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Water company not a political subdivision

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The company that provides the water utility to the City of Indianapolis is not a political subdivision of the state, the Indiana Court of Appeals concluded today.

Veolia Water Indianapolis LLC claimed it was entitled to summary judgment in Michael Harrison’s claim against it because it is a political subdivision of the state. Under a management agreement, Indianapolis pays Veolia nearly $40 million a year, plus more money if the company meets certain incentives. Harrison, while working as a Veolia subcontractor, received a severe electrical shock from an uninsulated overhead electrical line. He sued Veolia asserting negligence and didn’t provide any other notice to Veolia as required under the Indiana Tort Claims Act.

Because it believed it is a political subdivision, and thus subject to the 180-day notice required under the act, Veolia moved for and was granted summary judgment.

Veolia doesn’t fall under the express statutory definition of a political subdivision but claimed it is sufficiently akin to a governmental entity or political subdivision of the state that is entitled to ITCA’s procedural protections.

After reviewing the ITCA and the history of sovereign immunity in Indiana, the Court of Appeals concluded otherwise in Michael Harrison v. Veolia Water Indianapolis, LLC, No. 49A04-0912-CV-722. Even though the appellate court had held Indianapolis Water Co., the predecessor to Veolia, was a governmental agency for immunity purposes under common law principles in Metal Working Lubricants Co. v. Indianapolis Water Co., 746 N.E.2d 352 (Ind. Ct. App. 2001), the Court of Appeals declined to hold Veolia is a governmental entity under the ITCA.

“The most fundamental basis for this holding is that the courts of Indiana have never recognized the provision of utility services as a power or function ‘governmental in nature’ that gave rise to sovereign immunity, even when a governmental unit was operating the utility, wrote Judge Michael Barnes. If the General Assembly wanted to change this arrangement, it could have done so when it enacted the ITCA by expressly including utilities within the definition of “political subdivision.”

“Simply put, we cannot discern a legislative intent to shield or provide special protections to for-profit enterprises, including ones that are part of a multi-national, multi-billion-dollar conglomerate, because they provide services to a governmental entity,” the judge wrote.

In addition, the Indiana Supreme Court has plainly indicated that the operation of a utility, whether by a municipality or private entity is a private business matter, even if the utility is subject to extensive regulation by the state.

The issue was remanded for further proceedings.
 

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  1. What is the one thing the Hoosier legal status quo hates more than a whistleblower? A lawyer whistleblower taking on the system man to man. That must never be rewarded, must always, always, always be punished, lest the whole rotten tree be felled.

  2. I want to post this to keep this tread alive and hope more of David's former clients might come forward. In my case, this coward of a man represented me from June 2014 for a couple of months before I fired him. I knew something was wrong when he blatantly lied about what he had advised me in my contentious and unfortunate divorce trial. His impact on the proceedings cast a very long shadow and continues to impact me after a lengthy 19 month divorce. I would join a class action suit.

  3. The dispute in LB Indiana regarding lake front property rights is typical of most beach communities along our Great Lakes. Simply put, communication to non owners when visiting the lakefront would be beneficial. The Great Lakes are designated navigational waters (including shorelines). The high-water mark signifies the area one is able to navigate. This means you can walk, run, skip, etc. along the shores. You can't however loiter, camp, sunbath in front of someones property. Informational signs may be helpful to owners and visitors. Our Great Lakes are a treasure that should be enjoyed by all. PS We should all be concerned that the Long Beach, Indiana community is on septic systems.

  4. Dear Fan, let me help you correct the title to your post. "ACLU is [Left] most of the time" will render it accurate. Just google it if you doubt that I am, err, "right" about this: "By the mid-1930s, Roger Nash Baldwin had carved out a well-established reputation as America’s foremost civil libertarian. He was, at the same time, one of the nation’s leading figures in left-of-center circles. Founder and long time director of the American Civil Liberties Union, Baldwin was a firm Popular Fronter who believed that forces on the left side of the political spectrum should unite to ward off the threat posed by right-wing aggressors and to advance progressive causes. Baldwin’s expansive civil liberties perspective, coupled with his determined belief in the need for sweeping socioeconomic change, sometimes resulted in contradictory and controversial pronouncements. That made him something of a lightning rod for those who painted the ACLU with a red brush." http://www.harvardsquarelibrary.org/biographies/roger-baldwin-2/ "[George Soros underwrites the ACLU' which It supports open borders, has rushed to the defense of suspected terrorists and their abettors, and appointed former New Left terrorist Bernardine Dohrn to its Advisory Board." http://www.discoverthenetworks.org/viewSubCategory.asp?id=1237 "The creation of non-profit law firms ushered in an era of progressive public interest firms modeled after already established like the National Association for the Advancement of Colored People ("NAACP") and the American Civil Liberties Union ("ACLU") to advance progressive causes from the environmental protection to consumer advocacy." https://en.wikipedia.org/wiki/Cause_lawyering

  5. Mr. Foltz: Your comment that the ACLU is "one of the most wicked and evil organizations in existence today" clearly shows you have no real understanding of what the ACLU does for Americans. The fact that the state is paying out so much in legal fees to the ACLU is clear evidence the ACLU is doing something right, defending all of us from laws that are unconstitutional. The ACLU is the single largest advocacy group for the US Constitution. Every single citizen of the United States owes some level of debt to the ACLU for defending our rights.

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