Shields v. Federation Internationale De Natation

Background

Following summary judgment in the defendant’s favor, the court ordered the plaintiffs to pay Fédération Internationale De Natation (FINA) $143,105.46 in taxable costs. The plaintiffs appealed the summary-judgment ruling to the Ninth Circuit. They then moved to stay, or pause, the Clerk’s taxation of costs until the appeal was resolved. FINA stated that it sought recovery only from International Swimming League, Ltd. (ISL), and not from the individual plaintiffs. The opinion notes that FINA changed its name to World Aquatics in January 2023.

Legal standard

Under Federal Rule of Civil Procedure 54(d)(1), costs other than attorney’s fees generally should be allowed to the prevailing party unless a statute, rule, or court order provides otherwise. The court explained that it has discretion to defer taxation of costs while an appeal on the merits is pending.

The court applied four factors used to decide whether to stay an order pending appeal: (1) whether the applicant has made a strong showing of likely success; (2) whether the applicant will suffer irreparable harm without a stay; (3) whether a stay would substantially injure other interested parties; and (4) where the public interest lies.

Analysis

The court concluded that, on balance, the factors favored staying taxation of costs. First, the plaintiffs showed a “fair prospect of success” on appeal. Second, the harm factor was neutral: because the amount at issue was small, ISL had not shown irreparable harm, and a stay would not irreparably injure FINA for the same reason. The public-interest factor was also neutral.

Disposition

Judge Jacqueline Scott Corley granted the plaintiffs’ motion to stay taxation of costs pending resolution of their Ninth Circuit appeal. The ruling concerned the timing of the cost taxation and did not resolve the pending appeal of the summary-judgment decision.