Okmulgee County Rural Water District No. 2 v. Beggs Public Works Authority

2009 OK CIV APP 51, 211 P.3d 225, 2009 Okla. Civ. App. LEXIS 29
CourtCourt of Civil Appeals of Oklahoma
DecidedJanuary 16, 2009
Docket105,687. Released for Publication by Order of the Court of Civil Appeals of Oklahoma, Division No. 3
StatusPublished
Cited by7 cases

This text of 2009 OK CIV APP 51 (Okmulgee County Rural Water District No. 2 v. Beggs Public Works Authority) is published on Counsel Stack Legal Research, covering Court of Civil Appeals of Oklahoma primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Okmulgee County Rural Water District No. 2 v. Beggs Public Works Authority, 2009 OK CIV APP 51, 211 P.3d 225, 2009 Okla. Civ. App. LEXIS 29 (Okla. Ct. App. 2009).

Opinion

LARRY JOPLIN, Judge.

T1 Plaintiff/Appellant Okmulgee County Rural Water District No. 2 (Okmulgee) seeks review of the trial court's order granting the motion for partial summary judgment of Defendant/Appellee Beggs Public Works Authority, a public trust (Beggs). In this accelerated review proceeding, Okmul-gee complains the trial court erred in holding Beggs' violation of the Oklahoma Open Meeting Act (OMA), 25 O.S. §§ 301, et seq., § 303, rendered its Water Purchase Contract with Beggs unenforceable.

T2 In 2001, Okmulgee and Beggs entered into a forty (40) year contract for Beggs' sale of water to Okmulgee, and Okmulgee sought federal funding for the improvement and extension of its infrastructure. As a condition of Okmulgee's financing, the United States Department of Agriculture required several changes in the contract. 1

13 On June 7, 2004, Beggs held a meeting of its governing board, and the chairman executed a Water Purchase Contract reflecting the changes required by the USDA. On July 20, 2004, Beggs' governing board met and approved the contract. However, no notice of Beggs' intent to execute or approve the contract was listed on the agendas for either meeting, apparently because Beggs' attorney had advised the governing board that the issue was properly determined as an unlisted item of "old business." Okmulgee approved and executed the Water Purchase Contract on August 2, 2004.

{4 On December 20, 2005, Okmulgee closed on the USDA financing, and proceeded with the financed improvements, including construction and connection of a supply line to Beggs. Beggs, however, later refused to provide water to Okmulgee, challenging the 2004 contract as invalid for its failure of OMA notice compliance.

15 In February 2007, Okmulgee commenced the instant action against Beggs and the individual members of Beggs' governing board, Defendants Wilburn, Cox, Newton and Bivins. In eight "counts," Okmulgee sought: a declaratory judgment of the validi *227 ty and enforceability of the 2004 contract, 2 or, if invalid, the validity and enforceability of the 2001 contract; 3 Beggs' breach of both the 2004 and 2001 contracts; 4 injunctive relief compelling Beggs' compliance with the 2004 contract, or, if invalid, the 2001 contract; 5 and, liability for damages of the individual Defendants on account of their willful violation of the OMA 6 and the negligent misrepresentation of their proper approval of the 2004 contract. 7 The trial court issued a temporary restraining order requiring Beggs' sale of water to Okmulgee pending outcome of the litigation.

16 Beggs filed a motion to dismiss and motion for partial summary judgment. Beggs challenged the 2004 contract as invalid and unenforceable for its failure to comply with the notice requirements of the OMA, 25 0.8. § 308, and presented evidentiary materials in support. Okmulgee responded, presenting evidentiary materials argued to show Beggs' proper consideration and approval of both the 2004 and 2001 contracts, and its reliance on the executed contracts to obtain financing for the completed construction of pipeline infrastructure, including the construction of a supply line to Beggs. Okmulgee also asserted a counter-motion for summary judgment, arguing the evidentiary materials demonstrated validity and enforceability of the water contracts.

T7 The parties stipulated that, if the trial court determined the 2004 contract was unenforceable, the parties would be bound by the terms of the 2001 contract. On consideration of the parties' submissions, the trial court held that the OMA applied to Beggs, that Beggs violated the notice provisions of the OMA prior to its execution and approval of the water purchase contract in 2004, and the failure of OMA notice invalidated the 2004 contract, The trial court consequently granted partial summary judgment to Beggs on Counts I, II and III of Okmulgee's petition, disposing of all claims based on the 2004 contract.

18 Beggs then filed a Motion for Entry of Section 994(A) Final Order Dismissing All Claims of Okmulgee. 8 Okmulgee filed a Motion to Certify Order for Interlocutory Appeal, also seeking entry of a final order under § 994. 9 , 10

9 On consideration of the parties' submissions, and finding no just reason for delay, the trial court directed entry of a final ap-pealable order granting partial summary judgment to Beggs' on Counts I, II and III of Okmulgee's petition, ie., those related to enforcement of the 2004 contract. 11 Okmul-gee appeals, and the matter stands submitted on the trial court record. 12

110 Okmulgee's claims based on the 2001 contract, and against the individual De- | fendants, are wholly separate and distinct from its claims based on the 2004 contract. The trial court's order granting Beggs' motion for partial summary judgment completely disposed of all of Okmulgee's claims *228 against Beggs based on the 2004 contract, and constitutes a final order under 12 O.S. § 994(A). See, e.g., Oklahoma City Urban Renewal. Authority v. City of Oklahoma City, 2005 OK 2, ¶¶ 10-12, 110 P.3d 550, 557. The trial court expressly directed preparation of a final order on a finding of no just reason for. delay, and the trial court's order granting partial summary judgment is final and appealable.

T11 "Summary judgment is warranted only when 'there is no substantial controversy as to the material facts and ... one of the parties is entitled to judgment as a matter of law[.J " Wylie v. Chesser, 2007 OK 81, ¶ 3, 173 P.3d 64, 66. (Citation omitted.) "For summary judgment for a party to be appropriate the evidentiary materials submitted must demonstrate undisputed facts on material issues supporting but a single inference in favor of that party." Id.

112 "In reviewing. a summary judgment grant an appellate court engages in a plenary, independent and non-deferential re-examination of the trial court's ruling, ie., a de movo review." Wylie, 2007 OK 81, ¶ 3, 173 P.3d at 66. That is, we will canvass the record to determine what facts are material and whether there is substantial controversy as to any material fact. Sperling v. Marler, 1998 OK 81, 13, 963 P.2d 577, 579. If we find a controversy of any material fact, or that reasonable people might differ on the conclusion to be drawn from the uncontro-verted facts, summary judgment should be reversed. Lowery v. Echostar Satellite Corp., 2007 OK 38, 111, 160 P.3d 959, 963-964; Gaines v. Comanche County Medical Hosp., 2006 OK 39, 14, 148 P.3d 203, 205.

1 13 The OMA establishes "the public policy of the State of Oklahoma to encourage and facilitate an informed citizenry's understanding of the governmental processes and governmental problems." 25 O.S. § 302. To that end:

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2009 OK CIV APP 51, 211 P.3d 225, 2009 Okla. Civ. App. LEXIS 29, Counsel Stack Legal Research, https://law.counselstack.com/opinion/okmulgee-county-rural-water-district-no-2-v-beggs-public-works-authority-oklacivapp-2009.