Legal Research AI

Redondo-Borges v. United States Department of Housing & Urban Development

Court: Court of Appeals for the First Circuit
Date filed: 2005-08-26
Citations: 421 F.3d 1
Copy Citations
71 Citing Cases

          United States Court of Appeals
                      For the First Circuit

No. 04-2576

                   MIGUEL REDONDO-BORGES ET AL.,
                      Plaintiffs, Appellants,

                                v.

              UNITED STATES DEPARTMENT OF HOUSING AND
                     URBAN DEVELOPMENT ET AL.,
                       Defendants, Appellees.


          APPEAL FROM THE UNITED STATES DISTRICT COURT
                 FOR THE DISTRICT OF PUERTO RICO

        [Hon. Jay A. García-Gregory, U.S. District Judge]


                               Before
                      Selya, Dyk* and Howard,
                          Circuit Judges.


     Miguel J. Ortega-Muñoz, with whom John F. Nevares, Waleska M.
Valdes-Marchand, and John F. Nevares & Associates, PSC were on
brief, for appellants.
     Robert D. Kamenshine, Attorney, Appellate Staff, Civil
Division, United States Department of Justice, with whom Peter D.
Keisler, Assistant Attorney General, H. S. Garcia, United States
Attorney, and Barbara C. Biddle, Attorney, were on brief, for
federal appellees.
     Salvador Antonetti-Stutts, Solicitor General of Puerto Rico,
with whom Mariana D. Negrón-Vargas, Deputy Solicitor General, and
Doraliz E. Ortiz-De-León, Assistant Solicitor General, were on
brief, for remaining appellees.

__________
*Of the Federal Circuit, sitting by designation.


                          August 26, 2005
           SELYA,    Circuit   Judge.       This   appeal     involves   a

disappointed bidder who, after apparently winning the procurement

race, lost the prize when the contracting agency deemed him (and

his company) "nonresponsible."     After careful review, we conclude

that the plaintiffs' federal claims, to the extent they have been

preserved, fail to state cognizable causes of action under 42

U.S.C. § 1983.       Consequently, we affirm the district court's

dismissal of the action.

I.   BACKGROUND

           Since the district court decided this case on a motion to

dismiss, we derive the raw facts from the plaintiffs' amended

complaint (supplemented, for the sake of completeness, by certain

uncontested facts).

           The tale began on December 4, 2001, when the Puerto Rico

Public Housing Authority (PRPHA) awarded plaintiff-appellant Celta

Construction Co. (Celta) a contract to restore the Lirios del Sur

housing project in Ponce, Puerto Rico.      The funds for that project

had been assigned to PRPHA as part of a drug elimination program

sponsored by the United States Department of Housing and Urban

Development (HUD).

           Plaintiff-appellant    Miguel    Redondo-Borges     is   Celta's

president.   In a letter dated May 21, 2002, PRPHA informed Celta

that it was annulling the bid award because it had determined that

Redondo-Borges    (and,   therefore,    Celta)   was   a   "nonresponsible


                                  -2-
bidder."     The agency premised that determination on the past

actions of Redondo Construction Company (RCC). According to PRPHA,

RCC (a firm in which Redondo-Borges served as an officer) had

defaulted on a contract with the agency in 1998.            That contract

related to the same Lirios de Sur housing project.1

            The amended complaint claims, without an iota of detail,

that in addition to losing the 2001 bid award, Redondo-Borges and

his companies have been suspended from participating in public

contracts ever since RCC's alleged default.         The amended complaint

also claims that the plaintiffs have lost unspecified private

business because a local newspaper published an account of PRPHA's

"nonresponsibility" determination.

II.   TRAVEL OF THE CASE

            Redondo-Borges, his wife, and their conjugal partnership

brought the underlying action in the federal district court on May

19, 2003.    They later amended their complaint to add Celta as a

plaintiff.    The amended complaint named two groups of defendants:

HUD, the Secretary of HUD, and two lower-ranking HUD officials,

Thomas    Teresi   and   Michael   Colon   (collectively,     the   federal

defendants) comprise one group and PRPHA and three PRPHA officials,

Ileana     Echegoyen,    Jorge     Rivera,    and    Carlos     Laboy-Diaz


      1
      Although Redondo-Borges and RCC challenged the allegations of
default, it is unclear what has become of that challenge.       The
record reveals only that the challenge went to arbitration. There
is no information about either the outcome or the status of the
arbitration proceeding.

                                    -3-
(collectively, the commonwealth defendants) comprise the other.

The plaintiffs advanced claims under 42 U.S.C. § 1983 and the

Privacy Act of 1974, 5 U.S.C. § 552a, to which they appended claims

under   local   law   for   breach   of    contract   and   the   like.   The

defendants variously moved to dismiss the amended complaint for

lack of subject matter jurisdiction and for failure to state an

actionable claim.     See Fed. R. Civ. P. 12(b)(1), (6).          The district

court referred the motions to a magistrate judge, see Fed. R. Civ.

P. 72(b), who recommended dismissal.           The plaintiffs objected to

the magistrate judge's recommended disposition of the motions.

           The district court reviewed the matter de novo.             See id.

The court ultimately issued a thoughtful opinion in which it (i)

dismissed the claims against the federal defendants because the

plaintiffs had failed to state any viable cause of action against

them; (ii) dismissed the claims for money damages against the

commonwealth defendants in their official capacities on the ground

of Eleventh Amendment immunity; (iii) dismissed the claims for

prospective injunctive relief against the commonwealth defendants

in their official capacities because the plaintiffs had failed to

state any claim cognizable under section 1983; (iv) dismissed the

claims against the commonwealth defendants in their individual

capacities based on qualified immunity; (v) dismissed the Privacy

Act claims against the commonwealth defendants because the Act

applies only to federal agencies; and (vi) elected not to exercise


                                     -4-
supplemental jurisdiction over the remaining claims, which it

dismissed without prejudice pursuant to 28 U.S.C. § 1367(c).    See

Celta Constr. v. HUD, 337 F. Supp. 2d 396, 399-403 (D.P.R. 2004).

This timely appeal followed.

III.   DISCUSSION

           We subdivide our analysis of the issues presented into

several segments.        We begin by elucidating some of the legal

standards applicable to motions to dismiss.

                    A.   The Rule 12(b)(6) Framework.

           The district court dismissed the plaintiff's action for

failure to state a claim upon which relief might be granted.

Because there is no heightened pleading standard in civil rights

cases, Educadores Puertorriqueños en Acción v. Hernández, 367 F.3d

61, 66-67 (1st Cir. 2004), a district court considering a Rule

12(b)(6) motion must view the plaintiff's complaint through the

prism of Fed. R. Civ. P. 8(a)(2)'s notice pleading requirements.

Centro Medico del Turabo, Inc. v. Feliciano de Melecio, 406 F.3d 1,

5 (1st Cir. 2005).       "A complaint satisfies that standard if it

contains 'a short and plain statement of the claim showing that the

pleader is entitled to relief,' and 'give[s] the defendant fair

notice of what the plaintiff's claim is and the grounds upon which

it rests.'"   Id. (alteration in original) (quoting Fed. R. Civ. P.

8(a)(2) and Conley v. Gibson, 355 U.S. 41, 47 (1957)).




                                   -5-
              The court must "assume the truth of all well-pleaded

facts     and   indulge       all   reasonable         inferences       that    fit     the

plaintiff's stated theory of liability."                       In re Colonial Mortg.

Bankers Corp., 324 F.3d 12, 15 (1st Cir. 2003).                    Those facts may be

derived from the complaint, whatever documents are either annexed

to it or fairly incorporated into it, and any relevant matters that

are susceptible to judicial notice.                Centro Medico, 406 F.3d at 5.

In   that     process,       however,     the    court    need    not    credit       "bald

assertions,            unsupportable              conclusions,           periphrastic

circumlocutions, and the like."                 Aulson v. Blanchard, 83 F.3d 1, 3

(1st Cir. 1996).

              We review the entry of an order of dismissal under Rule

12(b)(6) de novo, applying the same criteria that bound the lower

court.    Centro Medico, 406 F.3d at 5.               The threshold for affirmance

is high:      "[w]e will affirm a dismissal only if it is transparently

clear that the complaint, in light of the facts alleged, engenders

no viable theory of liability."                 Id. at 6.

                                     B.    Waiver.

              We begin our discussion of the plaintiffs' claims by

explaining      what    is    not   before      us.      Few    principles     are    more

sacrosanct in this circuit than the principle that "issues adverted

to   in   a   perfunctory       manner,    unaccompanied         by    some    effort   at

developed argumentation, are deemed waived."                          United States v.

Zannino, 895 F.2d 1, 17 (1st Cir. 1990).                    As a corollary to this


                                           -6-
principle, "a litigant has an obligation to spell out its arguments

squarely and distinctly, or else forever hold its peace."                        Id.

(internal quotation marks omitted).              Even during appellate review

of a Rule 12(b)(6) dismissal, which takes place under a set of

plaintiff-friendly         guidelines,     the   reviewing      court   cannot   be

expected     to    "do    counsel's    work,   create     the   ossature   for   the

argument, and put flesh on its bones."              Id.

             Application of these wise insights narrows the field of

our endeavor.        In their brief, the plaintiffs completely ignore

both the district court's holding on their Privacy Act claim and

its scuttling of their supplemental claims. We therefore deem them

to have waived any appeal as to those rulings.                     The only claims

that remain for adjudication are those advanced under 42 U.S.C.

§ 1983.      We address those claims in the pages that follow.

        C.   Constitutional Claims Against Federal Defendants.

             The    plaintiffs    try    to    shoehorn    their    constitutional

claims against the federal defendants into the contours of section

1983.     That endeavor has all the hallmarks of a futile gesture:

after all, a section 1983 claim normally does not lie against a

federal official. See Chatman v. Hernandez, 805 F.2d 453, 455 (1st

Cir. 1986) (per curiam) ("Section 1983 applies to persons acting

'under color of state law' and not to persons acting pursuant to

federal law.").          The plaintiffs allege no facts that might permit

a detour around that rule.            Cf. Hampton v. Hanrahan, 600 F.2d 600,


                                         -7-
623 (7th Cir. 1979) (explaining that a section 1983 claim may lie

against federal officers "when [they] are engaged in a conspiracy

with state officials to deprive constitutional rights").

            Federal    officials    sometimes     can   be    liable    for

constitutional torts committed under color of federal law on terms

that bear a family resemblance to those that govern section 1983

actions. The doctoral framework was limned by the Supreme Court in

Bivens v. Six Unknown Named Agents of FBN, 403 U.S. 388, 397

(1971).    Here, however, even if we give the plaintiffs the benefit

of every doubt and recharacterize their claims against the federal

defendants as Bivens claims, they would still succumb.

            The   amended   complaint's   only   allegation   against   the

federal defendants is that "[HUD] was fully aware of [PRPHA's]

absolute disregard of award procedures, and did not correct nor

adequately supervise the wrongdoing . . . that it was funding."

These bald assertions are fundamentally insufficient to support a

Bivens claim.      Most importantly, the plaintiffs have failed to

connect the federal defendants to the actions central to this case,

that is, the alleged debarment, PRPHA's "nonresponsible bidder"

determination, and the 2002 rescission of the Lirios del Sur bid

award.    Although the amended complaint indicates that HUD may have

had some general duty of oversight vis-à-vis PRPHA, it does not

allege any legally enforceable connection between HUD and the

supposed deprivation of due process on which the plaintiffs' claims


                                   -8-
depend. Without such a connection, no colorable section 1983 claim

exists.2

           In all events, the language of the amended complaint

indicates that, as to the federal defendants, the plaintiffs are

attempting to raise a claim of negligent supervision.            Such a

claim, if stated, would constitute a tort action within the purview

of the Federal Tort Claims Act (FTCA), 28 U.S.C. §§ 1346(b), 2671-

2680, not a Bivens action. See, e.g., Bolduc v. United States, 402

F.3d 50, 59-62 (1st Cir. 2005).      Yet the plaintiffs have not sued

the United States in tort, nor have they alleged compliance with

the administrative prerequisites for an FTCA action.        See Cotto v.

United States, 993 F.2d 274, 280 (1st Cir. 1993) (describing

administrative     scheme   and   explaining   that   "[e]xhaustion    of

plaintiffs'      administrative    remedies    is     a   jurisdictional

prerequisite to the prosecution of their FTCA claims").               This

omission reinforces our conclusion that the allegations of the

amended complaint engender no viable theory of liability against

the federal defendants.



     2
      The plaintiffs made additional allegations against the
federal defendants in other submissions to the district court (such
as their memorandum in opposition to the motions to dismiss).
These additional allegations are not properly before us.        See
Centro Medico, 406 F.3d at 5; Colonial Mortg. Bankers, 324 F.3d at
15-16.   We add, moreover, that even were we to take them into
account, the plaintiffs would still fail to state a valid
constitutional claim against the federal defendants. None of these
allegations links the federal defendants to any alleged
constitutional violation.

                                   -9-
       D.   Section 1983 Claims Against Commonwealth Defendants.

             In   the   district    court,   the    plaintiffs   effectively

conceded that Eleventh Amendment immunity bars a federal court from

awarding monetary damages against the commonwealth defendants in

their official capacities.         Celta Constr., 337 F. Supp. 2d at 401.

Yet Eleventh Amendment immunity does not bar prospective injunctive

relief against official-capacity defendants.               See Rosie D. v.

Swift, 310 F.3d 230, 234 (1st Cir. 2002); Fred v. Roque, 916 F.2d

37, 39 (1st Cir. 1990) (per curiam).          Nor does that doctrine bar

relief (whether in the form of money damages or an injunction)

against the commonwealth defendants in their individual capacities.

See Ex Parte Young, 209 U.S. 123, 159 (1908); Rosie D., 310 F.3d at

234.    We proceed to examine these asserted claims.

             "Section 1983 supplies a private right of action against

a person who, under color of state law, deprives another of rights

secured by the Constitution or by federal law."             Evans v. Avery,

100 F.3d 1033, 1036 (1st Cir. 1996).               The first condition of a

viable section 1983 claim — that the act in question occur "under

color of state law" — is satisfied here.           Puerto Rico is considered

a state for section 1983 purposes, see Deniz v. Municipality of

Guaynabo, 285 F.3d 142, 146 (1st Cir. 2002), and the amended

complaint challenges actions attributed to PRPHA (an agency of the

Puerto Rican government) and its functionaries (the individual

commonwealth defendants).      Thus, we focus the lens of our inquiry


                                     -10-
on the second condition of a viable section 1983 claim — whether

there has been a deprivation of rights secured to the plaintiffs

either by the Constitution or by federal law.

           In this instance, the plaintiffs claim that they have

been deprived of their Fourteenth Amendment right to procedural due

process.   For that claim to succeed, the plaintiffs must identify

a protected property or liberty interest.   Centro Medico, 406 F.3d

at 7 (citing Board of Regents v. Roth, 408 U.S. 564, 569 (1972)).

Because the plaintiffs invoke no liberty interest, we confine our

discussion to the existence vel non of a constitutionally protected

property interest.3


     3
      These plaintiffs have not argued a claim premised on a
liberty interest. Had they done so and had they alleged sufficient
facts to support it, this case might have taken a different turn.
See, e.g., Smith & Wesson v. United States, 782 F.2d 1074, 1081
(1st Cir. 1986) ("While the deprivation of the right to bid on
government contracts is not a property interest . . ., the bidder's
liberty interest is affected when that denial is based on charges
of fraud and dishonesty." (quoting Transco Security, Inc. v.
Freeman, 639 F.2d 318, 321 (6th Cir. 1981))); Old Dominion Dairy
Prods. v. Sec'y of Def., 631 F.2d 953, 962-63 (D.C. Cir. 1980)
(holding that the government deprived disappointed bidder of a
constitutionally   protected   liberty   interest   when   it  made
stigmatizing charges that "effectively foreclosed [the disappointed
bidder's] freedom to take advantage of other Government employment
opportunities, and barred [it] from all public employment"). But
see Siegert v. Gilley, 500 U.S. 226, 233-34 (1991) (holding that
statements that "would undoubtedly damage the reputation of one in
[plaintiff's] position, and impair his future employment prospects"
nevertheless did not amount to a deprivation of a constitutionally
protected liberty interest).
     Here, however, even if the plaintiffs had advanced a liberty
interest argument in their brief, the outcome of our analysis would
remain unchanged.    The cases that support the existence of a
protected liberty interest are relevant only to the plaintiffs'
effective debarment claim, which, no matter the interest raised,

                               -11-
           To   establish   a   constitutionally    protected   property

interest, a plaintiff "must have more than an abstract need or

desire for [a thing] . . . [and] more than a unilateral expectation

of it."   Roth, 408 U.S. at 577.    A plaintiff instead must "have a

legitimate claim of entitlement to it."    Id.     Here, however, we are

unable to find any clear statement of the precise property interest

that the plaintiffs contend is at stake.

           After combing the amended complaint and conducting the

robed equivalent of an archeological dig, we conclude that, in a

best-case scenario, the plaintiffs can be said to allege three

property interests:   (i) a property interest associated with their

seven-year effective debarment from PRPHA contracting; (ii) a

property interest associated with PRPHA's "nonresponsible bidder"

determination; and (iii) a property interest associated with the

rescission of the Lirios del Sur bid award.4          We discuss these

three possibilities in sequence.

           1.   Effective Debarment.     The plaintiffs allege that

PRPHA has effectively debarred them from government contracting for


has been pleaded without the necessary factual underpinnings.
     4
      The plaintiffs seem to have adopted a semantic strategy in
which they consistently refer to the Lirios del Sur bid award as
"the contract" (as if the bid award were a full-fledged contract).
That word choice leads to some confusion. Insofar as we can tell,
what PRPHA allegedly breached was not a full-fledged construction
contract (no such contract is alleged to have been entered into
between Celta and PRPHA), but, rather, the antecedent bid award.
The contract rescission to which we refer, therefore, is the
annulment of the bid award and nothing more.

                                  -12-
the   last   seven   years   without   ever   promulgating   an   explicit

debarment order.5     It is unnecessary for us to reach the issue of

whether there is a constitutionally protected property interest

associated with effective debarment because the plaintiffs have not

alleged sufficient facts to establish the underlying debarment. We

explain briefly.

             The amended complaint does little more than describe what

the plaintiffs call a suspension.        Although it does not embellish

this bare conclusory allegation, we assume, favorably to the

plaintiffs, that by suspension they mean effective debarment or

even blacklisting. See supra note 5. Still, the amended complaint

does not anchor this pejorative term in any supporting facts.          In

particular, the plaintiffs have not averred that they have bid on

any PRPHA contracts other than Lirios del Sur since 1998.         A single

incident is insufficient to establish a pattern or practice of

exclusion (and, thus, to establish even a de facto debarment). Cf.

Jensen v. Frank, 912 F.2d 517, 523 (1st Cir. 1990) (noting, in the

Title VII context, that "[a] single instance of favoritism, even if

proved, falls considerably short of showing an ongoing pattern and

practice").




      5
      The plaintiffs use the term "effective debarment" for the
first time in their appellate brief.    At oral argument in this
court, they substituted the term "blacklisting." Neither of these
dysphemisms appear in the amended complaint.

                                  -13-
           The   fact     that   notice    pleading    governs   at   the   Rule

12(b)(6) stage does not save the plaintiffs' conclusory allegation.

"[I]n a civil rights action as in any other action subject to

notice pleading standards, the complaint should at least set forth

minimal facts as to who did what to whom, when, where, and why . .

. ."   Educadores, 367 F.3d at 68.        Notice pleading requirements may

be minimal — but "minimal requirements are not tantamount to

nonexistent requirements."         Gooley v. Mobil Oil Corp., 851 F.2d

513, 514 (1st Cir. 1988).         Even within the generous confines of

notice pleading, courts must continue to "eschew . . . reliance on

bald assertions [and] unsupportable conclusions."              Chongris v. Bd.

of Appeals, 811 F.2d 36, 37 (1st Cir. 1987).

           The plaintiffs' omissions are especially telling here.

Elsewhere in the record, the plaintiffs flatly contradict their

conclusory   claim   of    effective      debarment.     For   example,     in   a

memorandum filed in the district court, they asserted that Redondo-

Borges, through Celta, "had bid in other PRPHA bids" and added that

"it was never argued by the agency that [Redondo-Borges] was a non-

responsible contractor."         We thus reject the naked mention of an

undocumented suspension as a possible source of a constitutionally

protected property interest.

           2.    The "Nonresponsible Bidder" Determination.                  The

plaintiffs allege that, as the rationale for its rescission of the

Lirios del Sur bid award, PRPHA determined that Redondo-Borges was


                                     -14-
nonresponsible and imputed his failings to Celta.           To the extent

that the plaintiffs' due process claims revolve around a supposed

property interest in their "responsible bidder" status, we are

unable to perceive how such an interest amounts to anything greater

than a unilateral expectation.

           A property interest does not vest simply because a

government agency has developed a responsibility-determination

scheme to aid in bid award decisions.      See generally Smith & Wesson

v. United States, 782 F.2d 1074, 1081 (1st Cir. 1986) ("Award

procedures are not designed to establish private entitlements to

public contracts but to produce the best possible contracts for the

government.").     Thus, a would-be bidder cannot claim a property

interest in the responsibility-determination procedure alone.            Cf.

Navas v. Gonzalez Vales, 752 F.2d 765, 768 (1st Cir. 1985) ("[T]he

mere fact that the [government] has promulgated procedural rules by

which to make retention decisions does not by itself create a

constitutionally    cognizable      property     interest   in   continued

employment . . . .").

           By the same token, the plaintiffs' dashed hopes of

receiving future government work, without more, cannot yield a

constitutionally protected property interest. That is true even if

those dashed hopes stem from PRPHA's nonresponsibility declaration.

See Walentas v. Lipper, 862 F.2d 414, 419 (2d Cir. 1988) (finding

no   property   interest   in   a   frustrated    expectation    of   future


                                    -15-
employment).     The short of it is that the plaintiffs do not have a

strong enough claim of entitlement to a "responsible bidder"

designation      to   create   a    constitutionally   protected      property

interest.

            3.   The Rescission of the Bid Award.      Last but not least,

the plaintiffs claim a property interest in the Lirios del Sur bid

award — an award that PRPHA bestowed on them in 2001 and then

revoked in 2002.      A recurrent theme in this court's jurisprudence

illuminates the path to our holding that the plaintiffs' interest

in the bid award does not rise to the level of a constitutionally

protected property interest.

            We have held with a regularity bordering on the echolalic

that   a    simple    breach   of    contract   does   not   amount    to   an

unconstitutional deprivation of property.          See, e.g., Lee v. Life

Ins. Co. of N. Am., 23 F.3d 14, 20 n.11 (1st Cir. 1994); Boston

Envtl. Sanit. Inspectors Ass'n v. City of Boston, 794 F.2d 12, 13

(1st Cir. 1986) (per curiam); Casey v. DePetrillo, 697 F.2d 22, 23

(1st Cir. 1983) (per curiam); Jimenez v. Almodovar, 650 F.2d 363,

370 (1st Cir. 1981).       Many of our sister circuits have adopted a

similar stance.       See, e.g., S & D Maint. Co. v. Goldin, 844 F.2d

962, 966 (2d Cir. 1988) ("An interest in enforcement of an ordinary

commercial contract with a state is qualitatively different from

the interests the Supreme Court has thus far viewed as 'property'

entitled to procedural due process protection."); San Bernardino


                                      -16-
Physicians' Servs. Med. Group v. County of San Bernardino, 825 F.2d

1404, 1410 (9th Cir. 1987) (concluding that a contract that "cannot

sensibly be distinguished from construction contracts or even

purely material supply contracts . . . presents no federal case"

under section 1983).6

           This view of the law makes eminently good sense. To hold

otherwise would run the risk of transmogrifying virtually every

dispute involving an alleged breach of contract by a state or a

state agency into a constitutional case.         We eschew so rash a

course and hold, consistent with our prior precedents, that the

existence of a state contract, simpliciter, does not confer upon

the   contracting   parties   a   constitutionally   protected   property

interest. See Boston Envtl., 794 F.2d at 13; see also Wehran-P.R.,

Inc. v. Municipality of Arecibo, 106 F. Supp. 2d 276, 287 (D.P.R.

2000) (observing correctly that this court has been reluctant to

equate mere breaches of contract with due process violations).




      6
      To be sure, one court of appeals appears to have adopted the
opposite position. See Enertach Elec., Inc. v. Mahoning County
Comm'rs, 85 F.3d 257, 260 (6th Cir. 1996) ("A constitutionally
protected property interest in a publicly bid contract can be
demonstrated . . . [when a bidder shows] that it actually was
awarded the contract and then deprived of it . . . ."). We not
only reject this minority view, but also acknowledge that we are
bound to do so by the prior (contrary) decisions of this court.
See Eulitt v. Me., Dep't of Educ., 386 F.3d 344, 349 (1st Cir.
2004) (explaining that "newly constituted panels in a multi-panel
circuit [ordinarily] should consider themselves bound by prior
panel decisions").

                                   -17-
Thus, an alleged breach of such a contract is not per se actionable

under section 1983.

          There are no special circumstances in this case that

might justify a departure from this settled position.          See, e.g.,

Linan-Faye Constr. Co. v. Hous. Auth., 49 F.3d 915, 932 (3d Cir.

1995) (holding that two categories of state contracts can give rise

to a constitutionally protected property interest:            those that

"confer[] a protected status" and those that "include[] a provision

that the state entity can terminate the contract only for cause").

Indeed, the only special circumstances that might be gleaned from

the   amended   complaint   are   the    suspension   and    the   related

"nonresponsible bidder" determination, both of which already have

been deemed insufficient to ground a constitutionally protected

property interest.    See supra Part III(D)(1)-(2).         This is not a

situation in which the whole is greater than the sum of the parts.

          The amended complaint, stripped of rhetorical flourishes,

tells a simple tale: PRPHA anointed Celta as the successful bidder

for a construction project and then, upon its discovery of new

information, reversed direction and rescinded the earlier award.

Taking the well-pleaded facts in the amended complaint in the light

most favorable to the plaintiffs, this story may suffice to state

a breach of contract claim. When cast as a putative constitutional

claim, however, the story rings hollow.          Given the paucity of

facts, allowing a section 1983 claim in a case like this one would


                                  -18-
lead us down a slippery slope to an untenable result:                   the

constitutionalization of all contract law in cases in which a state

actor is a party.     We decline to take so precipitous a step.

            That ends the matter. Because the plaintiffs identify no

constitutionally protected property interest, it is unnecessary to

delve any deeper into the section 1983 inquiry.          By the same token,

we need not reach either the issue of qualified immunity or the

issue of whether the post-deprivation process available to Celta

after the revocation of the bid award satisfied any applicable due

process requirement. Without a constitutionally protected interest

— and there is none here — the plaintiffs have no hope of stating

a viable section 1983 claim.

IV.   CONCLUSION

            We need go no further.         If the plaintiffs have alleged

any valid claim, it is a breach of contract claim.            The district

court dismissed that claim without prejudice to a refiling in the

commonwealth courts — and the plaintiffs have not challenged the

propriety    of    that   ruling.    None     of   the   plaintiffs'   other

(preserved) claims states a cognizable basis on which relief can be

granted.     Accordingly, we uphold the district court's order of

dismissal.



Affirmed.




                                    -19-