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ARTICLE · 07 AUGUST 2018

Fourth Circuit Dismisses Constitutional Challenges To NGA Pipeline Certificate Process

In October 2017, FERC issued a Certificate to Mountain Valley Pipeline, LLC.

United StatesEnergy and Natural Resources

On July 25, 2018, the U.S. Court of Appeals for the Fourth Circuit ("Fourth Circuit") affirmed the U.S. District Court for the Western District of Virginia's ("District Court") opinion rejecting landowners' constitutional challenge provisions of the Natural Gas Act (“NGA”) regarding the natural gas pipeline certificate process. Specifically, the Fourth Circuit agreed that the District Court lacked jurisdiction to review the complaint, finding that Congress intended the complaint to be brought before FERC instead.

Under the NGA, FERC issues Certificates of Public Convenience and Necessity ("Certificates") for the construction of new interstate natural gas pipeline projects. Issuing such a Certificate automatically conveys the power of eminent domain to the Certificate holder, who can then initiate condemnation proceedings in the appropriate U.S. district court or state court. Under the NGA, an aggrieved party contesting a FERC Certificate order must first file for

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