PennEast Pipeline Co. v. New Jersey

Section 717(h) of the Natural Gas Act authorizes the Federal Energy Regulatory Commission to delegate to a private company the power to condemn all necessary rights-of-way, whether owned by private parties or states. Chief Justice John Roberts authored the 5-4 majority opinion of the Court. States are generally immune from lawsuits unless they have consented or Congress has abrogated their immunity. With respect to the federal eminent domain power, the states waived their sovereign immunity when they ratified the Constitution. That power carries with it the ability to condemn property in court. Because the Natural Gas Act delegates the federal eminent domain power to private parties, those parties can initiate condemnation proceedings, including against state-owned property. This understanding is consistent with the nation’s history and the Court’s precedents. Thus, PennEast’s condemnation of New Jersey land to build the pipeline does not offend state sovereignty. Justice Neil Gorsuch authored a dissenting opinion, in which Justice Clarence Thomas joined. Joining Justice Barrett’s dissenting opinion in full, Justice Gorsuch added only a clarification that states have two federal-law immunities from suit: structural immunity and Eleventh Amendment immunity. The lower court should consider whether either type of immunity bars the suit. Justice Amy Coney Barrett authored a dissenting opinion, in which Justices Thomas, Kagan, and Gorsuch joined. Justice Barrett argued that Congress’s power to strip states of their sovereign immunity is extremely limited, and there is no reason to treat private condemnation actions as within one of those limited exceptions.