Amicus Curiae Brief — Leonard W. Hoffmann, et al., Petitioners v. WBI Energy Transmission, Inc.
Supreme Court briefAug 20, 2026
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No. 25-159
In the
Supreme Court of the United States
LEONARD W. HOFFMANN, et al.,
Petitioners,
v.
WBI ENERGY TRANSMISSION, INC.,
Respondent.
On Writ of Certiorari to the United States
Court of A ppeals for the Eighth Circuit
BRIEF OF GARY R. ERB AND LYNDA LIKE AS
AMICI CURIAE IN SUPPORT OF PETITIONERS
A aron Gott
Ruth Glaeser
Bona Law PC
331 2nd Avenue South,
Suite 420
Minneapolis, MN 55401
A aron Lawrence
Sabri Siraj
Bona Law PC
16 Madison Square West,
9th Floor
New York, NY 10010
Luke Hasskamp
Counsel of Record
Jarod Bona
Bona Law PC
4275 Executive Square,
Suite 200
La Jolla, CA 92037
(858) 964-4589
luke.hasskamp@bonalawpc.com
Counsel for Amici Curiae
132379
(800) 274-3321 • (800) 359-6859
i
TABLE OF CONTENTS
Page
TABLE OF CONTENTS . . . . . . . . . . . . . . . . . . . . . . . . . . i
TABLE OF CITED AUTHORITIES . . . . . . . . . . . . . . iii
INTERESTS OF AMICI CURIAE . . . . . . . . . . . . . . . . 1
SUMMARY OF ARGUMENT . . . . . . . . . . . . . . . . . . . . 2
ARGUMENT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
I.
The Natural Gas Act Delegates the
Condemnation Power, Not Every Rule
that Governs Condemnations by the
United States . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
A. The Act confers a power and says
not h i n g ab out t he me a s u r e of
compensation . . . . . . . . . . . . . . . . . . . . . . . . . . 4
B. PennEast’s “categorical” delegation
concerns what may be condemned, not
which sovereign attributes transfer . . . . . . 5
C. Feder a l cou r t s d i st i ng u i sh t he
delegated condemnation power from
the sovereign’s collateral privileges . . . . . . . 7
D. Federa l aut hor i zat ion does not
automatically confer governmental
protections on private actors . . . . . . . . . . . . 9
ii
Table of Contents
Page
E. Bodcaw defines the constitutional
minimum but does not answer the
choice-of-law question here . . . . . . . . . . . . . 10
II. Section 717f(h)’s Silence Does Not Make the
Fifth Amendment the Exclusive Measure
of Compensation . . . . . . . . . . . . . . . . . . . . . . . . . . 11
A. Section 717f(h)’s text does not displace
state compensation law . . . . . . . . . . . . . . . . 11
B. Wallis and Kimbell Foods make
displacement, not borrowing, the
exceptional step . . . . . . . . . . . . . . . . . . . . . . 13
C. Georgia Power applied this framework
to the model federal statute and
declined to displace state law . . . . . . . . . . . 14
D. No signif icant conf lict has been
shown, and formal symmetry, higher
costs, and hypothetical future state
laws do not supply one . . . . . . . . . . . . . . . . . 15
CONCLUSION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
iii
TABLE OF CITED AUTHORITIES
Page
Cases
Atherton v. FDIC,
519 U.S. 213 (1997) . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
Boyle v. United Techs. Corp.,
487 U.S. 500 (1988) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
Columbia Gas Transmission Corp. v.
Exclusive Nat. Gas Storage Easement,
962 F.2d 1192 (6th Cir. 1992) . . . . . . . . . . . . . . . . . . . 17
Correctional Servs. Corp. v. Malesko,
534 U.S. 61 (2001) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
E. Tenn. Nat. Gas Co. v. Sage,
361 F.3d 808 (4th Cir. 2004) . . . . . . . . . . . . . . . . . . . . . 7
Equitrans, L.P. v. 0.56 Acres,
145 F. Supp. 3d 622 (N.D.W. Va. 2015) . . . . . . . . . . . . 8
Ga. Power Co. v. 138.30 Acres,
617 F.2d 1112 (5th Cir. 1980) . . . . . . . . . . . . . 14, 15, 16
GEO Group v. Menocal,
607 U.S. 438 (2026) . . . . . . . . . . . . . . . . . . . . . . . . . . 3, 9
Hencely v. Fluor Corp.,
146 S. Ct. 1086 (2026) . . . . . . . . . . . . . . . . . . . . . . . . 3, 9
iv
Cited Authorities
Page
Like v. Transcontinental Gas Pipe Line Co.,
587 U.S. 1035 (2019) . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
Maritimes & Ne. Pipeline, L.L.C. v. 16.66 Acres,
190 F.R.D. 15 (D. Me. 1999) . . . . . . . . . . . . . . . . . . . . . 8
Nat’l R.R. Passenger Corp. v. Two Parcels,
822 F.2d 1261 (2d Cir. 1987) . . . . . . . . . . . . . . . . . . . . 16
O’Melveny & Myers v. FDIC,
512 U.S. 79 (1994) . . . . . . . . . . . . . . . . . . . . . . . . . 15, 16
PennEast Pipeline Co. v. New Jersey,
594 U.S. 482 (2021) . . . . . . . . . . . . . . . . . . . 2, 5, 6, 7, 12
Sabal Trail Transmission, LLC v. 18.27 Acres,
59 F.4th 1158 (11th Cir. 2023) . . . . . . . . . . . . . . 6, 14, 15
Tenn. Gas Pipeline Co. v. Permanent Easement
for 7.053 Acres,
931 F.3d 237 (3d Cir. 2019) . . . . . . . . . . . . . . . . . . 10, 17
Torres v. Tex. Dep’t of Pub. Safety,
597 U.S. 580 (2022) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
Transcon. Gas Pipe Line Co. v.
Permanent Easements for 2.14 Acres,
907 F.3d 725 (3d Cir. 2018) . . . . . . . . . . . . . . . . . . . . . . 7
Transwestern Pipeline Co. v. 17.19 Acres,
550 F.3d 770 (9th Cir. 2008) . . . . . . . . . . . . . . . 2, 3, 7, 8
v
Cited Authorities
Page
United States v. 93.970 Acres,
360 U.S. 328 (1959) . . . . . . . . . . . . . . . . . . . . . . . . 12, 13
United States v. Bodcaw Co.,
440 U.S. 202 (1979) . . . . . . . . . . . . . . . . . . . . . . . . . 3, 10
United States v. Carmack,
329 U.S. 230 (1946) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
United States v. Kimbell Foods, Inc.,
440 U.S. 715 (1979) . . . . . . . . . . . . . . . . . 3, 4, 13, 14, 17
United States v. Miller,
317 U.S. 369 (1943) . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
Vector Pipeline, L.P. v. 68.55 Acres,
157 F. Supp. 2d 949 (N.D. Ill. 2001) . . . . . . . . . . . . . . . 8
Wallis v. Pan Am. Petroleum Corp.,
384 U.S. 63 (1966) . . . . . . . . . . . . . . . . . . . . . 3, 4, 13, 14
WBI Energy Transmission, Inc. v. 189.9 Rods,
132 F.4th 1058 (8th Cir. 2025) . . . . . . . 3-5, 8, 11, 13-15
WBI Energy Transmission, Inc. v. Easement &
Right-of-Way Across, No. 1:18-cv-78,
2022 WL 22649232 (D.N.D. Nov. 1, 2022) . . . . . . . . 17
vi
Cited Authorities
Page
Constitutional Provisions
U.S. Const. amend. V . . . . . . . . . . . . . . . . . . . . . 2, 3, 10, 11
Statutes and Rules
15 U.S.C. § 717f . . . . . . . . . . . . . . . . . 1-5, 7, 8, 11-15, 17, 18
16 U.S.C. § 791a et seq. . . . . . . . . . . . . . . . . . . . . . . . . 14, 15
40 U.S.C. § 3114 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .2, 7, 8
Fed. R. Civ. P. 71.1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8, 12
N.D. Cent. Code § 32-15-32 . . . . . . . . . . . . . . . . . . . . . . . 14
Sup. Ct. R. 37.6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
1
INTERESTS OF AMICI CURIAE
Amici curiae Gary R. Erb and Lynda Like are
Lancaster County, Pennsylvania property owners whose
family land was condemned by a private pipeline company
under the Natural Gas Act, 15 U.S.C. § 717f(h).1 Mr.
Erb and his family made their home on rural acreage
he called a “deer paradise,” where he hoped his sons
would one day build homes. Ms. Like inherited her land
from her father and promised him she would preserve it
for her family. In 2017, Transcontinental Gas Pipe Line
Company condemned easements across their properties
for an interstate pipeline. Transcontinental obtained
possession before compensation was determined or paid
and completed the pipeline while the owners waited for
payment.
Amici have experienced firsthand what it means for
a private company to exercise federal eminent-domain
authority against an unwilling owner. They previously
asked this Court whether the Natural Gas Act’s delegation
of condemnation authority permits a private pipeline
company to seize immediate possession before final
judgment and payment. The Court denied their petition.
See Like v. Transcontinental Gas Pipe Line Co., 587 U.S.
1035 (2019). That question and the one presented here
implicate the same broader issue: whether the delegated
power to condemn carries with it every advantage the
1. In accord with Supreme Court Rule 37.6, no counsel for
a party authored this brief in whole or in part, and no counsel
or party made a monetary contribution intended to fund the
preparation or submission of this brief. No person other than
amici curiae and their counsel made a monetary contribution to
its preparation or submission.
2
sovereign enjoys when it condemns in its own name. Here,
the asserted advantage is the Federal Government’s
narrower measure of compensation. Amici have a direct
and informed interest in ensuring that private condemnors
receive no greater rights than Congress actually
conferred.
SUMMARY OF ARGUMENT
The decision below treated § 717f(h)’s delegation of
condemnation authority as resolving two questions the
statute never answers: (1) whether a private certificate
holder receives every rule that governs when the United
States condemns in its own name; and (2) whether the
Fifth Amendment displaces state compensation law
without the ordinary federal-common-law choice-of-law
inquiry. Neither conclusion follows.
First, Section 717f(h) delegates the power to condemn,
but it does not thereby transfer every rule or governmental
protection that accompanies condemnation by the United
States. The Eighth Circuit’s reliance on PennEast is
misplaced. PennEast held that state sovereign immunity
could not prevent a certificate holder from exercising the
delegated power against state-owned property. It did not
decide which other incidents accompany that power or how
compensation is measured. PennEast Pipeline Co. v. New
Jersey, 594 U.S. 482, 498–99, 507–08 (2021).
The cases applying the NGA confirm the distinction.
Certificate holders do not receive the Declaration of
Taking Act’s quick-take authority, and the Ninth Circuit
has explained that a private pipeline company, unlike
the United States, “has neither sovereign authority nor
3
the backing of the U.S. Treasury” to assure payment.
Transwestern Pipeline Co. v. 17.19 Acres, 550 F.3d 770,
775 (9th Cir. 2008). Those rules depend on the identity of
the condemnor, not merely the source of its condemnation
authority. And recently this Court twice reinforced the
broader distinction between federal authorization and
governmental protection. See GEO Grp. v. Menocal, 607
U.S. 438, 449–50 (2026); Hencely v. Fluor Corp., 146 S. Ct.
1086, 1095, 1098–99 (2026).
Bodcaw does not establish otherwise. It held that
litigation expenses are generally not part of the “just
compensation” required by the Fifth Amendment when
the United States condemns. United States v. Bodcaw Co.,
440 U.S. 202, 203–04 (1979) (per curiam). It did not decide
whether that constitutional floor supplies the exclusive
measure of compensation when a private party condemns
under a statute silent on the question. The Eighth Circuit
itself acknowledged that federal interests are “arguably
weightier” when the United States condemns and that
imposing fees on a private condemnor does not raise
the same concerns about spending federal dollars. WBI
Energy Transmission, Inc. v. 189.9 Rods, 132 F.4th 1058,
1062 (8th Cir. 2025). The court dismissed those differences
as “policy arguments,” id., but whether the rationale for
a sovereign-specific rule extends to a private delegatee
is a legal question.
Second, § 717f(h)’s silence on the measure of
compensation does not make the Fifth Amendment the
exclusive standard. Under Wallis and Kimbell Foods,
state law is displaced only upon a specific showing of a
significant conflict with an identifiable federal policy;
generalized appeals to uniformity do not suffice. Wallis v.
4
Pan Am. Petroleum Corp., 384 U.S. 63, 68 (1966); United
States v. Kimbell Foods, Inc., 440 U.S. 715, 729–30, 739–40
(1979). The Eighth Circuit never undertook that inquiry
because it believed there was no gap to fill.
Had it done so, the asserted federal interests would
not justify displacement. Higher compensation costs do
not themselves establish a significant conflict, and decades
of experience under the state-law rule have produced no
demonstrated interference with the NGA’s operation.
The Third, Fifth, Sixth, and Eleventh Circuits have
accordingly held that state law supplies the compensation
rule in private NGA condemnations. The Court should
reach the same conclusion and reverse the judgment below.
ARGUMENT
I.
The Natural Gas Act Delegates the Condemnation
Power, Not Every Rule that Governs Condemnations
by the United States.
A.
The Act confers a power and says nothing about
the measure of compensation.
Section 717f(h) permits a certificate holder that
cannot acquire a necessary right-of-way by agreement to
“acquire the same by the exercise of the right of eminent
domain.” 15 U.S.C. § 717f(h). The provision confers
condemnation authority. It does not prescribe the measure
of compensation.
The Eighth Circuit treated that silence as immaterial.
Because WBI received “the entire federal eminent-domain
power, not just some diluted form of it,” the court reasoned
5
that, “[b]y stepping into the federal government’s shoes,”
WBI “inherited all its rights and obligations”—including
the Federal Government’s compensation rule. WBI
Energy, 132 F.4th at 1060–62.
That inference is an error. Section 717f(h) delegates
authority to condemn. It does not thereby confer every
sovereign attribute or litigation advantage the United
States possesses when it condemns in its own name.
Federal courts repeatedly distinguish the delegated
power from those incidents. The Federal Government’s
compensation rule therefore cannot be treated as part of
the delegation without further analysis.
B. PennEast’s “categorical” delegation concerns
what may be condemned, not which sovereign
attributes transfer.
The Eighth Circuit relied on PennEast’s description of
Section 717f(h)’s delegation as “categorical.” But PennEast
defined the category in the same paragraph: “By its
terms, § 717f(h) delegates to certificate holders the power
to condemn any necessary rights-of-way, including land
in which a State holds an interest.” 594 U.S. at 498–99.
“Categorical” describes the property reachable through
the delegated power, not every rule or sovereign attribute
that accompanies a condemnation by the United States.
PennEast itself confirms this principle. The issue,
the Court explained, was “whether the United States can
delegate its eminent domain power to private parties,” not
whether it can delegate “its freestanding exemption from
state sovereign immunity.” Id. at 507. The Court expressly
left open whether delegation of that exemption “is even
6
permissible.” Id. at 507–08. The case thus distinguishes
the delegated condemnation power from at least one
sovereign attribute rather than treating all such attributes
as automatic incidents of the delegation.
This Court has since described PennEast the same
way. Torres v. Texas Department of Public Safety read it
as “resting on a broader point: The Federal Government’s
eminent domain power is complete, such that no State may
frustrate its exercise by claiming immunity to forestall
the transfer of property.” 597 U.S. 580, 598 (2022). That
gloss concerns the completeness of the power against
state resistance, not the compensation owed after the
power is exercised. The Eleventh Circuit likewise held
that PennEast did not displace its compensation precedent
because it “was concerned with a state’s attempt to deny
exercise of the federal power of eminent domain,” not
whether state or federal law supplies the measure of
compensation. Sabal Trail Transmission, LLC v. 18.27
Acres, 59 F.4th 1158, 1174 (11th Cir. 2023).
PennEast ’s references to eminent domain as
“inextricably intertwined with the ability to condemn”
and to the States’ consent to the federal eminent-domain
power “in its entirety” likewise arose in resolving whether
state immunity could block the condemnation action.
594 U.S. at 503, 508. Neither formulation addressed the
measure of compensation.
PennEast rejected a clear-statement requirement
for Congress to authorize private parties to exercise
the federal eminent-domain power against state-owned
property. Id. at 507–08. It did not address the distinct
7
question here: whether § 717f(h) also displaces otherwise
applicable state compensation law by making the Federal
Government’s compensation rule part of the delegation.
PennEast did not decide that question.
C.
Federal courts distinguish the delegated
condemnation power from the sovereign’s
collateral privileges.
United States v. Carmack distinguished federal
officers acting for the sovereign from private entities
authorized to condemn “on behalf of themselves.” 329
U.S. 230, 243 n.13 (1946). Grants to the latter, the Court
explained, “are, in their very nature, grants of limited
powers” that “do not include sovereign powers greater
than those expressed or necessarily implied.” Id. The
NGA cases confirm that distinction in practice.
The clearest example is the Declaration of Taking
Act’s quick-take authority. The DTA permits title to
vest upon filing a declaration and depositing estimated
compensation, but it applies only to proceedings “brought
by and in the name of the United States”; § 717f(h) grants
no comparable power. See 40 U.S.C. § 3114; E. Tenn. Nat.
Gas Co. v. Sage, 361 F.3d 808, 822–23 (4th Cir. 2004).
A certificate holder that has established its right to
condemn may in some circumstances obtain immediate
possession by preliminary injunction, but that equitable
remedy is distinct from the DTA’s quick-take authority.
See Sage, 361 F.3d at 824–25; Transcontinental Gas Pipe
Line Co. v. Permanent Easements for 2.14 Acres, 907
F.3d 725, 736 (3d Cir. 2018). As the Ninth Circuit put it,
the “additional [quick-take] right conferred” by Congress
8
is “missing from § 717f(h).” Transwestern Pipeline, 550
F.3d at 774–75. 2
Transwestern illustrates that point. The United States
may proceed without security because its constitutional
obligation to pay just compensation functions as an
implied promise backed by the sovereign. 550 F.3d at
775. A private pipeline company, by contrast, “has neither
sovereign authority nor the backing of the U.S. Treasury
to assure adequate provision of payment.” Id. Some rules
governing federal condemnations thus follow from the
identity of the condemnor, not from the eminent-domain
power itself.
Quick-take alone exposes the problem in the
Eighth Circuit’s premise that WBI “inherited all [the
sovereign’s] rights and obligations.” 132 F.4th at 1060.
If the delegation of “the entire federal eminent-domain
power” automatically carried every rule that governs a
condemnation by the United States, the DTA’s authority
to take title and possession by deposit would be one of the
most plausible incidents to come with it. Yet courts have
held that § 717f(h) confers no such power. Quick-take was
not at issue below, so the point goes to the breadth of the
2. Other incidents likewise do not transfer automatically. See
Vector Pipeline, L.P. v. 68.55 Acres, 157 F. Supp. 2d 949, 960 (N.D.
Ill. 2001) (DTA’s deposit-based interest limitation governs takings
by the United States and neither Rule 71.1 nor the NGA contains a
counterpart applicable to a private NGA condemnor); Maritimes
& Ne. Pipeline, L.L.C. v. 16.66 Acres, 190 F.R.D. 15, 17 n.1 (D. Me.
1999) (private NGA condemnor cannot invoke the United States’
sovereign immunity to bar a counterclaim); Equitrans, L.P. v.
0.56 Acres, 145 F. Supp. 3d 622, 633–34 (N.D.W. Va. 2015) (Rule
71.1(e) independently limits counterclaims as a procedural matter).
9
panel’s rationale, not its holding. But that is exactly the
problem: “inherited all” cannot itself answer whether the
Federal Government’s compensation rule travels with
the delegated power when other rules governing federal
condemnations demonstrably do not.
D.
Federal authorization does not automatically
confer governmental protections on private
actors.
Recent decisions outside the eminent-domain context
reinforce the same principle: private actors do not
automatically acquire governmental protections merely
because they perform federally authorized work.
In GEO Group v. Menocal, the Court held that a
private contractor performing federal work does not enjoy
the Government’s “derivative sovereign immunity.” 607
U.S. 438, 449–50 (2026). Sovereign immunity, the Court
explained, “is not transferrable to agents, including
contractors, of a government,” and “belongs alone to the
Government.” Id.
Hencely made the related point in rejecting federalcommon-law preemption of state tort claims. The Court
explained that Boyle v. United Technologies Corp., 487
U.S. 500 (1988), addresses “a special circumstance” in
which “the government has directed a contractor to do
the very thing that is the subject of the claim.” Hencely,
146 S. Ct. at 1095 (quoting Correctional Servs. Corp. v.
Malesko, 534 U.S. 61, 74 n.6 (2001)). Absent a contrary
statute, States may regulate or tax federal contractors “on
the same terms as any private company.” Id. at 1098–99.
10
Neither decision concerns eminent domain nor
resolves the compensation question. Their narrower
relevance is that federal authorization does not itself
confer governmental protections on a private actor. That
principle reinforces—but does not drive—the eminentdomain authorities above.
E. Bodcaw defines the constitutional minimum
but does not answer the choice-of-law question
here.
The Eighth Circuit also relied on Bodcaw, but
Bodcaw’s holding is narrower than the court supposed.
Bodcaw held that a landowner’s appraisal and other
litigation expenses are generally not part of the “just
compensation” required by the Fifth Amendment when
the United States condemns property. 440 U.S. at 203–04.
That establishes the constitutional minimum on that point.
It does not establish that the Fifth Amendment supplies
the exclusive measure whenever a private party exercises
federally delegated condemnation authority.
Bodcaw’s separate rule that “litigation costs cannot
be assessed against the United States in the absence of
statutory authorization,” id. at 203 n.3, is likewise specific
to the sovereign. As the Third Circuit observed, nothing in
United States v. Miller, 317 U.S. 369 (1943), or its progeny
“expands its reach to condemnations by private entities.”
Tenn. Gas Pipeline Co. v. Permanent Easement for 7.053
Acres, 931 F.3d 237, 248 (3d Cir. 2019). Those decisions fix
the measure of compensation for property condemned “by
the United States.” Id.
11
The Eighth Circuit itself acknowledged the difference.
When the United States condemns, the court acknowledged,
the “powerful federal interests at play” are “arguably
weightier than when a private company like WBI is
acting on its own,” and requiring a private condemnor
to pay attorney’s fees and other indirect costs “does not
raise the same fiscal ‘concerns about the spending of
federal dollars’ that exist when the United States does
the taking.” WBI Energy, 132 F.4th at 1062. The court
dismissed those differences as “policy arguments better
addressed to Congress.” Id. But whether the rationale
for a rule governing the sovereign extends to a private
delegatee is a legal question, not a policy question. And
where Congress has not answered it, the displacement
principles that govern, addressed below, point to state law.
II. Section 717f(h)’s Silence Does Not Make the
Fifth Amendment the Exclusive Measure of
Compensation.
A.
Section 717f(h)’s text does not displace state
compensation law.
Petitioners’ opening brief explains in detail why
ordinary statutory interpretation points to state
compensation law. Pet’rs Br. 12–37. But even if the Court
instead reads § 717f(h)’s silence as leaving a choice-of-law
gap, neither the Act nor the Fifth Amendment supplies an
exclusive federal rule. The question would then become
whether federal law displaces the otherwise applicable
state law or adopts it as the federal rule of decision.
What the Act does say confirms that Congress did not
affirmatively displace state law.
12
Section 717f(h)’s forum and procedural provisions
point, if anything, toward the States. A certificate holder
may proceed “in the district court of the United States
for the district in which such property may be located,
or in the State courts.” 15 U.S.C. § 717f(h). And, as
enacted, a federal action’s “practice and procedure . . .
shall conform as nearly as may be” to those of the state
where the property sits. Id. That conformity requirement
governed “procedural matters only.” United States v.
93.970 Acres, 360 U.S. 328, 333 n.7 (1959). Rule 71.1 has
since superseded it in federal court without supplying
any measure of compensation. See Fed. R. Civ. P. 71.1.
Any suggestion that specifying state procedure silently
commands federal substance is thus an argument from
congressional silence rather than statutory command, and
Petitioners explain why it would also create an incoherent
regime in which federal courts apply a federal rule while
state courts apply their own. Pet’rs Br. 48.
The 1947 amendment’s history confirms the point.
Congress supplied a federal power to condemn because
certificate holders had been “left to rely on state eminent
domain procedures, which were frequently made
unavailable to them.” PennEast, 594 U.S. at 489. That
history explains the grant of a power, not the displacement
of the law governing what a private condemnor must pay.
Further, 93.970 Acres does not dictate otherwise.
There, the United States itself condemned a leasehold
needed for a military installation and applying the State’s
election-of-remedies doctrine would have forced the
Government to surrender either its contractual right of
revocation or its right to immediate possession. 360 U.S.
at 332. In that setting, the Court said “[c]ondemnation
13
involves essential governmental functions” and that
federal law governs where “essential interests of the
Federal Government” are concerned. Id. at 332–33. But
the case did not involve compensation owed by a private
delegatee, nor did it ask whether state law should supply
the federal rule where Congress has left that question
unanswered. Those are the questions to which Wallis and
Kimbell Foods speak.
B. Wallis and Kimbell Foods make displacement,
not borrowing, the exceptional step.
The governing framework begins with Wallis. Before
a federal court fashions a federal rule, “a significant
conflict between some federal policy or interest and the
use of state law . . . must first be specifically shown.” 384
U.S. at 68. It is not enough that Congress could have
enacted a complete federal regime: “[w]hether latent
federal power should be exercised to displace state law
is primarily a decision for Congress,” which legislates
“against the background of the total corpus juris of the
states.” Id. Kimbell Foods applies the same allocation. It
“reject[ed] generalized pleas for uniformity as substitutes
for concrete evidence” of impairment and held that,
absent such reasons, “the prudent course is to adopt the
readymade body of state law as the federal rule of decision
until Congress strikes a different accommodation.” 440
U.S. at 729–30, 739–40.
The decision below inverted that framework. It treated
§ 717f(h)’s silence as eliminating any choice-of-law inquiry
and making the constitutional minimum the exclusive
rule, while dismissing the reasons for applying state law
as “policy arguments better addressed to Congress.”
14
WBI Energy, 132 F.4th at 1062–63. But Wallis assigns
the decision in precisely the opposite direction. It is the
displacement of state law that is “primarily a decision for
Congress.” 384 U.S. at 68. Congressional silence itself
does not displace state law. Absent a demonstrated conflict
with federal policy, Kimbell Foods points to the readymade law of the state where the property lies. 3
C.
Georgia Power applied this framework to the
model federal statute and declined to displace
state law.
The same framework has already been applied to the
closely parallel delegation in Section 21 of the Federal
Power Act. In Georgia Power Co. v. 138.30 Acres, the en
banc Fifth Circuit began “with the premise that state
law should supply the federal rule” absent contrary
congressional intent or a significant conflict with federal
interests. 617 F.2d 1112, 1115–16 (5th Cir. 1980) (en banc).
Because the condemnation involved a private licensee
using private funds to acquire private property, the federal
interests were “not sufficient to warrant displacement of
state law” governing compensation. Id. at 1118.
Georgia Power’s approach became the prevailing
rule under the Natural Gas Act, as Petitioners recount.
Pet’rs Br. 3–4, 35. What makes that Federal Power Act
3. To the extent that a party or the United States invokes
the American Rule, that rule does not resolve the antecedent
choice-of-law question whether state law should be incorporated
as the federal rule under Kimbell Foods. Amici curiae do not ask
this Court to determine the ultimate operation of N.D. Cent. Code
§ 32-15-32. That state-law issue may be addressed on remand.
15
precedent decisive here is that Congress “intended the
eminent-domain right to be coextensive under the Federal
Power Act and the Natural Gas Act,” and that under both
statutes courts “must apply the same substantive law
on what ‘compensation’ includes.” Sabal Trail, 59 F.4th
at 1169–70. The choice-of-law analysis Georgia Power
performed under the model statute therefore governs the
same question under § 717f(h).
D.
No significant conflict has been shown, and
formal symmetry, higher costs, and hypothetical
future state laws do not supply one.
The decision below reduced the question to a metaphor:
the “rules of the road do not change,” it reasoned, when the
Government “hands the keys over to a private party like
WBI.” 132 F.4th at 1062. But Atherton v. FDIC rejected
the same move: a federal charter, standing alone, “shows
no conflict, threat, or need for ‘federal common law’” and
“does not answer the critical question.” 519 U.S. 213, 223
(1997). A court may not “substitute analogy or formal
symmetry for the controlling legal requirement,” which is
the existence of a significant conflict or threat to a federal
interest. Id. at 224. WBI’s exercise of federally delegated
condemnation authority therefore identifies a federal
interest. It does not establish that state compensation law
significantly conflicts with that interest.
Increased cost does not supply the required conflict. In
O’Melveny & Myers v. FDIC, the FDIC argued that state
law might “deplet[e] the deposit insurance fund,” but the
Court rejected a theory resting on “the forgoing of any
money which, under any conceivable legal rules, might
accrue to the fund.” 512 U.S. 79, 88 (1994) (alteration and
16
emphasis in original). “[T]here is no federal policy that
the fund should always win,” the Court explained, and its
cases have “previously rejected ‘more money’ arguments.”
Id. Georgia Power reached the same conclusion in the
parallel condemnation context. Although the utility
argued that state law would increase acquisition costs
passed on to consumers, the en banc court refused to make
Georgia landowners “partially . . . subsidize a private
Georgia utility and consumers of electric power” absent
evidence that Congress had struck that balance. 617 F.2d
at 1123–24. The possibility that state law may require a
private pipeline company to pay more likewise does not
establish a significant conflict with federal policy.
The rule does not require borrowing state law when an
actual conflict exists. National Railroad Passenger Corp.
v. Two Parcels applied the Georgia Power framework but
declined to borrow a Connecticut rule that would have
forced Amtrak either to pursue local variance proceedings
or to pay for entire parcels irrespective of their nexus
to the project, contrary to an express statutory limit on
Amtrak’s condemnation authority. 822 F.2d 1261, 1265–67
(2d Cir. 1987). That was concrete interference with the
operation of a national federal program. By contrast, the
court distinguished Georgia Power precisely because the
state rule there “resulted solely in higher condemnation
costs.” Id. at 1267. That is the only concrete consequence
identified here. Two Parcels therefore illustrates the
significant-conflict exception rather than undermining
the borrowing framework.
17
Experience under the state-law rule confirms
the absence of any demonstrated conflict here. 4 The
Sixth Circuit identified the “only conceivable effect” of
borrowing state law as the possibility that condemnors
“might be required to pay more or less than under an
alternative federal common-law rule,” a variation “far too
speculative to warrant displacing state law.” Columbia
Gas Transmission Corp. v. Exclusive Nat. Gas Storage
Easement, 962 F.2d 1192, 1198 (6th Cir. 1992). The Third
Circuit tested the concern more concretely. Although
recognizing that a state rule could theoretically be “so
far out of step with federal law as to create a significant
conflict,” the court noted that, “[p]ressed at length for
other examples of ‘crazy state laws,’” counsel for the
pipeline company “could not produce any,” and the court
was “unpersuaded by the theoretical possibility that some
others may exist.” Tenn. Gas, 931 F.3d at 253–54. Kimbell
Foods leaves room to except a state law that actually
prejudices federal interests. What it does not permit is
displacement of state law across the board based on a
conflict that remains hypothetical.
4. Indeed, the district court here reached the same
conclusion. Applying the Kimbell Foods factors, it found that an
award of attorney’s fees would not frustrate the objectives of the
Natural Gas Act. WBI Energy Transmission, Inc. v. Easement &
Right-of-Way Across, No. 1:18-cv-78, 2022 WL 22649232, at *5–7
(D.N.D. Nov. 1, 2022).
18
CONCLUSION
For the foregoing reasons, the Court should hold that
just compensation is determined by reference to state law
when a private party condemns under the Natural Gas
Act and reverse the judgment below.
Respectfully submitted,
A aron Gott
Ruth Glaeser
Bona Law PC
331 2nd Avenue South,
Suite 420
Minneapolis, MN 55401
A aron Lawrence
Sabri Siraj
Bona Law PC
16 Madison Square West,
9th Floor
New York, NY 10010
Luke Hasskamp
Counsel of Record
Jarod Bona
Bona Law PC
4275 Executive Square,
Suite 200
La Jolla, CA 92037
(858) 964-4589
luke.hasskamp@bonalawpc.com
Counsel for Amici Curiae
This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.