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No. 10731177
United States Court of Appeals for the Ninth Circuit
Coastal Environmental Rights Foundation v. Naples Restaurant Group, LLC
No. 10731177 · Decided November 5, 2025
No. 10731177·Ninth Circuit · 2025·
FlawFinder last updated this page Apr. 2, 2026
Case Details
Court
United States Court of Appeals for the Ninth Circuit
Decided
November 5, 2025
Citation
No. 10731177
Disposition
See opinion text.
Full Opinion
FOR PUBLICATION
UNITED STATES COURT OF APPEALS
FOR THE NINTH CIRCUIT
COASTAL ENVIRONMENTAL No. 23-55469
RIGHTS FOUNDATION, a non-profit
corporation, D.C. No.
2:21-cv-09172-
Plaintiff-Appellant, MCS-JEM
v.
ORDER AND
NAPLES RESTAURANT GROUP, OPINION
LLC, a California Limited Liability
Company; JOHN MORRIS, an
individual,
Defendants-Appellees.
Appeal from the United States District Court
for the Central District of California
Mark C. Scarsi, District Judge, Presiding
Argued and Submitted May 6, 2024
Pasadena, California
Filed November 5, 2025
Before: Danielle J. Forrest and Patrick J. Bumatay, Circuit
2 COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC
Judges, and James Donato, * District Judge.
Opinion by Judge Bumatay;
Concurrence by Judge Donato
SUMMARY **
Environmental Law / Mootness
The panel filed (1) an order withdrawing a prior opinion
and dissent, replacing them with a new opinion and
concurrence, and denying a petition for rehearing en banc as
moot without prejudice; and (2) a new opinion (a) vacating
the district court’s judgment after a bench trial in favor of
Naples Restaurant Group and its owner John Morris in a
citizen suit brought by Coastal Environmental Rights
Foundation (“CERF”) under the Clean Water Act and
(b) remanding with instructions to the district court to
dismiss the case as moot.
The district court found that when Naples set off
fireworks without a permit, there was one “low break,” when
a firework exploded prematurely and fell into Alamitos Bay,
but that was not enough to establish that Naples was in
continuing violation of the Act. Naples later received a
National Pollutant Discharge Elimination System permit for
its annual fireworks event from the Los Angeles Region of
*
The Honorable James Donato, United States District Judge for the
Northern District of California, sitting by designation.
**
This summary constitutes no part of the opinion of the court. It has
been prepared by court staff for the convenience of the reader.
COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC 3
the California Regional Water Quality Control Board. The
panel issued an opinion holding that this general NDPES
permit mooted this case, but CERF alleged in a petition for
rehearing that Naples had failed to pay its annual permitting
fee. On limited remand, the district court found that Naples
had continued to pay the annual fee and that it was absolutely
clear that Naples’s discharge of pollutants without a permit
was not reasonably likely to recur.
The panel concluded that this case was moot. CERF’s
requests for declarative and injunctive relief would not
afford it any relief from current or future violations of the
Act, and it could not seek injunctive relief for wholly past
violations. Further, no ground existed to believe that
Naples’s Clean Water Act violations were reasonably likely
to recur. Agreeing with the Eighth Circuit, and disagreeing
with other circuits, the panel concluded that CERF’s
requests for civil penalties also were moot because they no
longer had a deterrent effect following the issuance of the
permit and under Friends of the Earth, Inc. v. Laidlaw Env’t
Servs., (TOC), Inc., 528 U.S. 167 (2000), which established
the same mootness standard for claims for civil penalties and
for injunctive relief under the Clean Water Act. Lastly,
CERF’s request for attorneys’ fees did not support its
continued interest in this action.
Concurring, District Judge Donato wrote that because
the district court’s additional factual determinations on
limited remand were not clearly erroneous, he agreed that
the case was moot.
4 COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC
COUNSEL
Livia B. Beaudin (argued), Amy C. Johnsgard, and Marco
A. Gonzalez, Coast Law Group, Encinitas, California; Xiao
Wang, University of Virginia Law School, Charlottesville,
Virginia; for Plaintiff-Appellant.
Anusha Pillay (argued), Collier Walsh Nakazawa LLP,
Seattle, Washington; Joseph A. Walsh II and Caroline J.
Wilson, Collier Walsh Nakazawa LLP, Long Beach,
California; for Defendants-Appellees.
Katelyn Kinn and Richard Smith, Smith & Lowney PLLC,
Seattle, Washington, for Amici Curiae Puget Soundkeeper
Alliance, Columbia Riverkeeper, and Los Angeles
Waterkeeper.
ORDER
The opinion filed on September 18, 2024, 115 F.4th 1217
(9th Cir. 2024), is hereby withdrawn and replaced with the
following opinion.
The petition for rehearing en banc, Dkt. No. 58, is denied
as moot without prejudice. Fed. R. App. P. 40; 9th Cir. R.
40-1. A petition for rehearing based on the new opinion may
be filed.
COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC 5
OPINION
BUMATAY, Circuit Judge:
This case started with a bang several years ago, when an
environmental group sued a restaurant and its owner over its
annual Fourth of July fireworks show. As any attendee of a
fireworks show knows, fireworks all have one thing in
common—they explode. They burst into different shapes
and sparkling colors. But sometimes fireworks
malfunction—some, hopefully only a few, fizzle on ignition.
Others result in what’s called a “low break”—exploding
prematurely lower in the air.
The environmental group, Coastal Environmental Rights
Foundation (“CERF”), ignited this litigation by alleging that
Naples Restaurant Group, LLC, and its owner John Morris
(collectively “Naples”), violated the Clean Water Act (“the
Act”) by setting off fireworks that fell into Alamitos Bay in
Los Angeles without a permit. Indeed, following a bench
trial, the district court found that one time a Naples firework
ended in a low break—falling into the water below. But the
district court held that wasn’t enough to establish Naples was
in continuing violation of the Act. CERF then appealed.
Ordinarily, we would review the merits of the district court’s
decision.
But other developments changed this case’s trajectory.
After the district court’s verdict, the Los Angeles Region of
the California Regional Water Quality Control Board (“the
Board”) began issuing a general permit—known as a
National Pollutant Discharge Elimination System
(“NPDES”) permit—authorizing public fireworks displays
over Los Angeles waters. Naples applied for and received
an NPDES permit for its annual event. While we may have
6 COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC
anticipated an appeal filled with pyrotechnic testimony,
launch angles, and video replays, we are now left with a
simple question: Does the general NPDES permit moot this
case?
To decide that issue, we assess whether the alleged Clean
Water Act violations could “reasonably be expected to
recur.” Gwaltney of Smithfield, Ltd. v. Chesapeake Bay
Found., Inc., 484 U.S. 49, 66 (1987) (simplified). When it’s
“absolutely clear that the allegedly wrongful behavior could
not reasonably be expected to recur,” a citizen suit under the
Clean Water Act becomes moot. Id. (simplified). That’s the
situation here. CERF alleged Naples violated the Act by
discharging pollutants without a permit, but Naples now has
a permit authorizing that very discharge. So this case is
moot, having fizzled like a malfunctioning firework.
I.
On the third of July each year, Naples hosts its “Big Bang
on the Bay” event at its restaurant, Boathouse on the Bay.
Naples has held the event every year since 2011, except
during 2020 because of COVID-19. As one might expect,
the fireworks show is the main feature of the event. Naples
launches hundreds of fireworks off a barge in Alamitos Bay
with the help of a licensed pyrotechnic operator.
CERF, a non-profit environmental organization, filed a
citizen suit under the Clean Water Act against Naples in
2021. CERF alleged that Naples violated the Act because,
without a permit, the fireworks Naples launched during its
annual Independence Day show fell into and polluted the
Alamitos Bay. CERF sought declarative and injunctive
relief, civil penalties, and attorneys’ fees.
COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC 7
Following a two-day bench trial, in April 2023, the
district court rendered a verdict for Naples. The district
court found that CERF established that one of Naples’s
fireworks from the 2022 show resulted in a “low break”—a
firework malfunction that caused its stars and embers to fall
into the Bay—which constituted the discharge of a pollutant
into the water. But the district court also found that CERF
proved no other fireworks resulted in a similar discharge. As
a result, there was insufficient evidence to conclude that
Naples’s violations were likely to continue. Thus, the
district court held that CERF failed to prove “continuous and
ongoing violations” of the Clean Water Act and dismissed
CERF’s claim without prejudice. CERF appealed.
Things changed a month after the district court’s ruling.
In May 2023, the Board began offering NPDES permits
authorizing “discharges from public firework
displays . . . into waters of the United States in the Los
Angeles Region.” Cal. Reg’l Water Quality Control Bd.,
Gen. Ord. R4-2023-0180 3 (2023) (“Fireworks General
Order”); see also 33 U.S.C. § 1342(b) (authorizing state
permit programs). The NPDES permit is available to “[a]ny
person who proposes to discharge pollutants from the public
display of fireworks to surface waters.” Fireworks General
Order at 3. Applicants like Naples, who “pose no significant
threat to water quality,” must follow the permit’s restrictions
and pay an annual fee according to a fee schedule, id.; see
Cal. Code Regs tit. 23, § 2200(a)(10). Naples applied for an
NPDES permit. In June 2023, the Board granted Naples a
permit.
We first issued an opinion in this case in September
2024. See Coastal Env’t Rts. Found. v. Naples Rest. Grp.,
115 F.4th 1217 (9th Cir. 2024). In that opinion, we held that
issuance of the NPDES permit made this case moot. Id. at
8 COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC
1221. But in its petition for rehearing of our initial decision,
CERF alleged that Naples had failed to pay its annual
permitting fee, citing an invoice marked “unpaid” issued to
Naples in November 2023. Naples disputed this allegation,
attributing the discrepancy to “an apparent clerical error.”
Given the factual dispute, we remanded the matter to the
district court solely to determine (1) whether Naples has
continuously paid the annual fee for the NPDES permit and
(2) whether it is absolutely clear that Naples’s alleged
violations of the Clean Water Act could not reasonably be
expected to recur.
On remand, the district court found that Naples has
continued to pay the annual fee for the NPDES permit. At
first, Naples paid $3,274 for the 2023 permit. Naples later
learned that the permit cost $3,576. After receiving notice
of the deficiency, Naples attested that it paid the balance.
The district court was satisfied that the payment discrepancy
was “an administrative error,” and, thus, “there is no
indication that [Naples] will not pay for the permit in the
future.” The district court further found that Naples has
shown compliance with “various other regulatory
requirements during the fireworks shows, such as water
quality monitoring investigative orders.” The district court
also didn’t fault Naples for not requesting an individual
NPDES permit before 2022 because the Board had never
issued such a permit for fireworks displays. Thus, the
district court concluded that “it is absolutely clear that
[Naples’s] discharge of pollutants without a permit is not
reasonably likely to recur.”
With all of these facts in mind, we now consider CERF’s
appeal anew.
COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC 9
II.
“The fundamentals of standing are well-known and
firmly rooted in American constitutional law.” FDA v. All.
for Hippocratic Med., 602 U.S. 367, 380 (2024). Most basic
among those principles is that a case or controversy must
include (1) an injury-in-fact, (2) caused by the defendant’s
acts, (3) that likely would be redressed by the requested
judicial relief. Id. Further, these conditions “must remain
extant at all stages of review, not merely at the time the
complaint is filed.” Decker v. Nw. Env’t Def. Ctr., 568 U.S.
597, 609 (2013) (simplified). Take redressability. “[W]hen
it is impossible for a court to grant any effectual relief
whatever to the prevailing party[,]” there is nothing left for
the court to do and the “case becomes moot.” Id.
(simplified). And Article III tasks us with an ongoing duty
to assess mootness, regardless of the parties’ views on the
question. See North Carolina v. Rice, 404 U.S. 244, 246
(1971) (“Although neither party has urged that this case is
moot, resolution of the question is essential if federal courts
are to function within their constitutional sphere of
authority.”). Finally, we review mootness de novo. Smith v.
Univ. of Wash., L. Sch., 233 F.3d 1188, 1193 (9th Cir. 2000).
A.
The Clean Water Act provides a comprehensive scheme
“to restore and maintain the chemical, physical, and
biological integrity of the Nation’s waters.” Gwaltney, 484
U.S. at 52 (quoting 33 U.S.C. § 1251(a)). To meet this goal,
the Act prohibits “the discharge of any pollutant” into
navigable waters unless expressly authorized. 33 U.S.C.
§ 1311(a). The Environmental Protection Agency (“EPA”)
or a State (with EPA approval) may authorize the discharge
10 COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC
of pollutants into navigable waters through an NPDES
permit. See id. § 1342(a)–(b).
The Act includes a citizen suit provision that authorizes
a citizen to commence a civil action “against any person . . .
who is alleged to be in violation of . . . an effluent standard
or limitation.” Id. § 1365(a)(1). The citizen plaintiff must
have “an interest which is or may be adversely affected” by
the defendant. Id. § 1365(g). “To impel future compliance
with the Act,” Friends of the Earth, Inc. v. Laidlaw Env’t
Servs., (TOC) Inc., 528 U.S. 167, 173 (2000), when a citizen
prevails, “the [district] court may order injunctive relief
and/or impose civil penalties payable to the United States
Treasury,” Gwaltney, 484 U.S. at 53 (citing 33 U.S.C.
§ 1365(a)); see also Laidlaw, 528 U.S. at 173. It also
permits attorneys’ fees for the prevailing party. 33 U.S.C.
§ 1365(d).
In Gwaltney and Laidlaw, the Supreme Court set
guideposts for when citizen suits brought under the Clean
Water Act become moot.
Start with Gwaltney. That case first looked at
jurisdiction over a citizen suit. Because § 1365(a)’s text
requires that a defendant “be in violation” of the Act, the
Court held that the citizen-suit provision only authorizes
suits to abate ongoing or future violations—it “does not
permit citizen suits for wholly past violations.” Gwaltney,
484 U.S. at 64. Thus, to authorize a citizen suit, the plaintiff
must allege that the defendant is in “a state of either
continuous or intermittent violation” so that “a reasonable
likelihood [exists] that [the defendant] will continue to
pollute in the future.” Id. at 57. Because of the ongoing-
violation requirement, Gwaltney recognized that mootness
could upend the citizen suit while the litigation remains
COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC 11
pending. See id. at 66–67. The allegations of ongoing
violations, for example, may cease to be true “because the
defendant begins to comply with the Act.” Id. at 66. In that
circumstance, “[l]ongstanding principles of
mootness . . . prevent the maintenance of suit when there is
no reasonable expectation that the wrong will be repeated.”
Id. (simplified). Given that it’s the defendant’s voluntary
actions which trigger mootness, the defendant’s burden to
prove mootness “is a heavy one.” Id. (simplified). To
dismiss a case as moot, “[t]he defendant must demonstrate
that it is ‘absolutely clear that the allegedly wrongful
behavior could not reasonably be expected to recur.’” Id.
(simplified); see also id. at 69 (Scalia, J., concurring)
(“When a company has violated an effluent standard or
limitation, it remains, for purposes of § [1365(a)] ‘in
violation’ of that standard or limitation so long as it has not
put in place remedial measures that clearly eliminate the
cause of the violation.”). This heavy burden “protects
defendants from the maintenance of suit under the Clean
Water Act based solely on violations wholly unconnected to
any present or future wrongdoing, while . . . also
protect[ing] plaintiffs from defendants who seek to evade
sanction by predictable protestations of repentance and
reform.” Id. at 66–67 (simplified). Simply put, once an
ongoing violation’s abatement is “absolutely clear,” then the
citizen suit becomes moot.
Next came Laidlaw. There, the Court first reiterated that
civil penalties “afford redress to citizen plaintiffs who are
injured or threatened with injury as a consequence of
ongoing unlawful conduct.” Laidlaw, 528 U.S. at 186
(emphasis added). But citizen plaintiffs may not seek civil
penalties to remedy past violations. Id. at 187–88
(recognizing that citizen plaintiffs “may not sue to assess
12 COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC
penalties for wholly past violations” (discussing Steel Co. v.
Citizens for a Better Env’t, 523 U.S. 83 (1998)); see also
Steel Co., 523 U.S. at 106–07. The Court explained that civil
penalties serve two purposes: (1) they “promote immediate
compliance by limiting the defendant’s economic incentive
to delay its attainment of permit limits,” and (2) “they also
deter future violations.” Laidlaw, 528 U.S. at 185. Even
then, the Court warned that “there may be a point at which
the deterrent effect of a claim for civil penalties becomes so
insubstantial or so remote that it cannot support citizen
standing.” Id. at 186.
Turning to mootness, Laidlaw reaffirmed that courts
must apply a “stringent” standard when deciding whether a
defendant’s voluntary cessation of the challenged conduct
has mooted a case. Id. at 189. In Laidlaw, the Fourth Circuit
determined a claim for civil penalties was moot “once the
defendant fully complied with the terms of its [NPDES]
permit and the plaintiff failed to appeal the denial of
equitable relief.” Id. at 173. But, in the Court’s view, the
Fourth Circuit failed to hold the defendant to the “heavy
burden” of showing that its “challenged conduct cannot
reasonably be expected to start up again.” See id. at 189
(simplified). Instead, the Fourth Circuit simply deemed the
suit for civil penalties moot because “citizen plaintiffs lack
standing to seek civil penalties for wholly past violations.”
Id. The Court explained that the Fourth Circuit’s mootness
analysis was insufficient. Id. at 189–90. Because mootness
is distinct from standing, it is not a matter of simply checking
to see if the defendant’s violation was abated. Id. Rather,
mootness also requires asking whether the possibility of the
defendant resuming the harmful conduct was “not too
speculative to overcome mootness” or whether resumption
of wrongful conduct was capable of repetition but evading
COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC 13
review. Id. Thus, the Court held that the case would only
become moot when later “events made it absolutely clear
that [the defendant’s] permit violations could not reasonably
be expected to recur.” Id. at 193. Because factual disputes
existed on that question, the Court remanded for the lower
courts to consider those facts. Id. at 193–94.
A few principles emerge from Gwaltney and Laidlaw.
First, the touchstone for civil penalties under the Clean
Water Act is deterrence. Civil penalties deter current or
future violations—they do not remedy wholly past
violations. Second, to establish mootness, the defendant
bears a heavy burden to show that it’s absolutely clear that
past violations could not reasonably be expected to recur.
We administer this test stringently. And finally, when
there’s no reasonable possibility of a future violation, civil
penalties lose their deterrent effect and become moot.
B.
Applying those principles, we turn to whether Naples’s
NPDES permit mooted CERF’s claims for relief. Recall that
CERF requested three types of relief in its complaint:
(1) declarative and injunctive relief, (2) civil penalties, and
(3) attorneys’ fees. We address each separately. See Powell
v. McCormack, 395 U.S. 486, 496 n.8 (1969) (“Where
several forms of relief are requested and one of the[] requests
subsequently becomes moot, the Court has [to] still
consider[] the remaining requests.”).
1.
First, CERF requested declaratory and injunctive relief.
CERF asked the district court to declare Naples “to have
violated and to be in violation of the Clean Water Act,” to
enjoin Naples “from discharging pollutants unless and until
14 COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC
[it] obtain[s] an NPDES permit,” and “to take appropriate
actions to restore the quality of [Alamitos Bay] impaired by
their unlawful discharge of pollutants.” “A request for
injunctive relief remains live” only when a “present harm”
is left to enjoin; “[p]ast exposure to illegal conduct” is
insufficient. Bayer v. Neiman Marcus Grp., Inc., 861 F.3d
853, 864 (9th Cir. 2017) (simplified). And a request for
declarative relief is no longer live when the declaration
sought “is not only worthless to [the plaintiffs], [but] is
seemingly worthless to all the world.” Steel Co., 523 U.S. at
106.
Even under Laidlaw’s “stringent” review for mootness,
CERF’s requests for declaratory and injunctive relief are
moot. Cf. 528 U.S. at 189. CERF alleged that Naples was
violating the Clean Water Act by discharging pollutants into
Alamitos Bay without an NPDES permit. But Naples has
carried its “heavy burden,” cf. id. (citation modified), to
show that—with its newly obtained permit that expressly
“authorize[s] discharges from public firework displays”—it
can no longer violate the Act by discharging pollutants
without a permit. With the permit, Naples may continue its
Fourth of July tradition in full compliance with the Act. So
any request for injunctive or declaratory relief would not
afford CERF any relief from current or future violations of
the Clean Water Act. Nor can CERF seek injunctive relief
for wholly past violations. See Gwaltney, 484 U.S. at 59
(“[T]he harm sought to be addressed by the citizen suit lies
in the present or the future, not in the past.”).
Further, no ground exists to believe that Naples’s alleged
Clean Water Act violations are reasonably likely to recur.
As the district court found, Naples has a demonstrated record
of complying with its regulatory requirements. Even CERF
conceded in its complaint that Naples complied with all
COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC 15
inquiries from the Board regarding the fireworks show. And
Naples applied for a general NPDES permit to cover its
annual firework show as soon as the Board started issuing
them. Rather than acquiring the permit to moot this case,
Naples promptly obtained the NPDES permit to comply with
its Clean Water Act obligations. And we agree with the
district court that it doesn’t matter that Naples never sought
an individual NPDES permit before the Board began issuing
general permits. That’s because the Board had never
required a fireworks operator to obtain an individual NPDES
permit and had never issued an individual NPDES permit for
fireworks displays. Thus, an individual NPDES permit was
both “unnecessary and unavailable” before this litigation.
And it would be “too speculative” to think that Naples
would somehow let its NPDES permit lapse. See Laidlaw,
528 U.S. at 190. The district court found that Naples never
stopped paying for the permit’s annual fee. Although CERF
brought evidence that Naples had not paid the 2023 permit
fee, the district court established that “an administrative
error” caused the 2023 payment discrepancy and that Naples
quickly remedied the issue once it was brought to its
attention. The district court also discerned that “there is no
indication that [Naples] will not pay for the permit in the
future.” Aside from the now-resolved 2023 fee discrepancy,
CERF provides no evidence to support its view that Naples
may lose its permit. And even assuming otherwise, the
potential loss of the permit would not be likely to evade
review. See id. (noting the exception to mootness for actions
capable of repetition yet evading review).
Finally, this isn’t a case of an NPDES-permit holder
violating the permit’s existing restrictions, which may raise
the question of the permit holder’s future compliance. Even
if Naples were to breach its NPDES permit requirements,
16 COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC
that violation would be a separate claim and would not fall
under the Clean Water Act violation CERF alleged in its
complaint. See 33 U.S.C. §§ 1319(a)(1), 1342(b)(7)
(providing an action against those who violate the conditions
of an NPDES permit).
We thus agree with the district court that it is absolutely
clear that Naples’s alleged wrongful behavior could not
reasonably be expected to recur. By obtaining a general
NPDES permit, Naples has shown that a future discharge of
a pollutant without a permit is not reasonably expected. This
moots CERF’s request for injunctive and declaratory relief.
2.
Next, CERF sought civil penalties for Naples’s alleged
Clean Water Act violations. The Act provides for civil
penalties “not to exceed $25,000 per day for each violation”
that are payable to the U.S. Treasury. See 33 U.S.C.
§§ 1365(a), 1319(d); see also Gwaltney, 484 U.S. at 53.
CERF argues that its claim for civil penalties would provide
CERF with effective relief, which keeps this suit alive, even
if it’s absolutely clear that Naples will not discharge
fireworks without a permit again. While this is a harder
question, we ultimately disagree.
We have not definitively addressed whether a request for
civil penalties under the Clean Water Act becomes moot
when a defendant obtains an NPDES permit that moots
injunctive relief. This question turns on whether we should
treat civil penalties differently than injunctive relief for
justiciability purposes. The question has divided other
circuit courts.
On one side, the Second, Third, Fourth, Seventh, and
Eleventh Circuits all view civil penalties as distinct from
COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC 17
injunctive relief and agree that, even when injunctive relief
becomes inappropriate, any request for civil penalties
defeats mootness. See, e.g., Atl. States Legal Found., Inc. v.
Pan Am. Tanning Corp., 993 F.2d 1017, 1021 (2d Cir. 1993)
(“We hold . . . that a defendant’s ability to show, after suit is
filed but before judgment is entered, that it has come into
compliance with limits on the discharge of pollutants will
not render a citizen suit for civil penalties moot.”); Nat. Res.
Def. Council, Inc. v. Texaco Ref. and Mktg., Inc., 2 F.3d 493,
503 (3rd Cir. 1993) (“[We] hold that claims for damages are
not moot because an intervening NPDES permit eliminates
any reasonable possibility that [the defendant] will continue
to violate specified parameters.”); Chesapeake Bay Found.,
Inc. v. Gwaltney of Smithfield, Ltd., 890 F.2d 690, 696 (4th
Cir. 1989) (“[T]he penalty factor keeps the controversy
alive . . . even though the defendant has come into
compliance and . . . civil penalties [are] assessed for past
acts of pollution.”); Atl. States Legal Found., Inc. v. Stroh
Die Casting Co., 116 F.3d 814, 820 (7th Cir. 1997) (“If the
violation is cured at some point while the suit is
pending . . . the case nevertheless does not become moot”
because even if “the citizen plaintiffs would lose their right
to an injunction,” civil penalties “would be recoverable”);
Atl. States Legal Found., Inc. v. Tyson Foods, Inc., 897 F.2d
1128, 1135 (11th Cir. 1990) (“[T]he mooting of injunctive
relief will not moot the request for civil penalties as long as
such penalties were rightfully sought at the time the suit was
filed.”).
Only the Eighth Circuit has split with the other circuits.
See Miss. River Revival, Inc. v. City of Minneapolis, 319
F.3d 1013 (8th Cir. 2003). There, as here, plaintiffs accused
the defendants of discharging a pollutant without an NPDES
permit. Id. at 1015. The defendants later obtained the
18 COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC
permits. Id. Based on Laidlaw, the Eighth Circuit applied
the same mootness inquiry to both the request for civil
penalties and injunctive relief. Id. at 1015–16. Like with
injunctive relief, the Eighth Circuit ruled that claims for civil
penalties are moot when “it [is] absolutely clear that the
allegedly wrongful behavior could not reasonably be
expected to recur.” Id. at 1016 (quoting Laidlaw, 528 U.S.
at 189). Thus, the Eighth Circuit held that “citizen suit
plaintiffs lack Article III standing to recover civil penalties
for past violations because the payment of money to the
United States Treasury does not redress any injury to them
caused by the violations.” Id.
We agree with the Eighth Circuit for several reasons.
First, only the Eighth Circuit addressed the same type of
Clean Water Act violation alleged here—discharging
pollutants without a permit. All the other circuit cases
involved allegations that the defendant violated an existing
NPDES permit but later came into compliance. As we stated
earlier, that factual scenario implicates different concerns for
continued compliance with the Act. Thus, only the Eighth
Circuit spoke to the same factual allegations as here.
Second, only the Eighth Circuit decided the issue after
Laidlaw. The Eighth Circuit viewed Laidlaw as
“overrul[ing] these [other circuit] decisions, at least in part,
by equating citizen suit claims for civil penalties and claims
for injunctive relief for mootness purposes.” Id. at 1016
n.3. 1 Like the Eighth Circuit, we acknowledge the weight of
1
After Laidlaw, the Second Circuit declined to find a Clean Water Act
citizen suit moot after the defendant obtained an NPDES permit based
on the incompleteness of the factual record. See Bldg. and Const. Trades
COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC 19
these other circuit court cases, but their persuasive strength
has changed after Laidlaw.
Finally, we concur with the Eighth Circuit that Laidlaw
established the same mootness standard for claims for civil
penalties and for injunctive relief under the Clean Water Act.
Our understanding of Laidlaw’s mootness standard comes
from its discussion of the purpose of civil penalties. The
Court explained that civil penalties “encourage defendants
to discontinue current violations and deter them from
committing future ones.” Laidlaw, 528 U.S. at 186. So even
if a defendant comes into compliance with the Act after the
start of litigation—thereby mooting injunctive relief—civil
penalties still may deter “the prospect of future violations.”
Id. at 193. Indeed, sometimes a defendant’s post-litigation
actions may not “make[] future . . . violations any less likely,
deterrence any less necessary, or the deterrent effect of civil
penalties any less potent.” Ecological Rts. Found. v. Pac.
Lumber Co., 230 F.3d 1141, 1153 (9th Cir. 2000). So
coming into compliance with the Act doesn’t necessarily
extinguish the need for civil penalties. But when post-
litigation events “ma[k]e it absolutely clear that the
[defendant’s] violations could not reasonably be expected to
recur,” then claims for civil penalties lose their deterrent
effect and become moot. Laidlaw, 528 U.S. at 193. Put
simply, Laidlaw’s mootness rule is clear: even when a
defendant’s compliance moots injunctive relief, civil
penalties remain available to deter future violations, unless
Council of Buffalo v. Downtown Dev., 448 F.3d 138, 152 (2d Cir. 2006)
(“We cannot say, based on the current record, . . . that it is ‘absolutely
clear’ that the cause of action asserted as to alleged violations is moot,
because it is unclear whether the permit allegedly
obtained . . . covers . . . all those areas where the alleged violations had
been occurring.”). We have none of these factual disputes here.
20 COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC
it’s absolutely clear that the alleged violation could not
reasonably be expected to recur. 2 Id.
And Laidlaw’s mootness standard makes constitutional
sense. Article III requires parties to maintain a “continuing
interest” in the litigation. See Laidlaw, 528 U.S. at 192. The
Clean Water Act also requires citizen plaintiffs “hav[e] an
interest which is or may be adversely affected.” 33 U.S.C.
§ 1365(g). Restricting civil penalties to only cases where
they may deter future violations ensures both compliance
with Article III and the Act. See Gwaltney, 484 U.S. at 70
(Scalia, J., concurring in part and concurring in the
judgment) (“The constitutional requirement for . . . injury is
reflected in the statute itself, which defines ‘citizen’ as one
2
This reading reflects Justice Scalia’s understanding of the Laidlaw
majority. See Laidlaw, 528 U.S. at 211 n.5 (Scalia, J., dissenting)
(“[T]he opinion for the Court appears to recognize that a claim for civil
penalties is moot when it is clear that no future injury to the plaintiff at
the hands of the defendant can occur.”). On the other hand, Justice
Stevens disagreed. See id. at 196 (Stevens, J., concurring)
(“[P]etitioners’ claim for civil penalties would not be moot even if it were
absolutely clear that respondent’s violations could not reasonably be
expected to recur because respondent achieved substantial compliance
with its permit requirements after petitioners filed their complaint but
before the District Court entered judgment.”). Justice Stevens’s reading
seemingly conflicts with the majority’s statement that the defendant’s
“facility closure, like [its] earlier achievement of substantial compliance
with its permit requirements, might moot the case” and the Court’s
direction for the lower courts to determine, as a factual matter, the effect
of the defendant’s compliance actions “on the prospect of future
violations.” Id. at 193–94. The majority’s discussion there would be
irrelevant if, as Justice Stevens suggested, the request for civil penalties
could never be mooted. In any case, Justice Stevens’s statement was
limited to defendants who violate the terms of an existing NPDES
permit—not defendants who discharge without a permit but later obtain
a permit, as here.
COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC 21
who has ‘an interest which is or may be adversely affected.’”
(quoting 33 U.S.C. § 1365(g))). Otherwise, when no threat
of future violations exists, the citizen plaintiff is not
reasonably expected to suffer a future injury and so retains
no constitutionally recognized interest in civil penalties,
particularly because civil penalties go to the U.S. Treasury.
In other words, when Clean Water Act violations aren’t
reasonably expected to recur, civil penalties lose their
deterrent effect and they no longer remedy a citizen
plaintiff’s injury, which means the citizen plaintiff has no
cognizable Article III interest.
CERF asserts that Decker contradicts this reading of
Laidlaw. We disagree. In Decker, the Supreme Court
confronted whether a citizen suit was mooted after the EPA
amended stormwater regulations shortly before oral
argument in the case. See 568 U.S. at 604, 609. Under the
old regulation, the Ninth Circuit held that the defendant
needed to obtain an NPDES permit to discharge. Id. at 607.
After the rule change, the parties contested whether a permit
was still required. Id. at 605. The citizen plaintiff argued
the defendant violated the Act under both the earlier and
amended regulations. Id. at 610. Thus, the Court said that
“a live controversy continues to exist regarding whether [the
defendant] may be held liable for unlawful discharges under
the earlier version of the [stormwater regulation].” Id.
at 609–10. So, Decker stands for the unremarkable
proposition that a “case becomes moot only when it is
impossible for a court to grant any effectual relief.” Id.
at 609 (simplified) (emphasis added). Unlike here, no court
in Decker found that the defendant complied with the Clean
Water Act. But Naples has definitively remedied the alleged
violation of discharging a pollutant without a permit. That
key factual difference allowed for both civil penalties and
22 COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC
“injunctive relief for both past and ongoing violations” in
Decker, but it moots that same relief here. Cf. id. at 610.
We also reject CERF’s assertion that a trio of Ninth
Circuit cases—Ecological Rts., 230 F.3d 1141; S. F.
BayKeeper, Inc. v. Tosco Corp., 309 F.3d 1153 (9th Cir.
2002); and United States v. Able Time, Inc., 545 F.3d 824
(9th Cir. 2008)—keep this case alive. None of those cases
disturb our conclusion that the civil penalties here are moot
because they no longer have a deterrent effect.
In Ecological Rights, the defendant’s violations of an
earlier permit raised the prospect of continuing violations
under a later permit. See 230 F.3d at 1153. Indeed, the
defendant likely continued to violate both permits given that
the new permit was “stricter.” Id. So the later permit did not
moot the case because civil penalties could discourage future
violations and could offer redress to the citizen plaintiff.
In San Francisco BayKeeper, we considered “whether
[a] plaintiff can maintain a suit against a defendant firm that
no longer operates the polluting facility at issue.” 309 F.3d
at 1155. We concluded that civil penalties would still serve
an “important deterrent function” for future owners because
the “polluting facility . . . continue[d] to operate.” Id. at
1155; see also id. at 1160.
And in Able Time—which was not a citizen suit and
which involved civil penalties under a different statute, 19
U.S.C. § 1526(f)—we simply determined that the action was
“not moot because the civil penalty remedy [was] still
available.” 545 F.3d at 828. That case is thus unrelated to
whether a Clean Water Act citizen suit becomes moot once
civil penalties lose their deterrent value.
COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC 23
In sum, following Laidlaw, a claim for civil penalties is
moot when the defendant shows that it’s absolutely clear that
the alleged violation could not reasonably be expected to
recur. And here, when CERF’s only claim is that Naples
violated the Clean Water Act by discharging fireworks
without an NPDES permit, Naples’s acquisition of a permit
makes it clear that this violation is not reasonably expected
to recur. This moots CERF’s claim for civil penalties.
3.
Lastly, CERF argues its request for attorneys’ fees
supports its continued interest in this action. Generally,
“[a]n interest in attorney’s fees is . . . insufficient to create
an Article III case or controversy where none exists on the
merits of the underlying claim.” Steel Co., 523 U.S. at 107
(simplified). Admittedly, we’ve not always followed that
rule when attorneys’ fees could compel compliance with the
Clean Water Act. In one case, we held that “[b]ecause [the
citizen plaintiff] claim[ed] entitlement to attorney’s fees
based on the alleged violations of the old permit, and
[sought] to enforce the water quality standards
independently of the effluent limitations, a live and genuine
controversy remain[ed], so the case [was] not moot.” Nw.
Env’tl Advocates v. City of Portland, 56 F.3d 979, 990 (9th
Cir. 1995). But again, that case involved a different type of
claim than the one here: the City of Portland allegedly
violated the conditions of its existing NPDES permit, so the
issuance of a new permit didn’t remedy that alleged wrong.
Id. at 982, 990. As that is not the case here, we see no reason
to depart from the rule that attorneys’ fees cannot resuscitate
an otherwise-moot case.
24 COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC
III.
Because the Clean Water Act violation that CERF
contends Naples committed can’t reasonably be expected to
recur, this case is moot. We vacate and remand with
instructions to the district court to dismiss this case as moot.
Each party shall bear its own costs on appeal.
VACATED AND REMANDED.
DONATO, District Judge, concurring:
The new opinion replaces the original opinion from
which I dissented. My view in the dissent was that the
majority was rushing to declare the case moot without
adequate support in the record, which I concluded was
inconsistent with governing law. See, e.g., Friends of the
Earth, Inc. v. Laidlaw Envtl. Servs. (TOC), Inc., 528 U.S.
167, 193-94 (2000) (acknowledging that while the closure of
the incinerator facility at issue “might moot the case,”
nevertheless remanding the case for further consideration
because “[t]he effect of both Laidlaw’s compliance and the
facility closure on the prospect of future violations is a
disputed factual matter.”).
The record has changed. We remanded the case to the
district court on a limited basis, and the district court has now
made additional factual determinations on two issues:
(1) whether Naples has continued to pay the annual fee for
the National Pollutant Discharge Elimination System permit
to the Los Angeles Regional Water Quality Control Board,
and (2) whether “it is absolutely clear” that Naples’s alleged
violations of the Clean Water Act “could not reasonably be
COASTAL ENVTL. RIGHTS FOUND. V. NAPLES REST. GROUP, LLC 25
expected to recur.” Gwaltney of Smithfield, Ltd. v.
Chesapeake Bay Found., Inc., 484 U.S. 49, 66 (1987).
The district court determined that Naples “has continued
to pay the annual fee for the NPDES permit” after receiving
additional evidence on remand. The district court concluded
that “it is absolutely clear that [Naples’s] discharge of
pollutants without a permit is not reasonably likely to recur,”
based on its review of the parties’ submissions on remand
and the trial record. Because I see no clear error in these
findings, I concur that this case is moot. See Wolfson v.
Brammer, 616 F.3d 1045, 1053 (9th Cir. 2010) (“We review
the district court’s dismissal on the grounds of mootness de
novo, as a dismissal for lack of subject matter jurisdiction.
We review factual determinations underlying the district
court’s decision for clear error.” (citations omitted)).
Plain English Summary
FOR PUBLICATION UNITED STATES COURT OF APPEALS FOR THE NINTH CIRCUIT COASTAL ENVIRONMENTAL No.
Key Points
01FOR PUBLICATION UNITED STATES COURT OF APPEALS FOR THE NINTH CIRCUIT COASTAL ENVIRONMENTAL No.
02ORDER AND NAPLES RESTAURANT GROUP, OPINION LLC, a California Limited Liability Company; JOHN MORRIS, an individual, Defendants-Appellees.
03Scarsi, District Judge, Presiding Argued and Submitted May 6, 2024 Pasadena, California Filed November 5, 2025 Before: Danielle J.
04Opinion by Judge Bumatay; Concurrence by Judge Donato SUMMARY ** Environmental Law / Mootness The panel filed (1) an order withdrawing a prior opinion and dissent, replacing them with a new opinion and concurrence, and denying a petition fo
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FOR PUBLICATION UNITED STATES COURT OF APPEALS FOR THE NINTH CIRCUIT COASTAL ENVIRONMENTAL No.
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