factors. Plaintiffs contend that 
all three factors weigh against the Magistrate Judge’s decision to stay proceedings, which would 
necessarily mean that the Magistrate abused its discretion in granting the stay. Either way, the 
parties do not merely quibble about the exercise of conferred discretion, but rather differ on the 
legal question of what showing is required under each factor.  
Also, the stay factors are not an amorphous ad hoc balancing test. On the contrary, binding 
authority confirms not just that the burden is on the moving party to prove clear entitlement to a 
stay, but also that this burden can only be satisfied where the moving party proves that: (1) a stay 
will not cause prejudice to the non-moving party, and; (2) in the absence of a stay the moving party 
will suffer significant hardship. Accordingly, the third stay factor is relevant only where the 
moving party has satisfied the first two factors. And while the Government maintains that all three 
factors weigh in their favor, their opposition brief does not contest this non-discretionary 
framework. Nor do they point to any authority suggesting the Court has discretion to issue a stay 
when doing so would cause prejudice, or in the absence of a clear showing of that proceeding to 
the merits will cause real hardship. 
 
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I. 
The Government Overlooks the Practical Harm of a Stay 
The Government argues that there is no prejudice in maintaining a stay because briefing 
and final judgment cannot wrap up by the end of June. But no one is pushing to have a merits 
decision in June. At this juncture, Plaintiffs ask only that the stay be lifted so that the parties can 
obtain a merits decision as expeditiously as possible.  
The Government uses the uncertainty of a possible extension of the Order as a strategic 
weapon to thwart Plaintiffs’ undisputed rights to both an interlocutory appeal and a final judgment. 
Throughout this litigation the Government has avoided saying anything definitive as to whether 
the eviction moratorium order will be extended or for how long extensions will continue. Instead, 
they have reserved the option of extending the moratorium order indefinitely in short-term 
increments. If (and when) the CDC extends the moratorium past June, we can expect the agency 
will, once again, assert that there is no basis for moving forward with litigation because its 
moratorium will ‘soon expire’, even while planning for the contingency of further extensions.  
The Government should not be permitted to enlist this Court in its game of whack-a-mole. 
The harm to Plaintiffs is not simply the threat that they will be unable to obtain a decision on the 
merits if the stay remains in place, but that they are being improperly prevented from litigating 
their case when there is no valid reason to delay. The Government blithely claims that Plaintiffs 
have no entitlement to a judicial decision for its own sake, but this ignores that (1) the eviction 
moratorium is causing Plaintiffs’ harm right now (whether irreparable or otherwise makes no 
difference at this point in the case); (2) that Plaintiffs’ claims are unquestionably valid, given that 
four other district courts and a panel of the Sixth Circuit have concluded the moratorium is 
unlawful; and (3) that Plaintiffs unquestionably have standing to pursue their claims.  
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When there is an active case or controversy the federal court-house doors are open and 
there is a presumption that an aggrieved party is entitled to a remedy—which requires a resolution 
of the merits. See Lewis v. Casey, 518 U.S. 343, 349 (1996) (“It is the role of courts to provide 
relief to claimants . . . who have suffered, or will imminently suffer, actual harm.”). The APA, 
moreover, requires courts to issue judgment where an agency has acted in excess of statutory 
authority. 5 U.S.C. § 706 (2)(C). Plaintiffs have no obligation to prove that their harm is irreparable 
or that they will prevail on the merits in order to be afforded the right to pursue the merits. The 
Government’s argument puts the cart before the horse. 
Nor is it relevant that the CDC’s current order will expire on June 30. This Court cannot 
decide that the case is moot until it is clear that the case is, in fact, moot. By speculating (without 
confirming) that the eviction moratorium will expire, the Government seeks to force Plaintiffs to 
prove their claim will not become moot, even though the Government is the only party here in the 
position to predict the eviction moratorium’s future. Cf. Friends of the Earth, Inc. v. Laidlaw 
Environmental Services, Inc., 528 U.S. 167, 190 (2000) (“[A] defendant claiming that its voluntary 
compliance moots a case bears the formidable burden of showing that it is absolutely clear the 
allegedly wrongful behavior could not reasonably be expected to recur.”). 
Moreover, there are exceptional reasons why a decision on the merits is critical for 
providing practical relief in this case. Should the case be mooted without ever reaching the merits 
there would remain a significant risk that the CDC would issue a renewed eviction moratorium 
order later—reigniting the present controversy—if there is a spike in cases, perhaps from a new 
emergent COVID-19  strain this fall or next year. Accordingly, even if the Government is correct 
that a party has no right to a merits decision, a stay preventing a resolution on the merits would 
ultimately be prejudicial to the Plaintiffs.  
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Finally, the Government suggests that a stay is not consequential if the District Court is 
affirmed in its conclusion that Plaintiffs are suffering no irreparable harm. But here they conflate 
preliminary injunction standards with the merits. A showing of irreparable harm is, by design, 
more difficult than a showing of an Article III injury and is appropriate in the context of a 
preliminary injunction precisely because at that stage the court is making an assessment as to 
whether immediate judicial intervention is appropriate before final resolution of the merits. By 
contrast, a remedy issued upon a final ruling on the merits is essential for redressing the Plaintiffs’ 
injury. And if the practical effect of a stay is to deny that remedy then there is unquestionably 
prejudice to the Plaintiffs here. 
II. 
The Government Identifies No Real Hardship in Producing the Administrative 
Record and Repurposing Merits Arguments for Dispositive Motions 
 
The Government fails to explain why moving to the merits in this case would be a hardship 
at all. They take issue only with the prospect that they might be compelled to address the merits in 
dispositive briefing after submitting the record. But this is no hardship at all. The Government is 
litigating several cases on the statutory and constitutional authority of the CDC eviction 
moratorium. It has briefed and argued every issue this case presents and filed the record several 
times. The notion that having to do one more round of briefing in this case causes the Government 
some undue hardship is preposterous. It ought to go without saying that defending its laws and 
regulations in court is part of the Government’s job, not some undue irritation that the Government 
should have to suffer only when it sees fit to explain its actions. That is always true, but is 
especially true when the Government purports to exercise the authority to shut down evictions 
throughout the entire nation in the face of several courts that have concluded that it lacks the 
authority to do so.  
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III. 
The Government Fails to Identify any Legitimate Issue of Judicial Economy in 
Allowing Continued District Court Proceedings 
 
Plaintiffs have argued that there are no issues of judicial economy here for several reasons. 
First, the merits proceedings would not be duplicative because those would be decided on the 
administrative record. Second, if the Court is inclined to uphold the eviction moratorium on the 
basis of its prior rationale, such an opinion would require minimal judicial resources. And third, if 
the Court should change its view on the merits, that would not give rise to “duplicative 
proceedings” or the possibility of “inconsistent rulings,” as the Magistrate assumed. The 
Government does not directly respond to any of these arguments. 
Instead, the Government simply asserts that lifting the stay might lead to “significant 
wasted judicial effort.” But that is not so. Just as the District Court will retain discretion to set the 
briefing schedule upon lifting the stay, the Court will retain discretion in deciding when to decide 
the merits. This Court controls its own proceedings. Even assuming the merits are fully briefed by 
the end of August or September, nothing would compel this Court to immediately begin drafting 
an opinion. As Plaintiffs have suggested already, it’s likely in that scenario that the Court might 
elect to have the parties file short supplementary briefs once the Fifth Circuit renders its decision 
within a short time thereafter. 
 
 
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CONCLUSION 
The Plaintiffs respectfully urge this Court to reverse the Magistrate Judge’s Order dated 
April 19, 2021. 
 
DATED:  June 1, 2021 
Respectfully submitted, 
 
/s/ STEVEN M. SIMPSON     
STEVEN M. SIMPSON* 
DC Bar No. 462553 
Pacific Legal Foundation 
3100 Clarendon Blvd., Suite 610 
Arlington, VA 22201 
Tel: (202) 888-6881 
SSimpson@pacificlegal.org 
 
/s/ JAMES C. RATHER, JR.  
JAMES C. RATHER, JR.  
Louisiana Bar No. 25839  
ALKER & RATHER, LLC  
4030 Lonesome Rd., Suite B  
Mandeville, LA 70448  
Tel: (985) 727-7501  
JRather@alker-rather.com 
LUKE A. WAKE* 
DC Bar No. 1009181 
ETHAN W. BLEVINS* 
Washington State Bar No. 48219 
HANNAH SELLS MARCLEY* 
Washington State Bar No. 52692 
Pacific Legal Foundation 
930 G Street 
Sacramento, CA 95814 
Tel: (916) 419-7111 
Fax: (916) 419-7747 
LWake@pacificlegal.org  
EBlevins@pacifclegal.org 
HMarcley@pacificlegal.org 
*Pro hac vice 
 
Attorneys for Plaintiffs 
 
 
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CERTIFICATE OF SERVICE 
I hereby certify I served this document today by filing it using the Court’s CM/ECF 
system, which will automatically notify all counsel of record. 
Dated:  June 1, 2021  
 
/s/ Steve M. Simpson 
 
 
 
Case 3:20-cv-01455-TAD-KDM   Document 59   Filed 06/02/21   Page 9 of 9 PageID #:  789

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