Southern Union Gas Co. v. City of Port Neches

STEPHENSON, Justice.

This is an appeal from an order granting a temporary injunction. Defendant, Southern Union Gas Company, was enjoined from charging gas rates in excess of those which were made effective October 31, 1975. Plaintiffs are City of Port Neches and five other cities in middle and south Jefferson County.

In June or July of 1974, all six cities adopted ordinances setting gas rates for residential and commercial customers and adopting by reference defendant’s supply agreement dated December 17, 1971, with its wholesale supplier, Pennzoil Pipeline Company (now United Texas…