Huntt v. Government of Virgin Islands
| Decision Date | 15 December 1964 |
| Docket Number | No. 14884.,14884. |
| Citation | 339 F.2d 309 |
| Parties | Leslie F. HUNTT, Appellant, v. GOVERNMENT OF the VIRGIN ISLANDS. |
| Court | U.S. Court of Appeals — Third Circuit |
Warren H. Young, Christiansted, St. Croix, V. I., (Young, Isherwood & Marsh, St. Croix, U. S. V. I., John D. Marsh, Christiansted, St. Croix, V. I., on the brief), for appellant.
Francisco Corneiro, Atty. Gen., St. Thomas, V. I., for appellee.
Before BIGGS, Chief Judge, and McLAUGHLIN and STALEY, Circuit Judges.
The plaintiff, Huntt, alleges in his complaint, as amended, that the Virgin Islands Legislature indicated its intent by an appropriate Resolution to issue revenue bonds on behalf of the plaintiff for the construction of a hotel project on the Island of St. Croix, subject to its approval of plans and specifications. The plaintiff further alleges that the Legislature, by an Act which recites the Resolution referred to in the previous sentence, authorized the issuance of bonds according to the provisions of Section 8(b) of the Revised Organic Act of the Virgin Islands, as amended, 48 U.S.C.A. § 1574(b), in the amount of $3,000,000 for the purpose of establishing, constructing, operating, and maintaining a hotel and adjunct buildings by Leslie Huntt. By this Act, the Commissioner of Finance, upon the approval of the Governor of the Virgin Islands, was directed and authorized to take steps necessary to issue the bonds. A second Act of the Legislature specifically authorized the issuance of bonds in accordance with rules and regulations prescribed by the Commissioner of Finance and approved by the Governor of the Virgin Islands. The complaint further alleges that the plaintiff went to considerable expense in reliance upon the Resolution and Acts referred to and that he drafted appropriate rules and regulations, but that they were not put into effect and that the Virgin Islands Legislature by a subsequent Act repealed the authorizing legislation.
The plaintiff alleges that this is contrary to the Bill of Rights of the Virgin Islands, 48 U.S.C.A. § 1561, which provides, in pertinent part, that "No law impairing the obligation of contracts shall be enacted." The plaintiff seeks an injunction to compel specific performance of the obligations of the alleged contract or, in the alternative, damages for his out-of-pocket expenditures and reimbursement for the time expended by him. The court below gave judgment for the defendant on the pleadings for failure to state a cause of action on which relief could be granted. Rule 12 (c), Fed.R.Civ.Proc., 28 U.S.C. This appeal followed.
It is asserted that the bonds in question could find authorization in Section 8(b) of the Revised Organic Act of the Virgin Islands, 48 U.S.C.A. § 1574(b), which provides that the Virgin Islands Legislature may issue revenue bonds "(1) for a specific public improvement or specific public...
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