Caraballo Cordero v. Banco Financiero De Puerto Rico, No. CIV.981837SEC.

• Decision Date: 31 March 2000
• Docket Number: No. CIV.981837SEC.
• Citation: 91 F.Supp.2d 484
• Parties: Luz I. CARABALLO CORDERO, et al., Plaintiffs, v. BANCO FINANCIERO DE PUERTO RICO, et al., Defendants.
• Court: U.S. District Court — District of Puerto Rico

91 F.Supp.2d 484

Luz I. CARABALLO CORDERO, et al., Plaintiffs, v. BANCO FINANCIERO DE PUERTO RICO, et al., Defendants.

No. CIV.981837SEC.

United States District Court, D. Puerto Rico.

March 31, 2000.

José R. Ortiz-Vélez, San Juan, PR, for Plaintiffs.

Johanna M. Emanuelli-Huertas, Pedro Ortiz Alvarez Law Offices, Ponce, PR, Leticia Ramirez-Rangel, Commonwealth Department of Justice, Federal Litigation Division, San Juan, PR, for Defendants.

OPINION AND ORDER

CASELLAS, District Judge.

Pending before the Court is co-defendants Aladino Irizarry-Santiago, Hiram Mercado-Zayas, and Héctor Rodríguez-Muñoz's motion to dismiss. (Docket # 20). This motion was opposed by Plaintiffs, (Docket # 29), and the defendants filed a reply brief. (Docket # 34). After reviewing these documents in conjunction with others in the record, Co-defendants' motion to dismiss, (Docket # 20), is GRANTED IN PART AND DENIED IN PART.

I. Procedural Facts

Plaintiffs filed the complaint in the above-referenced case on July 20, 1998. (Docket # 1). Plaintiffs are Luz I. Caraballo Cordero, her husband Jorge I. Mercado Caraballo, their daughters Rosa M. Mercado and Ivette M. Mercado, and their son, Jorge I. Mercado Caraballo, II. Plaintiffs are suing the "Banco Financiero de Puerto Rico" (hereinafter "the Bank"), among other co-defendants including police officers from the Puerto Rico Police, for an alleged conspiracy to illegally obtain possession of a certain vehicle property of Plaintiff Luz I. Caraballo in connection with a disputed debt allegedly owed by Luz I. to the Bank.

On July 13, 1999, co-defendants Aladino Irizarry-Santiago, Hiram Mercado-Zayas, and Héctor Rodríguez-Muñoz, all Puerto Rico Police Officers, filed a motion to dismiss alleging that: (1) All plaintiffs with the exception of Luz I. Mercado Caraballo lack standing to sue under 42 U.S.C.A. § 1983; (2) Plaintiffs have failed to state a claim against co-defendant Hiram Mercado Zayas; (3) Plaintiffs have failed to state a conspiracy claim under 42 U.S.C.A. § 1983; (4) Plaintiffs have failed to state a claim under 42 U.S.C.A. § 1985; and (5) Pendent state-claims should also be dismissed. (Docket # 20, Defendant's Motion to Dismiss, p. 2)

Plaintiffs opposed co-defendants motion to dismiss alleging that: (1) Relatives of a proper Plaintiff under § 1983 may join their state law claims under the supplemental jurisdiction of the Federal Court; (2) Plaintiff's allegations against co-defendant Mercado clearly show a "callous indifference" in his supervisory capacity, which is actionable under § 1983; (3) From the sequence of events narrated in the complaint, any reasonable person would understand a suggestion of a unity of purpose, a common design and understanding, or meeting of minds, in an unlawful agreement to violate Plaintiffs' civil rights; (4) co-defendants' arguments regarding § 1985 must fail for the reasons just stated in (3) above; (5) In view of the merits of Plaintiffs' federal question claims, supplemental jurisdiction should be exercised. (Docket # 29, Plaintiff's Opposition to Motion to Dismiss, at pp. 1-2).

II. Analysis of Applicable Law

A. Motion to Dismiss Standard

In assessing whether dismissal for failure to state a claim is appropriate, "the trial court, must accept as true the well-pleaded factual allegations of the complaint, draw all reasonable inferences therefrom in the plaintiff's favor, and determine whether the complaint, so read, limns facts sufficient to justify recovery on any cognizable theory." LaChapelle v. Berkshire Life Ins. Co., 142 F.3d 507, 508 (1st Cir.1998) (citations omitted). "[A] complaint should not be dismissed for failure to state a claim unless it appears beyond doubt that the plaintiff can prove no set of facts in support of his claim which would entitle him to relief." Conley v. Gibson, 355 U.S. 41, 45-46, 78 S.Ct. 99, 2 L.Ed.2d 80 (1957), quoted in Davis v. Monroe County Bd. of Education, 526 U.S. 629, 119 S.Ct. 1661, 1676, 143 L.Ed.2d 839 (1999). See also Correa-Martinez v. Arrillaga-Belendez, 903 F.2d 49, 52 (1st Cir.1990) (dismissal for failure to state a claim is warranted "only if it clearly appears, according to the facts alleged, that the plaintiff cannot recover on any viable theory").

But "[a]lthough this standard is diaphanous, it is not a virtual mirage." Berner v. Delahanty, 129 F.3d 20, 25 (1st Cir.1997) (quoting Gooley v. Mobil Oil Corp., 851 F.2d 513, 515 (1st Cir.1988)). In order to survive a motion to dismiss, "a complaint must set forth `factual allegations, either direct or inferential, respecting each material element necessary to sustain recovery under some actionable legal theory.'" Id. In judging the sufficiency of a complaint, courts must "differentiate between well-pleaded facts, on the one hand, and `bald assertions, unsupportable conclusions, periphrastic circumlocution, and the like,' on the other hand; the former must be credited, but the latter can safely be ignored." LaChapelle, 142 F.3d at 508 (quoting Aulson v. Blanchard, 83 F.3d 1, 3 (1st Cir. 1996)). See also Rogan v. Menino, 175 F.3d 75, 77 (1st Cir.1999). Courts, moreover, "will not accept a complainant's unsupported conclusions or interpretations of law." Washington Legal Foundation v. Massachusetts Bar Foundation, 993 F.2d 962, 971 (1st Cir.1993). Yet courts must bear in mind that apart from allegations of civil rights or RICO violations, fraud, mistake or standing, which are not implicated here, "it is enough for a plaintiff to sketch an actionable claim by means of a generalized statement of facts from which the defendant will be able to frame a responsive pleading." Langadinos v. American Airlines, Inc., 199 F.3d 68, 72-73 (1st Cir. 2000) (quoting Garita Hotel Ltd. Partnership v. Ponce Fed. Bank, 958 F.2d 15, 17 (1st Cir.1992) (internal quotation. marks omitted)). In so doing, "a plaintiff can make allegations either on the basis of personal knowledge or on `information and belief.'" Id. at 73-74.

According to this standard then, the Court will examine whether the complaint at bar sufficiently pleads a cause of action for civil rights. The facts alleged by Plaintiffs indicate that the Bank filed a complaint against Luz I. Caraballo in the Municipal Court of Puerto Rico, Ponce Part, on June 1, 1995, for failure to comply with the terms and conditions of a purchase and sales contract of a 1989 Isuzu Trooper motor vehicle. Apparently, this action was subsequently dismissed without prejudice on August 4, 1995 through a motion for voluntary dismissal filed by the Bank. On December 28, 1995, the Bank filed a second complaint against Luz I. Caraballo, her husband, and their conjugal partnership for breach of contract and delinquency in their payment schedule. While this case was pending, Officer Irizarry allegedly alerted Plaintiffs to the fact that a warrant was issued for the arrest of Ms. Luz I. Caraballo in connection with the contested debt. (Docket # 1, Complaint ¶ 23). Plaintiffs allegedly verified Ms. Luz I. Caraballo's file with the police, yet they did not find evidence that a warrant for her arrest had been issued. When they asked Officer Irizarry about this, he became reluctant to disclose any other information. (Docket # 1, Complaint ¶ 23).

Plaintiffs further allege that on or about May 7, 1997, several police officers started to inquire among Plaintiffs' family members about the Plaintiffs' whereabouts and that around the same time, several police officers, accompanied by one Mr. Jiménez, a Bank Officer, "entered the private property where the Plaintiffs' residence is located, without a search warrant... [and that] [u]pon information and belief, among [the police officers involved was] Officer Irizarry." (Docket # 1, Complaint ¶ 24). On or about May 8, 1997, Plaintiffs went to the police station to find out whether there was an arrest warrant issued against any of them, and again, none was found. (Docket # 1, Complaint ¶ 25).

Plaintiffs allege that at that time, they spoke to Commander Héctor Rodríguez-Muñoz, Director of the Southern Region Police Department of Puerto Rico and co-defendant in this case, and that they told him what had happened. Allegedly, he assured Plaintiffs "that the events were highly abnormal because police officers were not authorized to work as collection agents,... that they would look into the officers' conduct... and to contact them if they had any more problems." (Docket # 1, Complaint ¶ 25). Meanwhile, allegedly unbeknownst to plaintiffs, on July 18, 1997 the police finally obtained a warrant for the arrest of Ms. Luz I. Caraballo for allegedly hiding a vehicle that guaranteed a debt for the previous two years. (Docket # 1, Complaint ¶ 28). On August 1, 1998 Plaintiff Luz I. Mercado was arrested by the Police of Puerto Rico. Plaintiffs claim that the alleged facts caused them severe physical and mental distress due to the attacks on their honor, reputation and constitutional rights.

Specifically, in regards to co-defendant Héctor Rodríguez-Muñoz, Plaintiffs allege that he is the Chief Director of the Southern Region Police Department of Puerto Rico and that as such, he "is responsible for inadequate training and supervision of the police officers under his command, and for knowledge of the conduct engaged in by his subordinates, which posed an unreasonable risk of injury to the plaintiffs." (Docket # 1, Complaint ¶ 10). The complaint also alleges that he was personally notified of the possibility of unlawful conduct committed by some of his subordinates and that he failed to take any further action in that regard. (Docket # 1, Complaint ¶ 25).

Regarding co-defendant Hiram Mercado-Zayas, the complaint alleges that he was "chief of the division of stolen vehicles, had knowledge of the conduct engaged in by his subordinates, and that it posed an unreasonable risk of injury to the plaintiffs along with the violation of their civil rights." (Docket # 1, Complaint ¶ 15). However, no other...