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Ford Motor Co. v. Meredith Motor Company, Inc.

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APPEAL FROM THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF NEW HAMPSHIRE [Hon. Paul J. Barbadoro, U.S. District Judge]

Appellee Meredith Motor Company (“Meredith”) filed a protest with the New Hampshire Motor Vehicle Industry Board (the “Board”) pursuant to that state’s Motor Vehicle Franchise Act (the “Act”), N.H. Rev. Stat. Ann. � 357-C, following appellant Ford Motor Company’s (“Ford”) decision to relocate a competing dealer into Meredith’s market area. While that proceeding was pending, Ford filed this action in federal district court, seeking a declaration that the Act is not retroactive and, in the alternative, that retroactive application of the Act would violate the Contract and Due Process Clauses of the Constitution. The Board found Ford in violation of the Act and, shortly thereafter, the federal district court issued an order declaring that the Act was intended to be applied retroactively and that such application was constitutional. Ford appealed the Board’s decision to the New Hampshire Superior Court and brings this appeal from the decision of the district court. Because the constitutional questions raised in this appeal rest on questions of state law that may be resolved by the New Hampshire state courts, we hold that Pullman abstention is proper in this proceeding. See R.R. Comm’n v. Pullman Co., 312 U.S. 496 (1941).

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