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GAMBOA v. CHANDLER

Nos. 94-15302, 94-15303.

101 F.3d 90 (1996)

Paul M. GAMBOA, Plaintiff-Appellant/Cross-Appellee, v. Susan M. CHANDLER, Director, Dept. of Human Services, State of Hawai`i, Defendant-Third-Party-Plaintiff-Appellee/Cross-Appellant, v. Donna E. SHALALA, Secretary of Health & Human Services, Defendant-Third-Party-Defendant-Appellee. Paul M. GAMBOA, Plaintiff-Appellee/Cross-Appellee, v. Susan M. CHANDLER, Director, Dept. of Human Services, State of Hawai`i, Defendant-Third-Party-Plaintiff-Appellant/Cross-Appellant, v. Donna E. SHALALA, Secretary of Health & Human Services, Defendant-Third-Party-Defendant-Appellee.

United States Court of Appeals, Ninth Circuit.

Decided November 22, 1996.

Attorney(s) appearing for the Case

Pamela S. Karlan, George A. Rutherglen, and Daniel R. Ortiz, University of Virginia School of Law, Charlottesville, VA, for plaintiff-appellant/cross-appellee.

Dorothy D. Sellers (argued), Appellate Division; Steven S. Michaels; Paul S.K. Yuen, Department of the Attorney General, Honolulu, HI, for defendant-third-party-plaintiff-appellee/cross-appellant.

Barbara C. Biddle, U.S. Department of Justice, Civil Division, Appellate Staff, Washington, DC; Michael Chun, Assistant United States Attorney, Honolulu, HI; Christine N. Kohl, United States Department of Justice, Civil Division, Appellate Staff, Washington, DC, for defendant-third-party-defendant-appellee.

Before: HUG, Chief Judge, and BROWNING, SCHROEDER, FLETCHER, WIGGINS, KOZINSKI, TROTT, FERNANDEZ, RYMER, T.G. NELSON and THOMAS, Circuit Judges.

I

Paul M. Gamboa represents a certified class of individuals who were denied benefits under the Aid to Families with Dependent Children (AFDC) and Medicaid programs. Gamboa applied to the Hawaii Department of Human Services (DHS) for these benefits, but was rejected because he owns an automobile with an equity value of more than $1500. This rendered him ineligible under 45 C.F.R. § 233.20(a)(3)(i)(B)(2) — the so-called "automobile resource exception...

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