Southwestern Bell Telephone Company v. City of El Paso, El Paso County Water Improvement District No. 1, Southwestern Bell Telephone Company v. City of El Paso, El Paso County Water Improvement District No. 1Southwestern Bell Telephone Company v. City of El Paso, El Paso County Water Improvement District No. 1, Southwestern Bell Telephone Company v. City of El Paso, El Paso County Water Improvement District No. 1
Keith R. Taunton, Louis Keith Slade (argued), Tucker, Taunton, Snyder & Slade, Houston, TX, James M. Speer, Jr. (argued), Law Office of James M. Speer, El Paso, TX, for El Paso County Water Improvement Dist. No. 1.
Appeals from the United States District Court for the Western District of Texas.
Before JOLLY, HIGGINBOTHAM and STEWART, Circuit Judges.
PATRICK E. HIGGINBOTHAM, Circuit Judge:
Southwestern Bell Telephone Co. (“SWBT“) brought a suit under
I.
SWBT is a provider of telecommunications services and holds a certificate of convenience and necessity issued by the Public Utility Commission of Texas (“PUC“). EPCWID is a water district operating under Article XVI, Section 59, of the Texas Constitution. At the center of the controversy between SWBT and EPCWID is a series of irrigation canals, laterals and ditches deeded from the United States Bureau of Reclamation to EPCWID in January 1996. Development in the area of EPCWID‘s facilities has resulted in a number of roads being built across the facilities and has also resulted in an increase in the demand for telephone services.
EPCWID established application procedures for entities wanting to cross its facilities, including the completion of an application, payment of an application fee of $500, and the obtaining of a survey at the applicant‘s expense. Before the survey is ordered, EPCWID‘s Board of Directors must preliminarily approve the application. After the survey is completed, if the application is approved, the Board assesses an ad hoc charge for the crossing, based on the length of the crossing to be used and the nature of the applicant.
SWBT has placed its lines and cables across EPCWID‘s facilities without submitting to EPCWID‘s application process. The current dispute arose when SWBT began laying a new fiber optic cable along Texas State Highway 20, crossing one of EPCWID‘s facilities. EPCWID threatened to arrest the line crews for trespass and remove the cables there and elsewhere if SWBT did not comply with EPCWID‘s application process and pay a fee for use of EPCWID‘s facilities.
SWBT sought declaratory relief against EPCWID, arguing that (1) EPCWID‘s application fees violate the FTA and state law; (2) roads and highways crossing EPCWID‘s ditches, laterals, and canals are public roadways; (3) EPCWID has no right to charge for telephone lines crossing its canals, ditches and laterals when those lines are within the rights-of-ways of public roadways; (4) the water flowing through EPCWID‘s canals and ditches is public; and (5) EPCWID has no right to charge for telephone lines crossing public waters. EPCWID filed a counterclaim, alleging that SWBT has trespassed on its property.
EPCWID and SWBT moved for summary judgment, and EPCWID requested leave to file a second amended counterclaim. The district court denied EPCWID‘s motion for leave to amend. Following a stay for an interlocutory appeal of EPCWID‘s Eleventh Amendment defense,2 the district court granted summary judgment in favor of SWBT and denied EPCWID‘s motion for summary judgment on its counterclaims. Following entry of judgment, SWBT filed a motion for attorney‘s fees and EPCWID moved to alter or amend the judgment. The court denied both motions, and SWBT appeals the denial of attorney‘s fees. EPCWID cross-appeals the grant of summary judgment in favor of SWBT, the denial of its summary judgment motion, and the denial of its motion to alter or amend the judgment.
II.
A.
We begin by addressing EPCWID‘s assertion that the district court abused its discretion by not giving the parties ten days notice prior to taking the summary judgment motions under consideration, a notice it argues is required by
We rejected that argument in Jackson v. Widnall, 99 F.3d 710, 713 (5th Cir. 1996). There we stated:
Rule 56(c) merely requires the court to give the non-movant an adequate opportunity to respond prior to a ruling. We have previously rejected [this] very argument, noting that rule 56(c) requires neither an oral hearing nor advance notice of a “date certain” on which a motion for summary judgment is to be decided; instead, “if there is not a hearing, the adverse party must have at least ten days to respond to the motion for summary judgment.”5
The local rules of the Western District of Texas, the ones at issue here, satisfy the notice requirements of
B.
We next turn to EPCWID‘s assertion that the district court abused its discretion in refusing to allow EPCWID to amend its pleadings for a third time to include additional counterclaims including breach of contract. The district court found undue delay on the part of EPCWID, noting “discovery has closed, the deadline provided in the scheduling order for amending pleadings has passed, and this case is set for trial on August 14. Additionally, [EPCWID] has twice previously amended its answer. Finally, the raising of new counterclaims at this late date would prejudice [SWBT].”
We review the district court‘s denial of leave to amend for abuse of discretion.8 We recently stated that:
Federal Rule of Civil Procedure 16(b) governs amendment of pleadings once a scheduling order has been issued by the district court. Rule 16(b) provides that a scheduling order “shall not be modified except upon a showing of good cause and by leave of the district judge.” The good cause standard requires the “party seeking relief to show that the deadlines cannot reasonably be met despite the diligence of the party needing the extension.”9
Thus, EPCWID must show good cause for not meeting the deadline before the more liberal standard of
In determining good cause, we consider four factors: “(1) the explanation for the failure to timely move for leave to amend; (2) the importance of the amendment; (3) potential prejudice in allowing the amendment; and (4) the availability of a continuance to cure such prejudice.”11 The district court previously extended the deadline and allowed EPCWID to twice amend its pleadings to add counterclaims. EPCWID was aware of the contract that forms the basis of its proposed amendment months in advance of the deadline and does not offer a satisfactory explanation for its delay in seeking leave to amend. When combined with the prejudice to SWBT in allowing untimely additional counterclaims, and the likely failure of the proposed counterclaims on the merits, we find that the court did not abuse its “broad discretion to preserve the integrity and purpose of the pretrial order.”12
C.
EPCWID asserts that the district court erred in granting SWBT‘s motion for summary judgment. Summary judgment is appropriate “if the pleadings, depositions, answers to interrogatories, and admissions on file, together with the affidavits, if any, show that there is no genuine issue as to any material fact and that the moving party is entitled to judgment as a matter of law.”13 We review a grant of summary judgment de novo, applying the same standards as did the district court.14
SWBT moved for summary judgment, relying on both state and federal law, and requested that the district court declare
Southwestern Bell‘s right under Texas and federal law to use the roads and cross the waters controlled by EPCWID. Further, the Court should also declare that EPCWID has no authority under the Texas Water Code or the Texas constitution provision to which it owes its existence to charge the general public for crossing over its waters....
We begin by considering SWBT‘s argument that
At the outset, we find no merit in EPCWID‘s contention that the word “public” makes the statute unconstitutionally vague. The statute has been applied in various forms by Texas courts since it was first enacted in 1874, and it is not the case that more than one-hundred years of pronouncements from the state courts have left it unconstitutionally vague.
EPCWID argued to the trial court that
We will address this contention only briefly, as did EPCWID. The streets of El Paso, as well as the other roads within the district constructed by the various governments for public use, are “public” within the meaning of
It is well established in Texas law that
In Harlingen Irrigation District Cameron County No. 1 v. Caprock Communications Corp., a Texas State appellate court addressed a similar argument.17 There, Caprock obtained permits from the Texas Department of Transportation to install underground fiber-optic cables along several roads that crossed or were parallel to the irrigation district‘s facilities. The irrigation district insisted that Caprock pay a fee for crossing its property, and institute additional measures to minimize the impact the cable would have on its operations.18 The court rejected the irrigation district‘s argument that
The public policy favoring the use of public roads for communications facilities is as relevant today as it was in the early part of the twentieth century. The construction of new housing and new roads requires the construction of new telephone lines. Roads serving the public in areas of growth will inevitably cross stretches of property owned, or held by easement, by a variety of public utilities and entities similar to HID. If each of these utilities is able to impose restrictions on the construction of facilities along public roads, the extension of telephone service to areas of new construction would be greatly hampered. This is contrary to the policy of encouraging access to means of communication, such as telephone service.22
We find this reasoning persuasive, and agree that it is contrary to the policy of
D.
The district court also held that in the alternative, the waters within EPCWID‘s facilities are public waters, and thus SWBT was entitled pursuant to
E.
EPCWID also argues that the district court erred in denying its motion to alter or amend the judgment based on the denial of permission to file an amended pleading. Because the district court did not abuse its discretion in denying leave to amend to add the counterclaim for breach of contract, the district court did not abuse its discretion in refusing to amend the judgment based on the counterclaim which was not before the court.26
III.
The final issue is SWBT‘s claim that the district court erred in denying its motion for attorney‘s fees under
The district court denied SWBT‘s motion for attorney‘s fees pursuant to
In Scham v. District Courts Trying Criminal Cases, 148 F.3d 554, 556 (5th Cir. 1998), a criminal defense attorney, challenged a state court order prohibiting the Harris County district court and sheriff from disclosing the street addresses or telephone numbers of criminal defendants until the defendant retained counsel.30 Scham sued under
The district court granted summary judgment in favor of Scham, holding that the defendants did not have authority under Texas state law to issue the order, and specifically avoided ruling on Scham‘s
In Williams v. Thomas, a county jail inmate sued under
In Maher v. Gagne, 448 U.S. 122, 100 S.Ct. 2570, 65 L.Ed.2d 653 (1980), the Supreme Court intimated that a party prevailing on a substantial claim that is pendent to a civil rights claim is entitled to a recovery of attorney‘s fees when the civil rights claim and the pendent claim arise out of a common nucleus of operative facts. This Circuit, along with other circuits, has followed the Supreme Court‘s direction.
These cases demonstrate that the federal courts are aware of the fact that often a court will affirm a judgment on a pendent, noncivil rights claim when to do so will allow it to avoid an unnecessary decision on a difficult constitutional issue.39
Thus, under our precedent attorney‘s fees may be awarded even if the
SWBT grounded its
EPCWID argues that a violation of the FTA cannot be the basis for a
IV.
We AFFIRM in part, REVERSE in part, and REMAND, for a determination of reasonable attorney‘s fees pursuant to