Labor insists right to intervene in plane crash survivors’ lawsuit

The CNMI Department of Labor has insisted that it is authorized to intervene into the lawsuit filed by two plane crash survivors against the owner of Tinian Dynasty Hotel and Casino.

Labor, though counsel assistant attorney general Michael Witry, said that it does not need an independent jurisdictional basis to request the U.S. District Court for the NMI to modify its order.

Plane crash survivors Tomoyuki Nagata and Dr. Jun Takimoto will not be prejudiced by Labor’s participation, said Witry in Labor’s reply yesterday to plaintiffs’ (survivors) opposition to its motion to intervene.

The government lawyer asserted that Labor is interested in this lawsuit because it has no way to enforce its orders so long as the federal court’s order stands.

The court order that Witry is referring to is U.S. District Court for the NMI Chief Judge Ramona V. Manglona’s March 10, 2016, order to Hong Kong Entertainment (Overseas) Investment Ltd., owner of Tinian Dynasty, to refrain from selling or transferring any of its property or assets, except in the normal course of business.

Manglona issued the order following the request by plaintiffs Nagata and Takimoto.

Witry said Labor should be allowed to intervene in this lawsuit for the limited purpose of modifying Manglona’s order regarding the transfer of HKE’s assets.

Takimoto and Mr. Nagata made such request to refrain from selling or transferring for order as they moved the court to enforce terms of their settlement agreement and the court’s order.

The survivors claimed that HKE owes them at least $1.3 million for breaching their settlement agreements.

In Labor’s motion to intervene, Labor Secretary Edith DeLeon Guerrero said she is worried that Manglona’s order could impede Labor’s ability to collect the remaining $416,241.37 in  judgment for liquidated damages against Tinian Dynasty for non-payment of wages to its employees.

DeLeon Guerrero has requested the court to allow Labor to intervene in the lawsuit for the limited purpose of ensuring that it can enforce Labor’s interest, and that of the unpaid Tinian Dynasty employees.

The survivors opposed Labor’s request.

Attorney Richard W. Pierce, counsel for the survivors, said CNMI law does not provide Labor with the authority to file in a federal court a collection claim arising from an agreement between a private party and the Labor secretary, or for that matter arising from an order of an administrative law judge in a CNMI proceeding.

Pierce said the Labor secretary would turn this civil action for personal injury into a bankruptcy proceeding.

In Labor’s reply yesterday, Witry said Labor is not seeking to litigate any claim on its merits.

Witry said Labor merely wants to modify the court’s order to allot it to pursue its claims in Commonwealth court.

Witry said once the order has been modified, Labor does not intend further litigation in federal court.

Takimoto and Nagata were among the seven passengers of a Piper Cherokee aircraft that crashed on a farm in Upper Dandan en route to Tinian on Aug. 11, 2006.  HKE settled the lawsuits filed by the survivors, including one filed by Takimoto and his family, and Nagata.