Table of Contents: FEAR Asset Forfeiture Defense Manual

Introduction...................................................................................................................................... 1

Chapter 00

Forfeiture litigation after CAFRA

00A. The Hyde bill passed, but it’s not the reform bill we lobbied for........................................................ 8

00A01. CAFRA’s improved procedures.................................................................................... 10

00A01a. It abolishes the cost bond in most forfeiture cases............................................ 10

00A01b. CAFRA puts the burden of proof on the government........................................ 10

00A01c. CAFRA allows the court to appoint counsel for some indigent claimants............. 10

00A01c01. Right to counsel - forfeiture of residence......................................... 11

00A01c02. Discretion to appoint counsel: court-appointed counsel in pending federal criminal case 12

00A01c03. Compensation for court appointed cases.......................................... 13

00A01c04. Other authority for court-appointment of counsel.............................. 14

00A01c05. Attorney’s fee award provisions...................................................... 14

00A01d. CAFRA allows property to be returned to the owner pending trial on a showing of substantial hardship.................................................................................................................... 15

00A01e. CAFRA allows suits for damages to property while detained.............................. 15

00A01f. CAFRA lengthens claimants’ deadlines and (finally!) imposes some deadlines on the government 16

00A02. CAFRA’s expanded forfeiture powers for law enforcement............................................. 17

00A02a. Enforcement of foreign forfeiture judgment..................................................... 17

00A02b. Penalties for secreting assets to avoid forfeiture............................................... 18

00A02c. Mandatory waiver of foreign bank secrecy rights............................................. 19

00A02d. “Relaxing” the government’s statute of limitations............................................ 19

00A03. Abuses CAFRA did not address.................................................................................... 20

00A03a. Taking the income away from the police.......................................................... 20

00A03b. Lack of oversight over forfeiture programs...................................................... 22

00A03b01. The problem................................................................................. 22

00A03b02. CAFRA’s non-solution to the problem............................................. 23

00A03c. Abolition of federal adoption of state forfeitures............................................... 24

00A03d. Requirement of a criminal conviction.............................................................. 25

00B. How to tell whether CAFRA applies.............................................................................................. 26

00B01. The “Customs carve-out”............................................................................................ 26

00B02. CAFRA reforms apply to forfeiture proceedings “commenced” after 8/23/2000................. 27

00B02a. The Sixth Circuit says CAFRA’s reforms apply to pending cases!...................... 27

00B02b. The government’s probable argument.............................................................. 29

00C. The USA Patriot Act................................................................................................................... 30

00C01. Patriot Act expands forfeiture & law enforcement powers.............................................. 31

00C02. Applicability of CAFRA to Patriot Act forfeitures........................................................... 33

00D. Other laws and rules that apply to forfeiture.................................................................................. 34

00D03. Federal Rules of Civil Procedure.................................................................................. 35

00D04. Federal Rules of Criminal Procedure............................................................................. 36

00D05. Local rules of procedure for the district court................................................................ 36

00D06. State laws re: interests in property................................................................................ 37

00D07. The Constitution of the United States............................................................................ 37

Chapter 01

Basic principles of forfeiture

01A. Historical origins of forfeiture’s quirky procedures........................................................................ 40

01A01. Exodus, attainders, deodands and the goring ox.............................................................. 41

01A01a. Biblical origin................................................................................................ 41

01A01b. English common law..................................................................................... 42

01A01b01. Forfeiture of estate, “attainder”....................................................... 43

01A01b02. Statutory and common law forfeitures............................................. 43

01A01b03. Deodands..................................................................................... 43

01A01c. England’s Navigation Acts............................................................................. 43

01A02. Forfeiture comes to America........................................................................................ 44

01A02a. Colonial times............................................................................................... 44

01A02b. The American Revolution............................................................................... 44

01A02c. Early-American forfeiture law........................................................................ 45

01A02c01. Admiralty law - in rem seizures of pirate and enemy ships.................. 45

01A02c02. Customs law................................................................................. 45

01A02c03. If founded on guilt of individual, a conviction was required................ 45

01A02d. Civil War Confiscation Acts........................................................................... 46

01A02d01. Forfeiture constitutional only if applied to enemies............................. 46

01A02d02. Quasi-criminal nature of forfeiture................................................... 47

01A03. Twentieth century forfeiture........................................................................................ 47

01A03a. Prohibition-era forfeitures.............................................................................. 47

01A03b. World War II era forfeiture............................................................................ 48

01A03b01. Forfeiture in Nazi Germany............................................................ 48

01A03b02. Forfeiture in the U.S. during World War II....................................... 50

01A03c. RICO & modern forfeiture laws..................................................................... 53

01A03d. 1984 and the War on Drugs........................................................................... 54

01B. Civil vs. criminal forfeitures......................................................................................................... 55

01B01. Criminal forfeiture....................................................................................................... 56

01B02. Civil forfeiture............................................................................................................ 56

01C. Important Supreme Court cases from the past decade.................................................................... 60

01C01. Austin & Alexander: Eighth Amendment limits excessive forfeitures................................. 61

01C02. Buena Vista: government’s interest does not vest until final order of forfeiture.................. 63

01C04. Libretti: no factual nexus required for plea bargain forfeiting property.............................. 66

01C05. Bennis v. Michigan: Innocence is no excuse.................................................................. 67

01C06. Ursery/$405K: Double Jeopardy doublespeak................................................................. 70

01C07. Bajakajian: finally a test for proportionality................................................................... 74

01D. Applicability of the Bill of Rights to forfeitures.............................................................................. 75

01D01. Boyd: constitutional implications of the quasi-criminal nature of forfeitures....................... 75

01D02. Kennedy & Ward: “Civil” or “criminal” label as defining rights......................................... 76

01D03. Austin: Forfeitures that “serve in part to punish” trigger Eighth Amendment proportionality requirement 78

01D04. “Punitive” vs. “remedial” forfeitures............................................................................. 80

01D05. Mathews v. Eldridge: due process test.......................................................................... 80

01D06. Fifth Amendment “takings” of property without just compensation.................................. 83

Chapter 02

Statutory Grounds for Forfeiture

02A. General principles....................................................................................................................... 87

02A01. Statute authorizing forfeiture required........................................................................... 87

02A02. The government must allege and prove each “element”................................................... 87

02A03. Attempts, aiding & abetting, and conspiracy.................................................................. 88

02A03a. Aiding and abetting........................................................................................ 88

02A03b. Attempted crimes.......................................................................................... 89

02A03c. Conspiracies................................................................................................. 89

02A03c01. Overt act requirement.................................................................... 91

02A03c02. Withdrawal from the conspiracy..................................................... 91

02A03c03. Why prosecutors love conspiracy law............................................. 92

02B. The catch-all forfeiture statutes – 18 U.S.C. §§ 981 & 982............................................................. 93

02B01. Civil forfeiture under 18 U.S.C. § 981........................................................................... 94

02B01a. “Proceeds” defined for purposes of § 981........................................................ 97

02B01b. Substitute assets provision added by USA Patriot Act........................................ 97

02B02. Criminal forfeiture under 18 U.S.C. § 982...................................................................... 98

02C. Drug offense forfeitures............................................................................................................ 101

02C01. Civil forfeiture for drug offenses – 21 U.S.C. § 881...................................................... 101

02C01a. Elements of felony drug offenses.................................................................. 103

02C01a01. Possession.................................................................................. 103

02C01a02. Possession with intent to distribute................................................ 103

02C01a03. Distribution................................................................................. 104

02C01a04. Manufacture................................................................................ 104

02C01a05. Importation................................................................................. 104

02C01a06. Maintaining or establishing a manufacturing operation...................... 105

02C01a07. Drug conspiracy.......................................................................... 105

02C01b. Property that may be forfeited under § 881.................................................... 106

02C02. Criminal forfeiture provisions of the drug laws............................................................. 107

02C02a. 21 U.S.C. § 853.......................................................................................... 107

02C02b. Continuing Criminal Enterprise – 21 U.S.C. § 848........................................... 108

02C02c. Transporting contraband – 49 U.S.C. § 781................................................... 109

02D. Money laundering offenses........................................................................................................ 109

02D01. Financial transaction to promote unlawful activity – 18 U.S.C. § 1956(a)(1)(A)............... 110

02D02. Laundering Monetary Instruments – 18 U.S.C. § 1956(a)(1)(B)..................................... 111

02D03. Transporting Funds to Promote Unlawful Activity – 18 U.S.C. § 1956(a)(2)(A).............. 111

02D04. Transporting Monetary Instruments for the Purpose of Laundering – 18 U.S.C. § 1956(a)(2)(B) 112

02D05. Laundering of monetary instruments - 18 U.S.C. § 1956(a)(3)(A)-(B)............................ 112

02D06. Monetary transactions involving criminally derived property from “specified unlawful activity” – 18 U.S.C. § 1957.............................................................................................................................. 112

02D06a. “Specified unlawful activity” defined............................................................. 113

02D06b. The tracing requirement............................................................................... 115

02E. Offenses involving fraud........................................................................................................... 117

02E01. Mail fraud – 18 U.S.C. § 1341.................................................................................... 117

02E02. Wire fraud – 18 U.S.C. § 1343................................................................................... 118

02E03. Bank fraud – 18 U.S.C. § 1344................................................................................... 119

02E04. Bankruptcy fraud - 18 U.S.C. § 152............................................................................ 120

02E05. Credit card fraud - 18 U.S.C. § 1029........................................................................... 121

02E06. Computer fraud - 18 U.S.C. § 1030............................................................................ 121

02E06a. Computer fraud against U.S. - 18 U.S.C. § 1030(a)(1)..................................... 122

02E06b. Computer hacking (obtaining information from financial institution or government computer) - 18 U.S.C. § 1030(a)(2)(A)........................................................................................... 122

02E06c. Computer hacking into “protected computers” and other offenses in 18 U.S.C. § 1030(a) & (e) 122

02E07. Major fraud against the U.S. - 18 U.S.C. § 1031........................................................... 123

02E08. Other types of fraud that trigger forfeiture................................................................... 123

02F. False statement offenses ........................................................................................................... 124

02F01. False statement on a loan application - 18 U.S.C. § 1014............................................... 124

02F02. False entry with intent to defraud a bank – 18 U.S.C. § 1006......................................... 126

02F03. False statement to a government agency - 18 U.S.C. § 1001.......................................... 127

02G. Financial transaction reporting violations..................................................................................... 127

02G01. Currency Transaction Report (CTR) violations - 31 U.S.C. § 5313................................ 128

02G01a. Elements triggering CTR filing requirement.................................................... 128

02G01b. “Financial institution” defined....................................................................... 129

02G01c. Multiple transactions................................................................................... 130

02G01d. Persons exempt from reporting requirements................................................. 130

02G02. Cash & Monetary Instrument Report (CMIR) violations................................................ 132

02G02a. Elements of CMIR violation.......................................................................... 133

02G02b. Mistakes in the report.................................................................................. 134

02G02c. When the reporting requirement kicks in........................................................ 134

02G02d. Is knowledge of the reporting requirement an element?................................... 135

02G02e. Persons exempt from the CMIR reporting requirement.................................... 137

02G03. Structuring transactions to avoid reporting requirements – 31 U.S.C. § 5324................... 138

02G03a. Elements of structuring................................................................................ 138

02G03b. Property forfeitable because of structuring.................................................... 139

02H. Customs (import/export/smuggling) forfeitures............................................................................ 139

02I. Racketeer Influenced Criminal Organization Act (RICO) – 18 U.S.C. § 1961 et seq.......................... 140

02I01. Elements of RICO criminal offense.............................................................................. 141

O2I01a. “Racketeering activity”................................................................................. 142

02I01a01. “Racketeering activity” defined - pre-Patriot Act............................... 142

02I01a02. Patriot Act: terrorism as racketeering.............................................. 144

02I01b. “Pattern” of racketeering activity................................................................... 146

02I01c. “Enterprise”................................................................................................. 148

02I01d. Interstate commerce element......................................................................... 149

02I01e. Operation or management requirement............................................................ 150

02I01f. RICO conspiracy.......................................................................................... 150

02I02. Property that may be forfeited under RICO................................................................... 152

02J. Immigration forfeitures.............................................................................................................. 154

02K. Gambling forfeitures – 18 U.S.C. § 1955.................................................................................... 155

02L. Firearms forfeitures.................................................................................................................. 156

Chapter 03

Basic forfeiture theories and concepts

03A. Contraband.............................................................................................................................. 157

03A01. Inroads created by Florida v. White............................................................................ 158

03A02. Guns as contraband.................................................................................................. 159

03A03. Drug paraphernalia as contraband............................................................................... 160

03B. Proceeds................................................................................................................................. 161

03B01. “Traceable” proceeds................................................................................................ 162

03B02. Co-mingling and the “expanding drop of ink theory”..................................................... 163

03B03. Gross income or net profit?........................................................................................ 165

03B04. Statutory presumption that certain property was purchased with proceeds...................... 165

03C. Facilitation, “used or intended for use in...,” or “involved in...”...................................................... 166

03C01. “Facilitation” defined................................................................................................. 166

03C02. Nexus or substantial connection requirement................................................................ 166

03C02a. Vehicles used to “facilitate” a crime............................................................... 168

03C02b. Real estate used to facilitate.......................................................................... 169

03C02b01. Effect of separate lots or tracts..................................................... 171

03C02b01A. Defining “lot or tract”.................................................... 171

03C02b01B. Did the “lot or tract” “facilitate”?..................................... 172

03C02c. Seizures of businesses for facilitation............................................................ 173

03C02d. Cash “furnished or intended to be furnished”.................................................. 174

03C03. Property “involved in” money laundering..................................................................... 175

03D. Substitute assets...................................................................................................................... 176

03E. Joint and several liability............................................................................................................ 177

03F. Fugitive disentitlement............................................................................................................... 179

03G. The “relation back” doctrine...................................................................................................... 182

Chapter 04

Innocent owner defense

04A. Bennis v. Michigan: the Supreme Court abandons innocent owners............................................... 186

04B. CAFRA’s uniform innocent owner defense.................................................................................. 191

04B01. CAFRA’s innocent owner requirements....................................................................... 192

04B01a. Owners whose interest pre-dated illegal act.................................................... 192

04B01b. Owners who acquired interest after illegal act................................................. 192

04B01b01. Bona fide purchasers or sellers...................................................... 192

04B01b02. Property obtained by divorce or inheritance ................................... 193

04B02. CAFRA’s effect on innocent spouses, dependants and heirs........................................... 194

04B03. CAFRA says owner may show lack of knowledge or consent ....................................... 195

04B04. Owner with knowledge need not make heroic efforts to police property.......................... 196

04B05. CAFRA repealed “willful blindness” as a substitute for actual knowledge......................... 199

04C. Does CAFRA’s innocent owner defense apply to all federal forfeiture statutes?............................... 200

04C01. CAFRA’s innocent owner defense appears to apply across the board, even to “Customs carve-out” cases 200

04C02. Claimants who had a better defense under the prior innocent owner defense may still be able to apply the old statute.............................................................................................................................. 202

04E. Pre-CAFRA case law on innocent ownership still applies except to the extent it conflicts with CAFRA 203

04E01. “Knowledge” defined................................................................................................. 203

04E01a. “Actual knowledge” – not “constructive knowledge”....................................... 203

04E01b. Effect of lis pendens.................................................................................... 204

04E02. Spouses as innocent owners....................................................................................... 205

04F. Innocent third parties in criminal forfeiture cases......................................................................... 206

Chapter 05

“Standing” to defend a forfeiture case and “ownership” issues

05A. Standing in general................................................................................................................... 209

05A01. “Article III” standing................................................................................................. 209

05A02. Statutory standing..................................................................................................... 212

05A02a. Is statutory standing jurisdictional?................................................................ 212

05A02b. “Statutory standing” is a misnomer............................................................... 213

05A03. State law is used to define interests in property............................................................ 214

05A04. Standing should not be used to dismiss a claim for perceived lack of merit...................... 215

05A05. Standing and ownership issues in criminal forfeitures.................................................... 216

05B. Preliminary showing of standing................................................................................................. 216

05B01. Ownership or possessory interest is generally enough to confer standing......................... 217

05B02. Claimant must assert his own rights – not someone else’s............................................. 217

05B03. Prior to CAFRA, some circuits required additional evidence of standing to be filed along with the claim 218

05B03a. Evidence of standing may come from the government’s complaint.................... 219

05B03b. Cases requiring proof of standing at the pleading stage are now suspect............ 219

05B04. Which comes first – standing or probable cause?.......................................................... 221

05B05. How much proof of standing is required to survive a Rule 12(b) motion to dismiss?......... 221

05B06. Establishing ownership to survive summary judgment................................................... 222

05B06a. “Naked possession” claims........................................................................... 222

05B06b. Other evidence of standing to survive summary judgment................................ 224

05B07. The standard at trial................................................................................................... 224

05C. Evidence of “ownership” .......................................................................................................... 225

05C01. Presumption of ownership from possession................................................................. 226

05C02. Ownership does not necessarily entail “dominion and control”....................................... 227

05C03. Effect of initial denial of ownership, or “How’d that get here?....................................... 231

05C04. Effect of assertion of Fifth Amendment....................................................................... 231

05C05. “Straw owners” lack standing.................................................................................... 232

05C06. Gifts: must owner be a “bona fide purchaser for value” to have standing?....................... 234

05D. Standing/ownership issues for particular kinds of interests............................................................ 234

05D01. Corporations and business partners as owners............................................................. 234

05D01a. Corporations as claimants and the “alter ego” doctrine..................................... 235

05D01b. Stockholder standing and ownership issues.................................................... 236

05D01c. Ownership interests in partnerships and joint ventures..................................... 238

05D02. Spousal standing and marital property interests............................................................ 240

05D02a. CAFRA’s effect on marital property interests................................................. 240

05D02b. Innocent spouses with their names on the title to the property.......................... 241

05D02b01. Tenancies by the entireties............................................................ 241

05D02b02. Tenancies by the entireties & civil forfeiture................................... 241

05D02b03. Tenancies by the entireties & criminal forfeiture............................. 242

05D02b04. Tenancies by the entireties after CAFRA........................................ 243

05D02c. Spouses who have only “inchoate” marital property interests........................... 243

05D02c01. Inchoate rights and civil forfeiture................................................. 244

05D02c02. Inchoate rights and criminal forfeiture........................................... 245

05D02c02a. Inchoate rights give standing to fight restraint of assets...... 245

05D02c02b. Inchoate rights trump forfeiture of substitute assets.......... 245

05D02c02c. Spouses can’t acquire third party rights in proceeds.......... 246

05D02d. Spouses who acquire a vested interest while the forfeiture is pending............... 246

05D02d01. Death of spouse while case is pending........................................... 247

05D02d02. Divorce while forfeiture case is pending......................................... 248

05D02e. Equitable remedies may give spouses a vested interest in marital property.......... 249

05D02e01. Resulting trust............................................................................. 249

05D02e02. Constructive trust........................................................................ 249

05D02f. Homestead laws.......................................................................................... 249

05D03. Minor children and heirs............................................................................................ 251

05D03a. The problem with inchoate interests.............................................................. 251

05D03b. Heirs who inherit property before it is forfeited.............................................. 252

05D03c. Minor children who obtain their interests in a divorce decree........................... 252

05D03d. Guardians ad litem for minor claimants.......................................................... 253

05D04. Bailees: sometimes agent may defend on behalf of principal........................................... 253

05D04a. Bailee for unknown bailor may not have standing............................................ 254

05D04b. CAFRA: bailee must have an interest in the property to have standing............... 255

05D04c. Bailor or unsecured creditor?........................................................................ 255

05D04d. Bailor has standing...................................................................................... 256

05D04e. Incomplete gift becomes a bailment............................................................... 258

05D05. Joint owners of cash, bank accounts.......................................................................... 259

05D06. Creditors have standing only if debt is secured by a lien................................................ 260

05D06a. Lienholders have standing............................................................................ 260

05D06b. Unsecured creditors lack standing................................................................. 261

05D07. Equitable interests that may confer standing................................................................. 261

05D07a. Beneficiaries of trusts.................................................................................. 261

05D07b. Constructive trusts...................................................................................... 262

05D8. Potential financial liability resulting from forfeiture may create standing............................ 266

05D9. Victims of crime lack standing..................................................................................... 267

05E. Owners who acquire their interests after property is tainted & “relation back” doctrine.................... 268

05E01. Pre-CAFRA law – U.S. v. 92 Buena Vista Ave............................................................. 268

05E02. CAFRA limits Buena Vista......................................................................................... 269

05E02a. “Bona fide purchaser for value”..................................................................... 269

05E02b. Assignments of interests in seized property.................................................... 271

05E02c. Purchasers of forfeited property beware!....................................................... 272

Chapter 06

Other defenses

06A. The Eighth Amendment’s Excessive Fines Clause........................................................................ 277

06A01. Is the forfeiture “punitive” for Eighth Amendment purposes?......................................... 278

06A01a. Did Bajakajian undermine Austin?................................................................ 280

06A01b. Rebellion among the circuits......................................................................... 281

06A01c. Is forfeiture of proceeds punitive for Eighth Amendment purposes?.................. 282

06A01d. How to tell if a forfeiture statute is punitive.................................................... 284

06A02e. CAFRA codifies the Bajakajian test.............................................................. 285

06A02. The standard for proportionality after Bajakajian......................................................... 286

06A02a. Nature and extent of criminal activity............................................................. 286

06A02b. Other related illegal activities......................................................................... 286

06A02c. Extent of the harm caused by the offense...................................................... 287

06A02d. Maximum penalties a court could have imposed for the offense........................ 287

06A02e. Where the Sentencing Guidelines fail............................................................. 289

06A02e01. Claimants not charged with crime.................................................. 289

06A02e02. Criteria from other sentencing statutes........................................... 290

06B. Denial of speedy trial................................................................................................................. 291

06B01. Length of the delay.................................................................................................... 292

06B02. Reason for the delay.................................................................................................. 293

06B03. Assertion of the right to speedy trial............................................................................ 294

06B04. Prejudice to the claimant............................................................................................ 295

06C. Lack of jurisdiction................................................................................................................... 295

06C01. The differences between subject matter and personal jurisdiction................................... 296

06C02. The difference between in personam and in rem jurisdiction.......................................... 298

06C03. In rem jurisdictional defenses - competing jurisdiction over the res................................. 299

06C04. Administrative forfeiture proceedings deprive the court of jurisdiction over motions for return of property 301

06C05. Other limits on in rem jurisdiction............................................................................... 302

06C05a. Territorial limits of in rem jurisdiction............................................................ 302

06C05b. Continuing jurisdiction over the res............................................................... 303

06C05c. Judgment may not exceed property named and forfeited.................................. 303

06C06. Limits on in personam jurisdiction............................................................................... 303

06D. Statute of limitations................................................................................................................. 305

06D01. 5 year statute of limitations........................................................................................ 305

06D02. Accrual and the discovery rule................................................................................... 307

06D03. “Tolling” ................................................................................................................. 308

06D03a. Temporary tolling........................................................................................ 308

06D03b. Tolling the statute by commencing proceedings.............................................. 309

06D03c. Equitable tolling.......................................................................................... 310

06D04. Other deadlines for filing forfeiture complaint.............................................................. 312

06E. Entrapment.............................................................................................................................. 313

06E01. Evidence required to submit the entrapment defense to the jury...................................... 314

06E03. Predisposition........................................................................................................... 317

06E04. Entrapment by estoppel.............................................................................................. 318

06E05. Applicability of the entrapment defense in civil forfeiture cases....................................... 320

06E06. Outrageous government conduct................................................................................ 321

06E07. Sentence entrapment................................................................................................. 321

06F. Prosecutorial misconduct ......................................................................................................... 321

06F01. Selective or vindictive prosecution.............................................................................. 322

06F02. Outrageous government conduct................................................................................ 322

06F03. Prosecutor’s interference with the attorney-client relationship........................................ 324

06F04. Prosecutors’ payments to witnesses for their testimony................................................ 326

06G. Ex Post Facto & retroactivity.................................................................................................... 328

06G01. Retroactivity of legislation and new rules announced by the courts................................. 328

06G01a. New rules of law announced by the courts.................................................... 329

06G01b. Applicability of new statutes to pending cases................................................ 329

06G01b01. A court is to apply the procedural law in effect at the time it renders its decision 330

06G01b02. The presumption against retroactive legislation................................ 335

06G02. The Ex Post Facto clause.......................................................................................... 336

06G02a. Mere changes in procedure distinguished....................................................... 338

06G02b. Exception for conspiracies and continuing crimes........................................... 338

06G02c. Applicability of Ex Post Facto clause to civil forfeitures.................................. 338

06H. Fifth Amendment “Takings” clause............................................................................................ 342

06H01. The “Takings” clause remedy for lienholders............................................................... 342

06H02. The “Takings” clause and third parties other than lienholders......................................... 344

06I. Vagueness................................................................................................................................ 345

06J. Defenses that don’t work........................................................................................................... 346

06J01. Double jeopardy........................................................................................................ 346

06J02. Bill of Attainder clause................................................................................................ 347

Chapter 07

Suppression of evidence

07A. Fourth Amendment search & seizure law.................................................................................... 349

07A01. An overview of Fourth Amendment principles.............................................................. 349

07A02. Standing.................................................................................................................. 352

07A03. Search warrants....................................................................................................... 355

07A03a. Probable cause............................................................................................ 355

07A03a01. Informants.................................................................................. 356

07A03a02. Staleness..................................................................................... 357

07A03b. Specificity.................................................................................................. 358

07A03c. False affidavit (Franks)................................................................................ 359

07A03d. Leon “good faith” exception......................................................................... 360

07A03e. Execution of warrant................................................................................... 361

07A03f. Surreptitious entry warrants: “sneak and peek”............................................... 362

07A04. Warrantless searches................................................................................................. 363

07A04a. Search incident to arrest............................................................................... 363

07A04b. Stop and frisk: “Terry stop”.......................................................................... 366

07A04c. Automobiles............................................................................................... 368

07A04d. Borders and airports.................................................................................... 369

07A04e. Exigent circumstances................................................................................. 372

07A04f. Plain view................................................................................................... 372

07A04g. Consent..................................................................................................... 373

07A04h. Inevitable discovery and independent source.................................................. 374

07B. Suppression of statements......................................................................................................... 376

07B01. Suppression of statements for Miranda violations......................................................... 376

07B01a. “Custody” for Miranda purposes.................................................................. 377

07B01b. “Interrogation” for Miranda purposes............................................................ 378

07B01c. Waiver of Miranda rights............................................................................. 380

07B02. Suppression of involuntary statements......................................................................... 381

07B03. Suppression of statements for violation of right to counsel............................................. 382

07C. Fruit of the poisonous tree......................................................................................................... 383

07D. Wiretaps................................................................................................................................. 385

Chapter 08

Seizure and restraint of assets

08A. Does Due Process require a pre-seizure hearing?......................................................................... 388

08A01. U.S. v. James Daniel Good Real Property - seizure of real estate................................... 388

08A01a. Due Process test for pre-seizure hearing........................................................ 389

08A01b. What is a “seizure” requiring a pre-seizure hearing?......................................... 390

08A01b01. A seizure warrant ousting occupants is a “seizure”.......................... 390

08A01b02. An arrest warrant that doesn’t oust occupants is still a “seizure”....... 391

08A01b03. A lis pendens is not a seizure......................................................... 391

08A01c. The exigent circumstances exception............................................................ 392

08A01d. Remedies for a James Daniel Good violation................................................... 393

08A01d01. Eighth Circuit: dismissal is the remedy........................................... 393

08A01d02. Other circuits give the government a mere slap on the wrist............. 395

08A01e. Right to pre-seizure hearing comes before standing inquiry.............................. 397

08A01f. Pretrial seizure under CAFRA........................................................................ 398

08A02. Other types of property – no pre-seizure hearing required.............................................. 398

08B. When is a warrant required to seize property for forfeiture?.......................................................... 399

08B01. Seizure without a warrant permissible for some types of property.................................. 399

08B01a. Must the warrantless seizure coincide with the criminal act?............................. 400

08B01b. Florida v. White: it’s okay to seize “contraband” at any time............................ 400

08B02. Seizure warrant requirement – or lack thereof.............................................................. 402

08B03. Warrantless seizures during execution of search warrants.............................................. 403

08B04. Remedies for illegal seizures....................................................................................... 404

08C. Procedures for obtaining in rem arrest or seizure warrants............................................................ 404

08C01. Seizure warrant........................................................................................................ 405

08C02. Warrant for arrest in rem........................................................................................... 405

08D. Asset restraining orders............................................................................................................ 406

08D01. Criminal forfeiture restraining orders........................................................................... 406

08D02. Restraint of assets pending foreign prosecution for offenses that would trigger forfeiture in U.S. 408

08D03. Can the court restrain substitute assets pending trial?.................................................... 408

08D04. Restraint/release of funds needed for attorney fees....................................................... 409

08D05. Restraints on non-seized property declared forfeited under criminal statutes.................... 412

08D06. Asset restraining orders under CAFRA........................................................................ 412

08D07. Appeal of asset restraining order................................................................................. 413

Chapter 09

Notice of Administrative Forfeiture

09A. Constitutional requirements of service of notice........................................................................... 415

09B. Constitutional requirements for the contents of notice................................................................... 420

09C. Statutory requirements for notices of administrative (non-judicial) forfeiture................................... 421

09C01. Applicability of administrative forfeiture process – dollar amount.................................... 421

09C01a. Value limit is jurisdictional............................................................................ 422

09C01b. Should multiple items be aggregated in determining value?............................... 423

09C02. Administrative forfeiture notice process....................................................................... 424

09C02a. Non-CAFRA nonjudicial forfeiture notice requirements.................................... 424

09C02b. Administrative forfeiture notice under CAFRA................................................ 424

09C02c. Government administrative notice deadlines under CAFRA............................... 425

09C02c01. Sixty-day rule + extensions........................................................... 425

09C02c02. The “10 exceptions” to the 60-day rule.......................................... 425

09C02c03. Effect of belated discovery of a property owner on notice requirements 427

09C02d. Contents of administrative forfeiture notice.................................................... 428

09D. Published notice....................................................................................................................... 428

09E. Judicial forfeiture notice requirements......................................................................................... 429

09F. Government’s failure to provide notice........................................................................................ 429

Chapter 10

Administrative Claim & Cost Bond, Summary Forfeiture

10A. The administrative (summary) forfeiture process......................................................................... 433

10A01. Pre-CAFRA claim and cost bond process.................................................................... 434

10A02. Deadline for filing claims - Customs carve-out cases.................................................... 435

10A03. CAFRA deadline for filing a claim............................................................................... 435

10A04. Requirements for contents of administrative claim........................................................ 436

10A05. Defects in the claim – claimant should be given an opportunity to correct....................... 437

10B. Cost bonds.............................................................................................................................. 438

10B01. How the amount of the cost bond is determined........................................................... 439

10B02. Are multiple items aggregated for purposes of the cost bond amount?............................. 439

10B03. The petition for remission/mitigation as an alternative to posting a bond........................... 440

10B04. In forma pauperis requests to waive the cost bond....................................................... 440

10B04a. How to apply for IFP treatment..................................................................... 441

10B04b. Review of unfavorable IFP decision.............................................................. 442

10C. Consequences of failure to timely file a claim............................................................................... 443

Chapter 11

Remission, Mitigation and Other Administrative Remedies

11A. Petitions for remission and/or mitigation...................................................................................... 449

11A01. Who may file a petition for remission/mitigation........................................................... 449

11A02. Contents of petitions for remission/mitigation............................................................... 451

11A02a. Contents - Customs forfeitures..................................................................... 451

11A02b. Contents - drug law forfeitures..................................................................... 451

11A02c. Contents - FBI & other DoJ forfeitures......................................................... 452

11A02d. Contents - I.N.S. forfeitures......................................................................... 453

11A03. Deadlines for filing petition for remission/mitigation...................................................... 453

11A03a. Deadlines - Customs.................................................................................... 453

11A03b. Deadlines - drug law cases........................................................................... 453

11A03c. Deadlines - FBI cases.................................................................................. 454

11A04. Standards for granting petitions for remission/mitigation................................................ 454

11A04a. Standards for granting petitions for remission................................................. 454

11A04a01. DoJ cases................................................................................... 454

11A04a02. I.N.S. cases................................................................................ 455

11A04b. Standards for granting petitions for mitigation................................................ 456

11A04a02. I.N.S. cases................................................................................ 456

11A05. Petition for remission or mitigation filed after the order of forfeiture............................... 457

11A06. Petition for restoration of the proceeds of sale.............................................................. 457

11A06a. Customs cases............................................................................................ 457

11A06b. Drug law cases........................................................................................... 458

11A06c. FBI cases................................................................................................... 458

11A06d. I.N.S. cases............................................................................................... 458

11A07. Decisions on petitions for remission, mitigation, or restoration....................................... 458

11A07a. Customs cases............................................................................................ 458

11A07b. Drug law cases........................................................................................... 459

11A07c. FBI & other DoJ cases................................................................................ 459

11A08. Review of decisions on petitions for remission/mitigation............................................. 460

11A08a. Administrative review (within the agency) may be available.............................. 460

11A08a01. Customs..................................................................................... 460

11A08a02. Drug law cases............................................................................ 461

11A08a03. FBI cases.................................................................................... 461

11A08b. Judicial review is extremely limited................................................................ 461

11B. Constitutional issues regarding the remission/mitigation process..................................................... 461

11B01. Unreviewable discretion over agency decisions............................................................. 461

11B01a. Why is it said agencies have unreviewable discretion....................................... 461

11B01b. Exceptions to the rule.................................................................................. 462

11B02. Due process and the remission/mitigation process......................................................... 463

11B03. Unreasonable delay in remission procedure................................................................... 465

11C. Offer in compromise................................................................................................................ 466