Federal Judge William Q. Hayes of the Southern District of California, sitting by designation, said the motion to lift the stay order is “denied without prejudice” and may be re-filed “based upon a showing of changed facts or circumstances relevant to the court’s reasons for imposing the stay.”
Hayes ruled on the motion on Aug. 19, 2011 after hearing arguments from both parties on July 21, 2011. The written ruling was filed in federal court on Sept. 8, 2011.
In his ruling, Hayes said the federal court determined on Jan. 25, 2010 that a stay was necessary “to afford proper deference to the state court proceedings.”
“Plaintiffs have not come forward with any facts or circumstances that address the court’s reasons for imposing the stay or show that the stay should be lifted at this stage in the proceedings,” he added.
The defendants have appealed the Jan. 25, 2010 federal court order to the U.S. Court of Appeals for the Ninth Circuit, which denied it.
Last May, the plaintiffs through attorney Bruce Jorgensen filed a motion for a status conference and to lift the stay.
Named in this lawsuit were Retirement Fund board member-trustees Pedro Q. Dela Cruz, Sixto K. Igisomar, and Adelina C. Roberto in their official capacities; the CNMI government; Gov. Benigno R. Fitial in his official capacity; the CNMI Department of Finance; Robert Schrack in his official capacity as then-acting Finance secretary; the Fund; and 95 CNMI Does.
On Sept. 8, 2011, the Commonwealth Retirement Association, as intervener, informed the federal court of the “automatic removal” of the Fund’s lawsuit against the government from the CNMI Superior Court.
CRA, represented by board member Sapuro Rayphand, filed the written notice of removal in federal court.
Jorgensen will be representing CRA in this matter, and is expected to file a motion to consolidate this action and the lawsuit filed in federal court by two anonymous retirees.
