Glenwal Development Corp. v. Schmidt

356 F. Supp. 67, 1972 U.S. Dist. LEXIS 11109
CourtDistrict Court, D. Puerto Rico
DecidedNovember 16, 1972
DocketCiv. 941-71
StatusPublished
Cited by1 cases

This text of 356 F. Supp. 67 (Glenwal Development Corp. v. Schmidt) is published on Counsel Stack Legal Research, covering District Court, D. Puerto Rico primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Glenwal Development Corp. v. Schmidt, 356 F. Supp. 67, 1972 U.S. Dist. LEXIS 11109 (prd 1972).

Opinion

MEMORANDUM OPINION

TOLEDO, District Judge.

A preliminary injunction was filed and entered in this action on January 10, 1972, restraining and enjoining the defendant from requiring the plaintiff to guaranty the expenses of repair and correction of defects in the construction of any dwellings constructed or sold by the plaintiff, under color of Section 8 of Act No. 130 of 1967 of the Commonwealth of Puerto Rico. Thereafter, the defendant moved for reconsideration of the order for entry of the injunction; the plaintiff moved to hold the defendant in contempt of- the preliminary injunction; the defendant moved to increase the amount of the security required of plaintiff by the injunction; and defendant also moved to stay or dismiss the proceedings due to a petition for review filed in the Commonwealth courts by the plaintiff. Defendant also filed another motion to vacate or modify the preliminary injunction.

With these sundry motions pending, an order was entered on June 29, 1972, setting a hearing for oral argument, and specifically requesting the parties’ views on how the doctrine of Younger v. Harris, 401 U.S. 37, 91 S.Ct. 746, 27 L.Ed.2d 669 (1970), and its companion cases, affects the issues presented in this case. The hearing was held and additional memoranda have been received. The matter is now ready for disposition.

Plaintiffs Motion to Hold Defendant in Contempt

Under date of January 27, 1972, the defendant caused an advertisement to be published, containing statements about this pending action which are inaccurate, and others which appear to contradict the findings of this Court upon which the preliminary injunction was issued. From the defendant’s answer to this motion, it appears that he reacted—overreacted is perhaps a better description—to a critical editorial published in a newspaper of general circulation on January 7, 1972. The Court has carefully examined the editorial and the advertisement published in reply. Both may be described as intemperate. However, as a public official, the defendant must be prepared to accept criticism, both just and unjust. He should not meet an attack of this kind with a counterattack of like kind, and he certainly may not do so if his counterattack will violate the terms of a judicial order entered against him.

While the defendant may have committed a technical contempt, his answer assures the Court that this was not intended and through counsel, defendant has assured the Court that the incident will not be repeated. A number of months have passed and nothing has been brought to the attention of the Court which indicates that defendant is not obeying the injunction.

The power to punish for contempt is discretionary. This extraordinary power should be exercised with the utmost sense of responsibility and circumspection. Green v. United States, 356 U.S. 165, 188, 78 S.Ct. 632, 645, 2 L.Ed.2d 672 (1958). In the exercise of *70 its discretion, this Court now denies plaintiff’s motion, with the observation that the action of the Court should not be made the subject of any further public outburst.

Defendant’s Motion to Increase the Amount of Security Posted

This motion of defendant comes unaccompanied by any memorandum or affidavit, and is based on averments of fact in the motion which are not a part of the record of this case. Defendant misconceives the purpose of requiring this bond to be posted.

As stated in the injunction, the security is required of the plaintiff to respond “for the payment of such costs and damages as may be incurred or suffered by any party who is found to have been wrongfully enjoined”. This security is not intended as, and is not, a means of requiring plaintiff to post the bonds which the Court has found defendant unconstitutionally required of plaintiff. This Court has determined that such requirement can only be imposed in accordance with constitutional standards, and absent those standards, the Court has no more power than the defendant to impose the requirement.

Defendant has presented no reason for increasing the security posted, and his motion is, therefore, denied.

Defendant’s Motions for Reconsideration, To Stay or Dismiss These Proceedings, and To Vacate or Modify The Preliminary Injunction

These motions will be disposed of jointly since the grounds relied on overlap and are common to more than one of the motions.

Defendant first contends that the plaintiff has not exhausted local remedies available to it. Such exhaustion is not required in an action brought under the Civil Rights Act, 42 United States Code, Section 1983. McNeese v. Board of Education, 373 U.S. 668, 83 S.Ct. 1433, 10 L.Ed.2d 622 (1963) ; King v. Smith, 392 U.S. 309, 88 S.Ct. 2128, 20 L.Ed.2d 1118 (1968); Cordeco Development Corp. v. Vázquez, 354 F.Supp. 1355 (D.C.P.R.1972); Marin v. University of Puerto Rico, 346 F.Supp. 470 (D.C.P.R. 1972).

As a corollary argument, defendant relies on Fornaris v. Ridge Tool Co., 400 U.S. 41, 91 S.Ct. 156, 27 L.Ed.2d 174 (1970) for his contention that this Court should abstain from deciding this case until the courts of the Commonwealth of Puerto Rico have ruled on the issues. This misconceives the nature of the issues presented and the import of the Fornaris case. Plaintiff has repeatedly stated that it does not attack the constitutionality of the Commonwealth statute under which the defendant purported to act. It is the failure of the defendant to comply with that very statute of which complaint is made. Defendant has required some builders to post bonds and has exempted other builders from the requirement without promulgating rules and regulations in accordance with authority granted to him by the statute. Neither party has called attention to any-ambiguity in the statute which requires interpretation. The doctrine of abstention as applied in Fornaris v. Ridge Tool Co., supra, is not here applicable. The situation here presented is similar to that in Phillips v. United States, 312 U.S. 246, 61 S.Ct. 480, 85 L.Ed. 800 (1941), where the Supreme Court said:

“. . . an attack on lawless exercise of authority in a particular case is not an attack upon the constitutionality of a statute conferring the authority even though a misreading of the statute is invoked as justification”. 312 U.S. at 252, 61 S.Ct. at 484.

Not even the misreading is here invoked as justification. The defendant contended at the hearing on the motion for preliminary injunction that an internal memorandum from one of his subordinates to him constituted the norms applied in execution of the statute. The legislature of the Commonwealth of Puerto Rico specifically provided that *71 the rules and regulations not of an internal character be promulgated after public notice and the holding of public hearings.

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Related

Thompson v. Johnson
410 F. Supp. 633 (E.D. Pennsylvania, 1976)

Cite This Page — Counsel Stack

Bluebook (online)
356 F. Supp. 67, 1972 U.S. Dist. LEXIS 11109, Counsel Stack Legal Research, https://law.counselstack.com/opinion/glenwal-development-corp-v-schmidt-prd-1972.