Texas Supreme Court

Coalition of Cities for Affordable Utility Rates. Petitioners v. Public Utility Commission of Texas, Et…

November 28, 1990798 S.W.2d 560

Summary

The Texas Supreme Court held that the doctrines of res judicata and collateral estoppel bar a public utility from relitigating the prudence of its past investment in a rate‑making proceeding, because the Public Utility Commission lacked statutory authority to defer or sever the issue. The Court reversed the Court of Appeals and affirmed the trial court's permanent injunction. Justice Gonzalez dissented, arguing that no valid adjudication occurred and that res judicata should not apply.