Legal Question in Business Law in California
Garbage companies have teamed up with cities and counties and created legal monopolies. I was looking at the dumpster business (large roll off bins of 20 yards) and not house to house or smaller bins at most businesses. City and county employees said large fines, long permit processes and fees (franchises don't pay these or have to wait three days before delivering a bin), expensive commercial property (although I would only require a standard 3/4 ton pickup and a special trailer), and other things would apply. I understand the benefits of this union. My question is how do I fid out if I am able to do business with anyone in this field (Indian casinos - Federal, colleges - State, towns and counties without inclusive contracts). Inclusive being the newest term that aims to prohibit the work in question. Help. Jim
1 Answer from Attorneys
Jim, as you probably understand, we have legal monopolies (a/k/a public utilities) because it would be inefficient and messy to have five electric companies, eleven natural gas suppliers, four waterworks and 33 trash-collection companies all trying to compete with one another. Back in the days when we had home-delivered milk, I used to wonder why one truck couldn't deliver milk for all three dairies, instead of each one driving the same streets with its own truck (or horse and wagon). Hopefully, each city, town, county, etc. carries out an honest and heads-up bidding process to select its trash hauler.
Down here in the Petaluma area, we have private companies that rent debris boxes to individuals, provide delivery and pick-up, etc. and compete with the county-franchised operator. Obviously, their volume is a lot less than the guys with regular weekly routes, but as far as I can tell, they are doing o.k. and the one I use for spring cleaning every year seems to be doing fine, business-wise.
LawGuru can't advise its questioners on the specifics of how to succeed in a particular line of business, but it does seem possible to run a small private trash service in North Bay. Today, looks like you'd want to be in the snow-removal business!
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