South Porto Rico Sugar Co. v. Public Service Commission of Puerto Rico

76 P.R. 814
CourtSupreme Court of Puerto Rico
DecidedJuly 7, 1954
DocketNo. 11132
StatusPublished

This text of 76 P.R. 814 (South Porto Rico Sugar Co. v. Public Service Commission of Puerto Rico) is published on Counsel Stack Legal Research, covering Supreme Court of Puerto Rico primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
South Porto Rico Sugar Co. v. Public Service Commission of Puerto Rico, 76 P.R. 814 (prsupreme 1954).

Opinion

Mr. Justice Marrero

delivered the opinion of the Court.

For a better understanding of this case, we deem it proper to make at the outset a chronological description of the development of the case until its arrival at this Court:

On August 1, 1950 Enrique Lassise, in his own right and in representation and behalf of other colonos of the Central Guánica, filed with the Public Service Commission of Puerto Rico1 a complaint alleging, briefly, that the Commission determined certain rates applicable to the respondent corporation for the 1946 and subsequent grinding seasons, rates which were declared by judgment of this Supreme Court null and void; that the respondent ground the sugarcane for its colonos on the basis of its own rates; that the rates charged by it in 1946, 1947, 1948, 1949, and 1950 were unfair and reasonable, as a result of which the earnings realized by the respondent on the basis of its own rates exceeded those authorized by law; that respondent is authorized to charge only the rates approved by the Commission, and that by provision of Act No. 221 of 1942 (Sess. Laws, p. 1176) the Commission is under the duty to exercise its powers of intervention in order that the rates charged by every sugar company shall be fair and reasonable. It is prayed that, after compliance with the legal requirements, [816]*816the Commission order the respondent to reimburse its colo-nos the rates collected in excess during the years in question for the grinding services rendered to them.

,The respondent filed a motion to dismiss the complaint on the ground that the Commission has not determined the fair value of respondent’s properties nor the percentage of reasonable profit which it is entitled to receive from its invested capital; and that assuming that respondent has been charging unfair or unreasonable rates, it would not be proper to order it to reimburse its colonos the excess between the rates filed with the Commission and those which the Commission may determine as reasonable after a hearing. On November 28, 1950 the Commission dismissed that motion. It based the dismissal on the ground adduced in its decision rendered fourteen days previously in Asociación de Colonos de Caña de Yabucoa v. Antonio Roig Sucrs. On January 2, 1951 the Commission overruled a motion for reconsideration filed by respondent. Thereupon respondent answered denying the essential averments of the complaint and alleging certain special defenses.

Thus, on August 9, 1951 the Commission entered an order setting forth that on May 13, 1951 the Governor of Puerto Rico had approved Act No. 426, entitled the “Sugar Act of Puerto Rico,” .which expressly repeals Act No. 221 of May 12, 1942; that “in view of the aforesaid circumstances, it hereby orders the dismissal of the cases pending before the Commission which are related to the aforementioned legislation, and of this case in particular, in the belief that any order which might be entered would be academic," and that, “notwithstanding the foregoing, any party interested in raising any question of fact or of law may appeal to the Commission and make pertinent allegations within a period of fifteen (15) days, counted from the notice of this Order.” (Italics ours.) Six days later the complainant filed a reasoned motion moving the Commission [817]*817“to set aside the order issued in the instant case under date of August 9, 1951, and to order that the case be .left open for further proceedings and resolution on its merits.” 2

On February 28, 1952 the complainant appeared again before the Commission and filed a “motion for detailed information,” in which, after pointing out that the case has been pending since January 1951 and that notwithstanding the repeal of Act No. 221 of 1942, all actions which have been or may be instituted under the previous Act were excepted, he alleges that in order to pass upon the issues of fact involved in the instant case and hear the case on its merits, it is necessary that respondent furnish the following data as disclosed by its official books and records for each of the aforementioned years: (1) final laboratory report on the results of the year’s crop; (2) fixed assets of the respondent in connection with the grinding operations; (3) operating and depreciation expenses incurred in the value of the physical plant and its dependencies, as shown by- its books; (4) financial results of the factory; and (5) a summary outline showing the industrial profit, the reserve or disbursements for income taxes, and liquid profit.3

On July 1, 1952 the Commission entered an order granting the above motion, requiring respondent to furnish [to the Commission] within a period not to exceed thirty days, all data asked for by complainant in the latter motion. In answer to that order, respondent alleged in writing that that order had been entered without hearing the respondent and without jurisdiction, alleging that the case had already been dismissed by order of August 9, 1951 which was final and unappealable; that all the data sought by the Commission appears from the annual statements and final laboratory reports which respondent has filed in the office of the secretary of the Commission at the end of the grinding season; [818]*818and that any data bearing on the years 1946, 1947, and 1948 would be useless, since more than two years have elapsed since the end of the grinding seasons. In its answer respondent prays that the order of July 1, 1952 be set aside. The Commission took no action on that answer to the complaint; however, on October 27, 1952 the complainant urged that respondent be compelled to comply with the order of July 1, 1952. On February 4, 1953 respondent filed a written opposition to the reopening of the case, alleging that “the case has been rightly dismissed in view of the repeal of Act No. 221 of 1942 by § 39 of the Sugar Act of Puerto Rico4 . . . , as construed by the Supreme Court of Puerto Rico in Molini v. Sociedad Mario Mercado e Hijos, in an opinion on reconsideration of October 11, 1952.” (73 P.R.R. 873.)

On March 17, 1953 the Commission entered an order in which, after stating that a hearing had been held on February 5, 1953 in connection with the merits of its order of July 1, 1952, announced that, after consideration of the objections raised by respondent, “it overrules the same and hereby ratifies its order of July 1, 1952, and further orders respondent to comply with that order within a period of thirty (30) days, counted from the date of notice hereof.”

On April 16, 1953 (sic) the respondent appealed to the Superior Court of Puerto Rico, San Juan Part, from the orders entered by the Commission on July 1, 1952 and March 17, 1953. The Commission moved the court to dismiss the appeal (1) because those orders are not appealable; (2) be[819]*819cause the proceeding is altogether frivolous; and (3) because appellant has not perfected its appeal pursuant to the provisions of § 79 of the Public Service Act. In answer to that motion, the lower court entered an order on August 31, 1953 stating, among other things, “that the decision and the order which appellant seeks to review is not appealable until the case is finally disposed of on its merits by the Public Service Commission.

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Bluebook (online)
76 P.R. 814, Counsel Stack Legal Research, https://law.counselstack.com/opinion/south-porto-rico-sugar-co-v-public-service-commission-of-puerto-rico-prsupreme-1954.