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Texas Supreme Court weighs whether state pole‑attachment law can be enforced as a contract breach
Summary
At oral argument in Spectrum Gulf Coast v. City of San Antonio, petitioner counsel argued that a contract clause requiring compliance with all laws and an evergreen provision together make the Public Utility Regulatory Act §54.204 enforceable as a breach of contract; the city disputed that the 1984 agreement covers modern broadband attachments or that §54.204 applies retroactively.
The Supreme Court of Texas heard argument over whether the state’s anti‑discrimination pole‑attachment rule, Public Utility Regulatory Act §54.204, can be enforced as a breach of contract against a municipal utility in Spectrum Gulf Coast v. City of San Antonio.
Mister Alexander, counsel for petitioner Spectrum Gulf Coast, told the court that two contract provisions—section 6(a), a "comply‑with‑laws" clause, and an evergreen clause in Article 19—together support Spectrum’s claim that a municipal utility’s later violation of §54.204 can constitute a breach. "It requires us, in this case, CPS, to comply with any regulations, laws, or ordinances that may affect the rights of obligations…
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