ELR Citation: 51 ELR 20128
No(s). 19-1039 (U.S. Jun 29, 2021)

The U.S. Supreme Court held, 5-4, that the Natural Gas Act (NGA) authorizes FERC certificate holders to condemn all necessary rights-of-way, whether owned by private parties or states, in a lawsuit concerning construction of a 116-mile natural gas pipeline from Pennsylvania to New Jersey. The company constructing the pipeline had sought to exercise federal eminent domain power under the NGA to obtain rights-of-way along the pipeline route approved by FERC, and the state of New Jersey moved to dismiss on sovereign immunity grounds. A district court denied the motion and granted the company's requests for a condemnation order and preliminary injunctive relief. The Third Circuit vacated the order insofar as it awarded the company relief with respect to New Jersey's property interests, concluding the company was not authorized to condemn the state's property because the NGA did not clearly delegate to certificate holders the federal government's ability to sue nonconsenting states. The Supreme Court held the NGA does delegate to certificate holders the power to condemn any necessary rights-of-way, including land in which a state held interest, and that condemnation actions do not offend state sovereignty because states consented to the exercise of federal eminent domain power, whether by public officials or private delegates, when they ratified the U.S. Constitution. It therefore reversed the Third Circuit ruling and remanded for further proceedings. Roberts, C.J., delivered the opinion of the Court, in which Breyer, Alito, Sotomayor, and Kavanaugh, JJ., joined. Gorsuch, J., filed a dissenting opinion, in which Thomas, J., joined. Barrett, J., filed a dissenting opinion, in which Thomas, Kagan, and Gorsuch, JJ., joined.