Opinion summary
Etalia.ai summary of the majority opinion
The case involved Texas Gas Transmission Corp. and Memphis Light, Gas and Water Division concerning the rates charged for natural gas transmission. The issue was whether federal or state authorities had jurisdiction over rate disputes between a pipeline company and its municipal customers when the contracts were subject to Federal Power Commission (FPC) regulation. The Supreme Court held that the Natural Gas Act gave exclusive jurisdiction to the FPC over such matters, preempting state authority in setting rates for interstate natural gas sales even if they are made directly to municipalities rather than private consumers. This decision reinforced federal oversight in regulating interstate commerce of natural gas, emphasizing uniformity across states under federal law.
Opinion written by Justice Harlan(2)
Decided 8 Dec 1958 · Official report