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United Automobile, Aerospace, Agricultural Implement v. Luis Fortuno, et al

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Before Boudin, Stahl, and Howard, Circuit Judges.

STAHL, Circuit Judge. The plaintiffs, a collection of labor organizations and public employees, sued Governor Luis A. Fortuno and a number of other Puerto Rico government officials (collectively “defendants”) in the United States District Court for the District of Puerto Rico. The plaintiffs alleged, among other claims, that Puerto Rico’s Act No. 7 violates the Contract Clause in Article I, Section 10 of the United States Constitution. The district court, pursuant to Federal Rule of Civil Procedure 12(b)(6), dismissed the plaintiffs’ claims. Because we find that the plaintiffs’ third amended complaint (“complaint”) failed to state a claim for a violation of the Contract Clause, we affirm.

I. Facts and Background

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