Legal Question in Business Law in California

Public Utilities and Their Power Over Small Business

We have a manufacturing business. We took an industrial unit in a multi-tenant building. The power was supposed to be 3 phase (we were told that it was by the local power company) but it turned out to be single phase. We went through the appropriate channels to install 3 phase.

My partner's question is this: If the building inspector approved the work done to the building for the 3 phase, does the local power co. have a right to say it isn't correct and not turn on power to the unit? The electrician who did the work was frustrated with the power co.'s response as he put the same equipment in a neighboring unit in the same building and it was approved. He suggested we speak with a lawyer.

Our business hasn't had power for weeks. The added delay might cause us serious loss. Is it possible to sue a company when it is in bankruptcy?

Thanks.


Asked on 3/08/02, 11:46 pm

2 Answers from Attorneys
Wayne Smith Wayne V. R. Smith

Re: Public Utilities and Their Power Over Small Business

Getting into a legal dispute with PGE now is not recommended. It is my understanding [not researched] they do have their own criteria, and are not necessarily bound by the local codes or inspector. But try to talk to someone using common sense. Find the person at PGE who approved the neighbor, and see if you can get some action. The conversion to 3-phase is not rocket science. And rattle the cage of the landlord who misreprented things to you - should give you rent relief as well as help with pressure on PGE. Keep trying until you talk to the President of PGE? Best to try this before legal action closes the doors and you can't talk to anyone.

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Answered on 3/08/02, 11:58 pm
Ken Koury Kenneth P. Koury, Esq.

Re: Public Utilities and Their Power Over Small Business

in many cases you can sue a company in bankruptcy but you must file the suit in the bankruptcy court.

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Answered on 3/09/02, 1:29 am


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