Rural Water District No. 1, Comanche County v. City of Lawton

2014 OK CIV APP 86, 337 P.3d 103, 2014 Okla. Civ. App. LEXIS 62, 2014 WL 5651895
CourtCourt of Civil Appeals of Oklahoma
DecidedJune 20, 2014
DocketNo. 111,017
StatusPublished

This text of 2014 OK CIV APP 86 (Rural Water District No. 1, Comanche County v. City of Lawton) 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
Rural Water District No. 1, Comanche County v. City of Lawton, 2014 OK CIV APP 86, 337 P.3d 103, 2014 Okla. Civ. App. LEXIS 62, 2014 WL 5651895 (Okla. Ct. App. 2014).

Opinion

WM. C. HETHERINGTON, JR., Vice-Chief Judge.

{1 This appeal following summary proceedings arises from a dispute about charges assessed by The City of Lawton (City) for water sales to Rural Water District No. 1, Comanche County Water (Comanche-1), Oklahoma, Rural Water District No. 2, Comanche County, Oklahoma (Comanche-2), Rural Water District No. 8, Comanche County, Oklahoma (Comanche-3), and Pecan Valley Waterworks Association, L.L.C. (Pecan Valley) collectively, Plaintiffs. Plaintiff and City filed opposing motions for summary judgment. Under the record developed to date, summary judgment for any party is premature and inappropriate. The judgment in favor of City is REVERSED and the case REMANDED for further proceedings.

STANDARD OF REVIEW

1 2 Whether summary judgment was properly entered is a question of law which we review de novo. Manley v. Brown, 1999 OK 79, n. 30, 989 P.2d 448, 455. In determining whether summary adjudication was appropriate, we must examine the pleadings, depositions, affidavits and other evidentiary materials submitted by the parties and affirm if there is no genuine issue as to any material fact as a matter of law. Perry v. Green, 1970 OK 70, 468 P.2d 483. Our examination of the record and the trial court decision is de novo, ie., without deference to the lower court's determination. Neil Acquisition, L.L.C. v. Wingrod Inv. Corp., 1996 OK 125, ¶ 5, 932 P.2d 1100, 1103. All inferences and conclusions to be drawn from the evidentiary materials must be viewed in a light most favorable to Plaintiffs. Ross v. City of Shawnee, 1984 OK. 43, 683 P.2d 535.

13 Summary judgment is proper when there are no material facts in dispute. Indiana National Bank v. State Department of Human Services, 1998 OK 101, ¶ 10, 857 P.2d 53, 59. A court may look beyond the pleadings at evidentiary materials to decide whether there are any material facts disputed which remain for resolution by the trier. Id. "The court may not weigh the evidence, but may only review the evidence to determine whether there is a factual dispute." Id.; Stuckey v. Young Exploration Co., 1978 OK 128, ¶ 15, 586 P.2d 726, 730. "All inferences must be taken in favor of the opposing party. Manora v. Watts Regulator Company, [1989 OK 152, ¶ 9,] 784 P.2d 1056 (Okla.1989)." Seitsinger v. Dockum Pontiac Inc., 1995 OK 29, ¶ 7, 894 P.2d 1077, 1079. If reasonable people could differ as to the facts, the matter is not proper for summary judgment. Indiana National Bank, ¶ 10, 857 P.2d at 59.

14 "To prevail as the moving party on a motion for summary adjudication, one who defends against a claim by another must either (a) establish that there is no genuine issue of fact as to at least one essential component of the plaintiff's theory of recovery or (b) prove each essential element of an affirmative defense, showing in either case that, as a matter of law, the plaintiff has no viable cause of action." Akin v. Missouri Pacific R. Co., 1998 OK 102, ¶ 9, 977 P.2d 1040, 1044. "[The inquiry on appeal concerning the propriety of the entry of summary judgment is limited to potential controversies concerning any issue raised by the pleadings." Wabaunsee v. Harris, 1980 OK 52, ¶ 9, 610 P.2d 782, 785.

FACTS

5 Plaintiffs claim City violated the terms of a 2006 Settlement of earlier litigation by imposing surcharges in the form of meter fees and imposed these fees without proper authority and in contravention of statutory requirements and municipal ordinances. Plaintiffs moved for summary judgment in their favor and injunctive relief. City filed a counter motion for summary judgment in its favor. Plaintiffs and City filed responses to each others' motions for summary judgment and motions to quash various affidavits and declarations. Plaintiffs also filed a "supplemental" motion for summary judgment, to which City filed a reply. The following allegations, claims, and facts are gleaned from these filings.

[105]*105T6 Comanche-1, Comanche-2, and Comanche-8 are rural water districts whose powers arise pursuant to 82 0.8.2001 § 1824.10, and each is an "agency and legally constituted authority of the State of Oklahoma pursuant to 0.S.[Supp.1975] § 1824.6." Pecan Valley is licensed to do business in the State of Oklahoma. Plaintiffs purchase water for re-sale to customers or members who reside outside of City's limits.

17 In 2008, Plaintiffs (with two other entities, Medicine Park and Geronimo, who are not parties here) brought individual lawsuits against City which were subsequently consolidated and settled in Case No. CJ-2008-928. The only writings in the record evidencing the terms of the settlement is the transcript of the 2006 explanation of a "proposal" announced in open court and City's Resolution No. 06-172.1 It is not disputed that under the 2006 Settlement Agreement, the rate for water was set at $3.00 per 1,000 gallons and future increases were subject to limitations. City also agreed to pay $100,000 in water credits in settlement of claims for rebates, refunds, court costs, attorney fees and remaining expenses over a three-year period to begin on July 1, 2007.

8 Plaintiffs contend the 2006 Settlement covers all costs associated with water purchases including fees, charges and surcharges and requires City to limit increases to "the same increase given to individual inside-the-city-limits residential customers," and "penny-for-penney, nickel-for-nickel, dime-for-dime, quarter-for-quarter, dollar-for-dollar" and "[nljot a percentage; a-an actual penny-for-penny," as part of the on-the-record explanation of the settlement terms by the trial judge agreed to by the parties. City argues the 2006 Settlement is limited to the water rate per gallon and other costs and fees billed to Plaintiffs are not affected by the settlement.

T9 City argues evidence offered by Plaintiffs to show surcharges were included in the 2006 Settlement are barred by the parole evidence rule. City contends the dismissal with prejudice of the earlier litigation had the transcript portion indicating the agreement as an exhibit and the dismissal was signed by the parties' attorneys. Plaintiffs contend that the parole evidence rule does not apply because there is no executed writing and the evidence is admissible pursuant to 15 0.8.2011 § 168 to explain the cireum-stances and matters to which the 2006 Settlement relates. They contend the reference to future increases contained in the testimony during a hearing on the 2006 Settlement encompasses four different rates, only one of which is the price per thousand gallons of water, and there was a separate agreement, also not in writing, regarding surcharge rates.

10 Plaintiffs contend City performed in accordance with the settlement from 2006 until August of 2011, when it charged a new and additional fee "premised on how the Plaintiffs made use of the water purchased" from City, They contend "[the particular use" of the water after it has been purchased at the master meter "has no impact on the cost to provide water" because City's cost is determined by the volume of water delivered, not how it is used after it is parsed out to members and customers who reside outside of City's municipal limits.

T 11 Comanche-2, Comanche-3, and Pecan Valley each receive water through separate, single master meters and water purchased by Comanche-1 is metered through three master meters. Each has paid surcharges on their master meters.

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Related

Indiana National Bank v. State Department of Human Services
857 P.2d 53 (Supreme Court of Oklahoma, 1993)
Seitsinger v. Dockum Pontiac Inc.
1995 OK 29 (Supreme Court of Oklahoma, 1995)
Ross Ex Rel. Ross v. City of Shawnee
1984 OK 43 (Supreme Court of Oklahoma, 1984)
Akin v. Missouri Pacific Railroad
1998 OK 102 (Supreme Court of Oklahoma, 1998)
Wabaunsee v. Harris
1980 OK 52 (Supreme Court of Oklahoma, 1980)
Manley v. Brown
1999 OK 79 (Supreme Court of Oklahoma, 1999)
Perry v. Green
1970 OK 70 (Supreme Court of Oklahoma, 1970)
Stuckey v. Young Exploration Co.
1978 OK 128 (Supreme Court of Oklahoma, 1978)
Manora v. Watts Regulator Co.
1989 OK 152 (Supreme Court of Oklahoma, 1989)
Okmulgee County Rural Water District No. 2 v. Beggs Public Works Authority
2009 OK CIV APP 51 (Court of Civil Appeals of Oklahoma, 2009)
Neil Acquisition, L.L.C. v. Wingrod Investment Corp.
1996 OK 125 (Supreme Court of Oklahoma, 1996)
Graham v. Travelers Insurance Co.
2002 OK 95 (Supreme Court of Oklahoma, 2002)
State ex rel. Oklahoma Bar Ass'n v. Parks
1998 OK 101 (Supreme Court of Oklahoma, 1998)
Trustees of Williamsburg v. Trustees of Jackson
11 Ohio St. 37 (Ohio Supreme Court, 1841)

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Bluebook (online)
2014 OK CIV APP 86, 337 P.3d 103, 2014 Okla. Civ. App. LEXIS 62, 2014 WL 5651895, Counsel Stack Legal Research, https://law.counselstack.com/opinion/rural-water-district-no-1-comanche-county-v-city-of-lawton-oklacivapp-2014.