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09-2901-cvMetropolitan Taxicab Board of Trade v. City of New York

1UNITED STATES COURT OF APPEALS2FOR THE SECOND CIRCUIT34August Term 20095(Argued:

January 22, 2010 Decided: July 27, 2010)6Docket No. 09-2901-cv7-----------------------------------------------------x8METROPOLITAN TAXICAB BOARD OF TRADE; MIDTOWN CAR LEASING9CORP.; BATH CAB CORP.; RONART LEASING CORP.; GEID CAB10CORP.; LINDEN MAINTENANCE CORP.; and ANN TAXI, INC.,1112Plaintiffs-Appellees,1314MIDTOWN OPERATING CORP., SWEET IRENE TRANSPORTATION CO.15INC., OSSMAN ALI, and KEVIN HEALY,1617Plaintiffs,1819-- v. --2021CITY OF NEW YORK; MICHAEL R. BLOOMBERG, in his official22capacity as Mayor of the City of New York; THE NEW YORK23CITY TAXICAB & LIMOUSINE COMMISSION; MATTHEW W. DAUS, in24his official capacity as Commissioner, Chair, and Chief25Executive Officer of the TLC; PETER SCHENKMAN, in his26official capacity as Assistant Commissioner of the TLC27for Safety & Emissions; ANDREW SALKIN, in his official28capacity as First Deputy Commissioner of TLC,2930 Defendants-Appellants.31-----------------------------------------------------x3233B e f o r e :WALKER, STRAUB, and LIVINGSTON, Circuit34Judges.35The City of New York, the New York City Taxicab & Limousine36Commission, and City officials appeal the grant of a preliminary37injunction by the United States District Court for the Southern38District of New York (Paul A. Crotty, Judge), that enjoined the39enforcement of the City’s recently amended lease rates for

-2-1taxicabs on the basis that the new rules are likely preempted2under the Energy Policy and Conservation Act (“EPCA”), 49 U.S.C.3§ 32919(a), and the Clean Air Act (“CAA”), 42 U.S.C. § 7543(a).4We conclude that the preliminary injunction was appropriate and5therefore AFFIRM.6ELIZABETH S. SAYLOR,7(Richard D. Emery and8Matthew D. Brinckerhoff,9on the brief), Emery10Celli Brinckerhoff &11Abady LLP, New York, NY,12for Plaintiffs-Appellees.1314SUSAN PAULSON (Francis F.15Caputo, Michael A.16Cardozo, Ramin Pejan, and17Adam Stolorow, on the18brief), Corporation19Counsel of the City of20New York, for Defendants-21Appellants.2223MARK B. STERN, Attorney,24Appellate Staff, Civil25Division, Department of26Justice, Washington, D.C.27(Robert S. Rivkin,28General Counsel,29Department of30Transportation; Scott31Fulton, General Counsel,32Environmental Protection33Agency; Tony West and34Ignacia S. Moreno,35Assistant Attorneys36General; Preet Bharara,37United States Attorney38for the Southern District39of New York; Jean-David40Barnea, Assistant United41States Attorney; R.42Justin Smith and Peter43McVeigh, Attorneys,

-3-1Environment and Natural2Resources Division; H.3Thomas Byron, III,4Attorney, Appellate5Staff, Civil Division,6Department of Justice, on7the brief), for the8United States as Amicus9Curiae.1011JOHN M. WALKER, JR., Circuit Judge:1213The Taxicab & Limousine Commission of New York City (“TLC”)14and several New York City officials (collectively, “the City”)15appeal the grant of a preliminary injunction by the United States16District Court for the Southern District of New York (Paul A.17Crotty, Judge), that enjoined the enforcement of the City’s18revisions to the maximum lease rates for taxicabs that19effectively shifted fuel costs from drivers of fleet taxis to20fleet owners to incentivize the use of hybrid-engine and fuel-21efficient vehicles. The district court held that the new rules22likely related to fuel economy standards and new vehicle23emissions and were thus preempted under the Energy Policy and24Conservation Act (“EPCA”), 49 U.S.C. § 32919(a), and the Clean25Air Act (“CAA”), 42 U.S.C. § 7543(a). Metro. Taxicab Bd. of26Trade v. City of N.Y., 633 F. Supp. 2d 83, 105-06 (S.D.N.Y.272009).28

BACKGROUND