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______________
_____________________
Jes s Hern ndez S nchez, with whom Hern ndez S nchez Law
________________________
______________________
Firm, Ariel O. Caro P rez and Law Offices of Alvaro R. Calder n,
____ ____________________
__________________________________
Jr., were on brief for appellants.
___
____________________
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TORRUELLA,
Circuit Judge.
_____________
Plaintiffs-appellants are a
group of residents
this 42 U.S.C.
at Calle Las
The residents
Aqueduct
Plaintiffs
the residents
circumstances
a protected
property
on summary judgment.
This appeal
followed.
We affirm the
of
summary
Rule
of Civil
judgment
Procedure
when
56(c)
provides for
"the pleadings,
depositions,
material fact
judgment
summary
as a
and
that the
matter of law."
judgment "must
set
moving
A
party is
party opposing
forth specific
to
a motion for
facts showing
that
entitled
-3-
We review a district
nonmoving
drawing
party and
most favorable to
all reasonable
inferences in
the
the
Cir. 1993).
if we find
Mack,
____
court's opinion,
(D.P.R. 1993).
Garc a
______
Here,
v.
Irizarry,
________
829 F.
in the district
Supp.
523,
525
appeal.
Condominium Bah a-A (hereinafter "the
Condominium")
is a
234-unit housing
had
several
meetings
and at
least
one meeting
Condominium to
with
with
-5-
of 1989, PRASA
representatives
of
the
the residents
of
the
See id.
___ ___
at 525.
PRASA
repeatedly "requested
and place the
that the
required bond
Condominium register
and sewer
an account
services.
in
Id.
___
for nonpayment.
PRASA is one
comply
-6-
suffered a
deprivation of their
Fourteenth
property
heard
Amendment
procedural due
Id. at 527.
___
procedural due
guarantees
prior to a deprivation of
The district
process clause
citizens
notice and an
with
of the
protected
opportunity to be
service which
was suspended."
Id.
___
The
district court
____________________
protection."
Id.
___
services for
which they
never contracted,"
Id. at 529.
___
III.
III.
DISCUSSION
DISCUSSION
__________
exist, the
Finding that
receipt of
the district
A.
A.
The
residents first
unresolved issues
court's
grant
"material"
of
Delgado, 990
_______
argue
that
this case
judgment
present
erroneous.
potential to affect
issues
of
fact
is
the outcome of
unresolved
presented
fact,
we
disagree
with
residents'
contention that
these disputes
resolution
of this action.
that
determination
contractual
dispute.
of
whether CRUV
are material
the
owed
the
to the
residents
water services is
material to this
issue of whether
services was
are material
any contractual
resolution of
agreement
that these
this dispute.
existence
of
residents
between
CRUV and
The
the
at the
had a
protected property
water services.
interest in
A determination
the continued
of whether the
receipt of
residents were
regardless
users,"
true,
of whether
raised by
the
or
not they
were
"clandestine
had a property
interest in the
residents are
equally
immaterial to
this
dispute.
B.
B.
Clause."
Supreme Court of
recognized
implied,
state statute
contend that
they "never
provision
residents
of
water and
contract,
court erred
a contract
arrangement existed
express or
individual.
Id.
___
The
in concluding
with PRASA,
for the
They argue
that an
sewer services."
by virtue of PRASA's
between
action of opening
PRASA and
the
an account on
of the provision
more than
Puerto
a legal
the district
entered into
implied contractual
behalf
or
residents
that
by
of water
20 years.
Rico
law
services by PRASA
Plaintiffs do
nor
any cases
to
to plaintiffs
for
provisions of
their
position.3
is a civil
law jurisdiction we
for purposes
of this
appeal, that
PRASA's
to the
residents were
valid offers
to contract,
the
of a
____________________
3
In many jurisdictions an offer does not require formalities
and can be made by either written words or other conduct.
E.
Allen Farnsworth, Contracts
3.10, at 135 (2d ed. 1990).
A
_________
contract "implied in fact" is one that results from conduct alone
and is distinguished from an "express" contract which results
from words. Id.
3.10, at 135.
The residents in the present
___
case have cited to no authority establishing that contracts
"implied in fact" are valid and binding under Puerto Rico law.
See infra note 4.
___ _____
-10-
to
be
offering
to
Under
Puerto
compensation.").
contracting
P.R. Laws
concurrence
in apparent expectation
parties
is an
Ann., tit.
31,
of the
furnish
offer and
them
Rico law,
essential
3391.
of payment may
the
element
"Consent
acceptance of
for
reasonable
consent of
of a
is
be
the
contract.4
shown by
the thing
the
and the
3401.
Hence,
an offer
standing
by
507-08 (1928).
not
order
Contratos
_________
at
Condominium
also made
45-47 (1986).
to place a
it
clear
PRASA
service
requirements set
and
R.
to
the
residents
place
forth in
that
requested the
an account.
in
order
bond
in
PRASA's rules
P.R.
V lez-Torres, Los
___
repeatedly
itself will
accordance
PRASA
to
be
apply for
with
and regulations.
the
The
____________________
4
contract unless
the following
exist:
(1)
(2)
(3)
The
consent of
the contracting
parties.
A definite object which may be the
subject of the contract.
The cause for the obligation which
may be established.
3391.
-11-
requisites
See
___
V lez-Torres
and
definitive,
should
at 48-49
(an
acceptance should
be immediate
be made
in
the manner
offeree's inaction or
required
by the
offerer).
An
offer to sell
buy."
from the
Farnsworth
offer); Coghlan
_______
1988)
(neither the
plaintiff's
contractual
name
offeree's silence
3.15,
offeree
mere receipt
on
that the
of water
waterworks
relationship,
rolls
either
nor the
as
express
user
or
(5th Cir.
carrying of
created
implied,
where
water
and sewer
implied contract.
services
We disagree with
being rendered
evidences
were merely
an
was
discussions or negotiations
These
regarding who
570
(negotiations
service.
See
___
billing errors
of water
service to a
deprivation of
-12-
residents next
in concluding that
contend
that
the district
court
to Puerto
Rico statutes to
determine whether
at 569.
Plaintiffs argue
that
See Coghlan,
___ _______
Section 159
of
the
Aqueduct and
141 et seq.,
__ ____
services.
regulations
Section
concerning the
use
in continued water
to establish rules
and conservation
of water
and
and
PRASA is
159 (1989).
159 and
not
determine
whether
as such
have
Neither do
created
Section
159
creates
"consumer."
a state
the
We
property
plaintiffs
Regulations issued
by PRASA
-13-
provide
proffered
definition
any other
"consumer"
of the
authoritative
which would
meaning
of the word.
context
to be
limited
consideration for
term.
The
interpretation
indicate they
were included
We interpret the
to persons
goods or services
residents have
who
of the
not
term
within the
rendered.
otherwise
We
give
believe this
It is also
the Aqueduct
the
residents
established by
respect
bond
or
refused
to
to PRASA.
pay
tit. 22,
comply
In the
with
the
They refused to
for water
158.
services.
present
procedures
status with
they were
not
of the
aqueduct and
sewer services,
as that
term is
____________________
5 In its definition section, the Regulations for AdministrativeLegal Procedures of PRASA provides the following definitions of
"users":
User - Person who enjoys the services of
User
aqueducts and/or
sewer including any
person or entity who discharges in the
sanitary system, whether said person is a
subscriber or not.
defined
in
PRASA
regulations
interest in continued
to any
legal
and
services.
authority
which
as
such,
The residents
indicates that
have
a property
have
and
"clandestine-users"
give
them
subscriber
or user"
_______
as
basis
for this
proposition.
residents
to the contrary
definitions cannot
water services.
charter
creating
no
authority,
and we
a property interest.
and suggests that
establish a
The relevant
these regulatory
constitutional right
to receive
including regulatory
and
other
statements, for a
sub-statutory
are not a
sources
provision establishing a
Hutto, 667
_____
are
sufficient to establish
case-law is
right
have cited
Gorham v.
______
for the
creation of
a due
process
interest); Bills
_____
v.
Henderson, 631
_________
F.2d 1287
(6th Cir.
1980)
____________________
the
aqueduct
and/or sewer
services
without being authorized for it.
(procedural rules
serve
as a
basis for
a separate
protected liberty
neither a
bodies cannot
contractual nor
interest);
1978) (where
a statutory basis
to
a sufficient basis
We
on which the
for finding a
property interest.
Finally, even
that they
had a protected
property interest in
able to establish
continued water
The question
of
process
generally requires
liberty, or property
hearing
be preceded by
appropriate to
(internal citation
"that
the
and
ask what
process
deprivation of
the case."
quotations omitted).
the State
constitutionally adequate."
life,
nature of
Id.
___
"[T]o
for
at 542
determine
and whether
it
was
(1990).
First, we summarize the
PRASA
began sending
the Board
procedures provided.
of Directors of
In 1986,
the Condominium
an
of water services.
Directors and
the
pay
of the Condominium
of
to discuss
installments.
on
behalf of
the Condominium
monthly bills.
On April 3, 1991,
PRASA
in the
the
amount
account.
of $448,872.08
PRASA stated
for services
that the
rendered
failure to
pay or
delivered to
each
twenty days.
unit along
with
copy of
the
another letter
letter was
urging
the
are the
erroneous
deprivation
Eldridge,
________
424
important
payment
private interest
of
water
335 (1976).
necessity of
interest,
services.
however,
services
See
___
of an
significant.
v.
of utility
and undoubtedly
PRASA's interest
is also
water
Mathews
_______
The receipt
Id.
___
U.S. 319,
for its
in continued
services is a
residents'
service, PRASA's
an
in
receiving
It
would
be
to the
residents indefinitely.
residents
did
requirements.
not
PRASA
residents and
the
discussed with
PRASA gave
with
officials
Board of
Directors
meetings
of the
with
the
Condominium
and
procedures
on the matter.
could
better
as to justify the
such procedures.
Thus,
opportunities to be heard
of
administrative
interests so
PRASA's
also held
additional
We do
safeguard
given several
residents'
We have no
residents were
residents
were
not
to
additional
Procedural Requirements
for the
Services
Act
because
this
Suspension of
affords such
entitled
provision of
protections
infra note
_____
2. By failing
Essential Public
to contract
only
to
tit. 27,
with PRASA
for the
failed to
PRASA's
administrative
claiming
requirements
an entitlement
to
prevents
them
PRASA's administrative
from
now
procedures.
F.2d 685,
ignore, an
later be allowed
-- or
to no
road being
tantamount to
in existence");
there is a
constitutional right to
applicant refuses
to comply with
reasonable administrative
attorney's fees as a
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