Pell v. Nunez, No. 23-55188 (9th Cir. 2024)
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The case revolves around a law student, Douglas Pell, who was studying at an unaccredited law school and was required to pass the First Year Law Students Exam (FYLSX) as a prerequisite to bar admission. Due to personal circumstances, Pell was unable to take the exam until his sixth opportunity. Despite passing on his first attempt, he was denied credit for 39 hours of courses he had completed after his first year of law school because he did not pass the FYLSX within the first three opportunities. Pell petitioned the State Bar of California for a hearing to excuse his delay and waive the forfeiture of his credits, but his petition was denied without explanation. Instead of petitioning the California Supreme Court to review the State Bar's decision, Pell filed a complaint in federal court.
The United States District Court for the Central District of California dismissed Pell's case, agreeing with the State Bar that Pell had not suffered a cognizable deprivation under federal law. The court held that the California Supreme Court has exclusive original jurisdiction over matters of admission, and challenges regarding the FYLSX or its authorizing statute must be brought by original petition to the California Supreme Court. The State Bar's denial of Pell's petition for a hearing and a waiver of his credit forfeiture was taken in the Bar's advisory role and did not result in a cognizable deprivation of a protected right or property interest.
On appeal, the United States Court of Appeals for the Ninth Circuit affirmed in part and reversed in part the district court's decision. The appellate court agreed that Pell's federal claims must be dismissed for failure to state a claim, as the State Bar's actions did not cause Pell to suffer a cognizable deprivation under federal law. However, the court held that the district court erred in dismissing the case for lack of subject matter jurisdiction. The court also reversed the dismissal of Pell's state law claim under California's Unruh Act and remanded the case to the district court to exercise its discretion over whether to retain supplemental jurisdiction or dismiss the claim without prejudice so that it may be pursued in state court.
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