In a unanimous, precedential opinion issued on September 10,
2019, the United States Court of Appeals for the Third Circuit held
that the Natural Gas Act (NGA), 15 U.S.C. § 717, et
seq., does not abrogate state sovereign immunity and does not
give private pipeline companies the power in federal court
proceedings to condemn property owned by states. See In re PennEast Pipeline
Co., F.3d , Nos. 19-1191 through 19-1232, 2019 WL 4265190 (3d
Cir. Sept. 10, 2019). This decision—the first on this
topic by any federal appellate court—may have far-reaching
implications for pipeline development and other infrastructure
projects in Pennsylvania, New Jersey, Delaware and beyond.
The Third Circuit's decision redefines the relationships
among private parties, states and the federal government in this
region with respect to pipeline development. The opinion also gives
states, and potentially private parties, a new tool with which to
obstruct future pipeline projects. Although the
