Judge Deems Calif. City's Utility Fees Unconstitutional

Law360, New York (June 8, 2011, 8:40 PM EDT) -- A federal judge ruled Monday that the city of Alhambra, Calif., violated the contracts clause of the U.S. and California constitutions by adopting a resolution that caused a pair of utility companies to be double-charged for construction work on city streets.

U.S. District Judge Percy Anderson found that the measure, which required Southern California Gas Co. and Southern California Edison Co. to pay thousands of dollars in fees for utility work, conflicted with franchise agreements the companies maintained with Alhambra that collected fees for the same...
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