United Resources LTD. Co. v. Virgin Islands Waste Management Authority, Roger Merritt, in his official capacity as Executive Director of the Virgin Islands Waste Management Authority, the Government of the VI, and Anthony Thomas, in his official capacity as commissioner of Department of Property and Procurement

CourtSuperior Court of The Virgin Islands
DecidedFebruary 23, 2024
DocketST-2020-CV-493
StatusUnpublished

This text of United Resources LTD. Co. v. Virgin Islands Waste Management Authority, Roger Merritt, in his official capacity as Executive Director of the Virgin Islands Waste Management Authority, the Government of the VI, and Anthony Thomas, in his official capacity as commissioner of Department of Property and Procurement (United Resources LTD. Co. v. Virgin Islands Waste Management Authority, Roger Merritt, in his official capacity as Executive Director of the Virgin Islands Waste Management Authority, the Government of the VI, and Anthony Thomas, in his official capacity as commissioner of Department of Property and Procurement) is published on Counsel Stack Legal Research, covering Superior Court of The Virgin Islands primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
United Resources LTD. Co. v. Virgin Islands Waste Management Authority, Roger Merritt, in his official capacity as Executive Director of the Virgin Islands Waste Management Authority, the Government of the VI, and Anthony Thomas, in his official capacity as commissioner of Department of Property and Procurement, (visuper 2024).

Opinion

IN THE SUPERIOR COURT OF THE VIRGIN ISLANDS DIVISION OF ST THOMAS AND ST JOHN *************

UNITED RESOURCES LTD CO ) ) CASE NO ST 2020 CV 00493 Plaintiff ) ) ACTION FOR INJUNCTIVE RELIEF v ) BREACH OF CONTRACT UNJUST ) ENRICHMENT IMPLIED IN FACT VIRGIN ISLANDS WASTE MANAGEMENT ) CONTRACT ACCOUNT STATED AUTHORITY ROGER MERRITT in his ) AND FAILURE TO FUND AND PAY official capacity as executive director of the ) PER V I LAW VIRGIN ISLANDS WASTE MANAGEMENT ) AUTHORITY THE GOVERNMENT OF THE ) VIRGIN ISLANDS and ANTHONY THOMAS ) in his official capacity as commissioner of the ) JURY TRIAL DEMANDED DEPARTMENT OF PROPERTY AND ) PROCUREMENT ) ) Defendants )

Cite as 2024 VI Super 9U

MEMORANDUM OPINION AND ORDER fill This matter comes before the Court on 1 Defendant Government of the Virgin Islands’ Motion To Dismiss (“Motion”), filed February 22 2021'

2 Plaintiff’s Opposition To The Government Of The Virgin Islands Motion To Dismiss (“Opposition”) filed March 18 2021; and

3 Government of the Virgin Islands Reply To Plaintiff’s Opposition To 0V! 5 Motion To Dismiss (‘ Reply ), filed April 16, 2021 1|2 The Court will grant in part and deny in part the Government of the Virgin Islands (‘ GVI”) Motion as the Court lacks subject matter jurisdiction over GVI with regards to some of the claims

I INTRODUCTION 1|3 On December 21 2020 Plaintiff United Resources Ltd Co (“United”) filed a Complaint alleging eight (8) counts Count [ Breach of Emergency Hurricane Contract Count II Breach of Oral Contracts Count [II Breach of Implied In Fact Contract, Count [V Unjust Enrichment, Count V Account Stated Count VI Open Account; Count VII Injunctive Relief; and Count VIII Failure To Fund And Pay United demanded a jury trial in its Complaint GVI made a United Resources Ltd Co v V] Waste Mgmt Au”: e! a! 2024 V1 Super 9U Case No ST 2020 CV 00493 Memorandum Opinion and Order Page 2 of [0

limited appearance to challenge this Court’s jurisdiction pursuant to Virgin Islands Rule of Civil Procedure l2(b)(1) and to dismiss for failure to state a claim for which relief can be granted pursuant to Rule 12(b)(6) ' 114 Citing to V I CODE ANN title 29 § 496 GVI states that Virgin Islands Waste Management Authority (“VIWMA”) is an autonomous agency with the power to sue and be sued in its name as well as execute its own contracts 2 GVI claims that United fails to assert an actual claim of action against it as GVI states that it is not a party to the debris removal contract in any form implied, written, or oral 3 GVI points out that VIWMA’s procurement powers are “autonomous of GVI’s procurement and supply system ”4 GVI also states that there is “no assertion that the alleged debt due pursuant to the debris removal contract arises out of any conduct attributable to GVI” and therefore GVI should be removed as a party 5 Lastly, GVI states that United did not allege that GVI acted or failed to act in its administrative duty in dispersing payments 6 115 United opposes GVI’s Motion and maintains that the public funds used by VIWMA are controlled by GVI and subject to its oversight 7 United asserts that the establishment of VIWMA did not automatically equate to the suspension of GVI’s procurement and supply processes under 31 V I C §§ 231 251 8 United states that VIWMA s enabling statute is almost void of a procurement process for which VIWMA must follow ”9 United maintains that the procurement rules outlined in Title 31 are triggered when funds from the local treasury are used and Title 31 makes broad references ofapplicability to authorities and independent instrumentalities, not solely agencies '0 Citing t0 1] S7 and Exhibit E of its own Complaint United maintains that it is GVI s Department of Finance which has authorization over the funds sent to VIWMA to pay contractors ”" 1l6 GVI replies that 29 V I C § 497(d) plainly states that GVI is not responsible for the debts of VIWMA the debts, obligations, assets, contracts, bonds, notes debentures receipts expenditures, accounts, funds, facilities and property of the Authority shall be deemed to be those of the Authority and not to be those of the Government of the Virgin Islands[ ]’ '2 Additionally GVI cites to this Court 8 decision in Nibbs v Gov t of the VI '3 where this Court stated ‘ [i]mportantly the Government has immunized itself from VlWMA’s debts Because the

1Def 5 Mot I ’ Def 5 Mot 4 3 Def 5 Mot 4 4 Def 5 Mot 4 5 Def 5 Mot S 6 Def 5 Mot 5 7 PI 5 Opp n 2 5 3 P] s Opp n 5 6 9 Pl s Opp n 6 '° Pl s Opp n 7 " PI 5 Opp n 8 Exhibit E is a text exchange wherein VIWMA through Amber Walker notified United that their request for payment had been sent to the Department of Finance 1 29 V [C §497(d) Def 5 Reply 5 '3 Case No ST 2013 CV 00520 2015 VI LEXIS 120 (V 1 Super Ct Sept 30 2015) Untied Resources Ltd Co v VI Waste Mgmt Ami: et al 2024 V1 Super 9U Case No ST 2020 CV 00493 Memorandum Opinion and Order Page 3 of 10

Government has immunized itself from VIWMA’s debts, VIWMA is responsible for paying judgments rendered against it ”'4 GVI therefore asserts that “contrary to Plaintiff‘s assertion, GVI is immune from VIWMA’s debts and has no obligation to pay or force VIWMA to pay the alleged debt due under the debris removal c0ntract(s) ”'5 117 Additionally, GVI asserts that United’s theory that GVI controls VIWMA procurement is unfounded, as VIWMA is “not included in the list of entities that the Commissioner [of the VI Department of Property and Procurement] serves ”'6 GVI points out that the statute governing VIWMA does provide for procurement, giving the Executive Director of VIWMA procurement powers, and that GVI and VIWMA procurement processes are separate and independent of each other '7 GVI concludes by stating that, as GVI is not a party to any form of contract with United this Court cannot grant the relief that Plaintiff seeks, the case must be dismissed with prej udice '8

[1 LEGAL STANDARD

A Rule 12(b)(1) Motion To Dismiss 118 Virgin Islands Rule of Civil Procedure 12(b)(1) allows a party to assert by motion the defense that the Court lacks subject matterjurisdiction19 As Rule 12(b)(1) is a jurisdictional attack, the Court must consider that motion before reaching 12(b)(6) motions 20 A Rule 12(b)(1) motion may be treated either as facial or factual 2' The difference, as explained by the Virgin Islands District Court is that “[o]n a facial attack a court must accept the allegations in the complaint as true” whereas with a factual challenge “the plaintiff’s allegations are not presumed to be true 22 With a facial attack the Court only looks to the complaint and any documents referenced in or attached to the complaint in a light most favorable to the plaintiff 2‘ However,

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United Resources LTD. Co. v. Virgin Islands Waste Management Authority, Roger Merritt, in his official capacity as Executive Director of the Virgin Islands Waste Management Authority, the Government of the VI, and Anthony Thomas, in his official capacity as commissioner of Department of Property and Procurement, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-resources-ltd-co-v-virgin-islands-waste-management-authority-visuper-2024.