Eminent Domain Report

We recently detailed Assembly Bill 254, which overhauls California’s approach to wildfires. In addition to promoting new transmission facilities, replenishing the wildfire fund, streamlining the siting process and exempting underground plans, there was a notable addition that has not received as much attention: the Natural Catastrophe Resilience Study. There’s a great article by Travis Ritchie, California Wonders if it is Doing Wildfire Risk All Wrong, that covers this topic. In particular, he notes that utilities in California are vulnerable to wildfire liability ...

On November 27, 2019, U.S. Bankruptcy Judge Dennis Montali issued a Memorandum Decision on Inverse Condemnation (“Memorandum Decision”) in PG&E Corporation and Pacific Gas & Electric’s (together, “PG&E”) Chapter 11 Bankruptcy proceeding in the U.S. Bankruptcy Court for the Northern District of California (Case No. 19-30088).  PG&E challenged the application of the doctrine of inverse condemnation in connection with the 2015, 2017, and 2018 California wildfires.  In the Memorandum Decision, Judge Montali ruled against PG&E and instead concluded that the doctrine ...

One of the hot issues in eminent domain these days involves the government's efforts to take over privately-run utility companies.  The argument typically is that the government -- which has no profit-making motive -- can run the utility at a lower cost, saving the ratepayers money.   Not surprisingly, the utility companies feel otherwise.

In California, one of the first cases to reach trial on this issue is about to wrap up.  The City of Claremont sought to condemn the Golden State Water Company's assets, and Golden State fought the City's right to take.

In a Court trial (i.e., a trial ...

If you happen to be in Austin this week, stop by and see me at the ALI-ABA Eminent Domain Conference.  It starts Thursday, January 28 and runs through Saturday.  I'll be speaking Thursday afternoon on the condemnation of privately-held utility companies -- an issue that's certainly been in the press here in California recently.  I'll be speaking with Christopher Clough of Barron & Adler in Austin, and he's been "in the trenches" on a number of utility-company condemnation issues in Texas.

Aside from my session, there will be a lot of good presentations, including a national eminent domain ...