⚖ Oral Arguments, with Context

A Puerto Rico developer says the public water and sewer authority is using a privately built sewage pump station without paying the costs it imposes. The developer built the station for a residential project. A nearby housing community was then connected, sending additional wastewater through it. The developer says the authority refuses to take over the station, leaving it to pay for operation and maintenance while the authority continues collecting sewer fees. It filed a federal lawsuit in twenty twenty, seeking compensation and other relief. The Fifth Amendment requires the government to pay just compensation for private property taken for public use. The dispute includes whether the company has a protected property interest in the station, and whether the authority's conduct is a physical taking or instead a restriction on how property may be used. Physical takings concern occupation or appropriation of property; regulatory takings concern restrictions that go far enough to require compensation. There is also a statute-of-limitations question, the deadline for bringing a lawsuit. Does continued sewage flow keep the claim timely, or did the clock begin with government actions years earlier? Finally, the court will explore what process was available for the company to challenge the authority's refusal to accept the station and its repair demands.

Estancias de Cerro Mar, Inc. v. Puerto Rico Aqueduct and Sewer Authority (No. 25-1161) — U.S. Court of Appeals for the First Circuit, argued November 2, 2026.