Sixth District Court Upholds Monterey County Desalination Plant Approval, Reverses Initial Judgment

In an interesting turn of events, the Sixth District Court of Appeal reversed an initial trial court’s judgment, which held that Monterey County’s permitting of a desalination plant was unjustified. This conclusion came in response to a writ set aside by the court against the investor-owned public utility/water supplier California-American Water Company (“Cal-Am”), as documented…

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Condemnation Ruling Sparks ADIT Debate: Implications for Public Utilities and Government Revenues

Private letter rulings by the IRS are typically not public affairs. Yet, one recent decision is capturing the legal community’s attention. The matter at hand relates to the treatment of Accumulated Deferred Income Taxes (ADIT) connected to properties subjected to ‘condemnation’. In this specific ruling, the IRS concluded that condemnation of public utility property signifies…

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Illinois Attorney General Sues Residents Energy for Deceptive Practices: Implications for Alternative Energy Suppliers

In a recent development in Illinois, Attorney General Kwame Raoul has filed a lawsuit against Residents Energy, LLC, claiming that the alternative retail electric supplier committed a severe breach of both the Illinois Consumer Fraud and Deceptive Business Practices Act and the Illinois Telephone Solicitations Act. The crux of the issue lies with the allegation…

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Hospital Merger Exemption Tests Balance of Federal Antitrust Laws and State Regulations

In a case of first impression, a US district court judge recently ruled that the acquisition of three New Orleans-area hospitals by Louisiana Children’s Medical Center from HCA Healthcare, Inc. was free from both the federal antitrust laws and the Hart-Scott-Rodino (HSR) Act premerger notification and filing requirements pursuant to the state action doctrine. The…

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