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Granting Utilities Franchises Not Restraint of Trade
Several cities in Idaho entered into various gas and water utility franchise agreements with the Boise Water Corp., Capital Securities Water Corp., and Intermountain Gas Co. Each of the franchise agreements was embodied in a city ordinance adopted by the respective city governments. The franchise agreements provided that the cities would not engage in the business of or enter into competition with the utilities. The agreements provided a grant of authority giving the utilities the right and authority for a specific number of years to maintain a transmission and distribution system within the public area of the city limits. The utilities were required to pay the city 3 percent of the gross annual receipts from all sales within the corporate limits as consideration for the franchise contract. Kenneth Alpert and the Flying H Trailer Ranch Inc. challenged the cities' authority to grant such franchises. The trial court ruled for the cities, as did the appellate court.
Granting Utilities Franchises Not Restraint of Trade
Several cities in Idaho entered into various gas and water utility franchise agreements with the Boise Water Corp., Capital Securities Water Corp., and Intermountain Gas Co. Each of the franchise agreements was embodied in a city ordinance adopted by the respective city governments. The franchise agreements provided that the cities would not engage in the business of or enter into competition with the utilities. The agreements provided a grant of authority giving the utilities the right and authority for a specific number of years to maintain a transmission and distribution system within the public area of the city limits. The utilities were required to pay the city 3 percent of the gross annual receipts from all sales within the corporate limits as consideration for the franchise contract. Kenneth Alpert and the Flying H Trailer Ranch Inc. challenged the cities' authority to grant such franchises. The trial court ruled for the cities, as did the appellate court.
Granting Utilities Franchises Not Restraint of Trade
1991-04-01
1 pages
Article (Journal)
Electronic Resource
English
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