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ARTICLE · 19 JANUARY 2021

Third Circuit Interprets Interstate Transportation-Related Compact As A Surrender Of Compacting State's Authority To Enforce Its Building Regulations

Earlier this week, the Third Circuit held in Delaware River Joint Toll Bridge Commission v. Secretary Pennsylvania Department of Labor and Industry

United StatesReal Estate and Construction

Earlier this week, the Third Circuit held in Delaware River Joint Toll Bridge Commission v. Secretary Pennsylvania Department of Labor and Industry that Pennsylvania ceded its authority to enforce its building code and safety regulations against the operator of a transportation facility, the Delaware River Joint Toll Bridge Commission ("Commission"). The Commission is a bi-state entity created by an interstate compact between Pennsylvania and New Jersey ("Compact") and approved by Congress under the Constitution's Compact Clause.

The case highlights at least two key issues. First, the right to enforce the state's building codes, the right to inspect the work, and the right to enjoin the construction based upon the lack of a building permit or perceived violations may be waived even without an explicit waiver of those rights in the entity or commission's organizational document. Second, despite the broad interpretation of a state's Eleventh Amendment immunity,

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