| No search history |
Your feedback is extremely important to us and greatly appreciated.
Tell us what went wrong

The Federal Power Commission v. Amerada Petroleum Corp. et al., 1964, was a case that revolved around the jurisdiction of the Federal Power Commission (FPC) over natural gas companies' sales for resale in interstate commerce. The FPC had issued orders setting rates for such sales by independent producers who were not engaged in any other phase of the natural gas business except production and gathering. These orders were challenged by several oil companies including Amerada Petroleum Corp., asserting that these transactions fell outside the scope of FPC's authority under Natural Gas Act as they are not "natural-gas companies". However, Supreme Court ruled in favor of FPC stating that Congress intended to give it regulatory power over all aspects of selling natural gas in interstate commerce for resale and thus upheld its jurisdiction even if sellers only engage in production and gathering activities.
In the dissenting opinion for Federal Power Commission v. Amerada Petroleum Corp., Justice Harlan argued that the majority's decision to allow the Federal Power Commission (FPC) to regulate natural gas producers' sales at wellheads was a misinterpretation of both legislative intent and precedent. He contended that Congress, in passing the Natural Gas Act, did not intend for such extensive regulatory power over independent producers who were not engaged in interstate commerce but rather only those involved directly with transportation or sale across state lines. Furthermore, he pointed out that previous court decisions had upheld this limited interpretation of FPC authority. By extending its reach into areas traditionally governed by states' rights and private contracts, Harlan believed the Court was setting a dangerous precedent and exceeding its judicial role.