OLD DOMINION DAIRY PRODUCTS, INC., Appellant, v. SECRETARY OF DEFENSE et al., Appellees, 631 F.2d 953

Summary

Plaintiff sued defendant government after defendant government rejected its bids on government contracts on account of plaintiff's alleged lack of integrity. Plaintiff claimed that it was denied due process because it was not notified of the charges against it and had no opportunity to respond. The district court rejected plaintiff's claims and entered judgment in favor of defendant. The court reversed and remanded the case, holding that defendant government's conduct injured a liberty interest of plaintiff; namely, plaintiff's right to be free from stigmatizing governmental defamation. As a result of defendant government's conduct, plaintiff lost government employment and was foreclosed from other employment opportunities. Plaintiff's good name and integrity were at stake and, therefore, plaintiff was entitled to the due process rights of notice and an opportunity to be heard.