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10th Circuit Affirms Toss of USPS Contractor $500M Lawsuit

The U.S. Court of Appeals for the Tenth Circuit has affirmed the dismissal of a $500 million lawsuit filed by Rapid Enterprises LLC, doing business as Express One, against the United States Postal Service (USPS). The three-judge panel upheld a Utah federal court’s ruling, effectively ending Express One’s claims of contract breach and tortious misconduct.

The 10th Circuit affirms toss USPS contractor $500M lawsuit, rejecting Express One’s allegations that USPS misappropriated confidential business information and wrongfully terminated a longstanding business agreement.

In an unpublished opinion, the appellate panel upheld U.S. District Judge Jill Parrish’s findings that most of Express One’s tort claims were barred under the Federal Tort Claims Act (FTCA) and fell within the “misrepresentation exception,” preventing further litigation on those counts. The court also held that Express One failed to sufficiently establish contract-based claims, including breach of the implied covenant of good faith and fair dealing.

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