Stumbo files "election eve" lawsuit against "price-gouging" oil company.
Attorney General, Greg Stumbo, has filed a lawsuit against Marathon Oil company and its parent company, Speedway Super America, Inc., for alleged price gouging found to have occurred during the 2005 "Katrina" Hurricane. While the move is applauded, as it appears some price gouging really did take place as alleged, I, and many others, question the timing of the filing of this lawsuit on the "eve" of an election in which Mr. Stumbo is a contestant.
I know many of you will say I'm being cynical and that Stumbo should NOT stop working just because he is running for office, and I'll say you are right on the former issue but not the later. I am willing to bet anyone that the looming election has EVERYTHING to do with the timing of this lawsuit.
Care to bet?
A couple of VERY points I neglected to raise in this initial post about the lawsuit are: (1) Is the Kentucky "anti-gouging" law, KRS 367.374, which prohibits the sale of goods or services (gasoline included) "for a price which is grossly in excess of the price prior to [an emergency] declaration and unrelated to any increased cost to the seller" even constitutional -- I suspect it could be too vague to be so?; and, (2) Should the government or market forces (like supply and demand, as this economist argues) dictate the price we pay at the pumps?
What say you?
Update, 10 p. m.: It seems like I spoke too soon. Now Marathon Oil has filed a counter lawsuit in federal court, naming Ernie Fletcher and Greg Stumbo as defendants, and claiming, amongst other things, that the "price gouging" law is unconstitutionally vague and violates interstate commerce! Maybe, those guys were reading this blog -- you think?
Update: After quickly reading the contents of the counter claim filed by Monarch oil, I opine that the lawsuit rises some very valid points, which suggest that the "anti-gouging" law may be facially invalid and as applied against Monarch oil by Fletcher's unending executive order, which initially found the existence of an emergency as a result of the 2005 hurricanes.
You heard it here first!
What say you?
I know many of you will say I'm being cynical and that Stumbo should NOT stop working just because he is running for office, and I'll say you are right on the former issue but not the later. I am willing to bet anyone that the looming election has EVERYTHING to do with the timing of this lawsuit.
Care to bet?
A couple of VERY points I neglected to raise in this initial post about the lawsuit are: (1) Is the Kentucky "anti-gouging" law, KRS 367.374, which prohibits the sale of goods or services (gasoline included) "for a price which is grossly in excess of the price prior to [an emergency] declaration and unrelated to any increased cost to the seller" even constitutional -- I suspect it could be too vague to be so?; and, (2) Should the government or market forces (like supply and demand, as this economist argues) dictate the price we pay at the pumps?
What say you?
Update, 10 p. m.: It seems like I spoke too soon. Now Marathon Oil has filed a counter lawsuit in federal court, naming Ernie Fletcher and Greg Stumbo as defendants, and claiming, amongst other things, that the "price gouging" law is unconstitutionally vague and violates interstate commerce! Maybe, those guys were reading this blog -- you think?
Update: After quickly reading the contents of the counter claim filed by Monarch oil, I opine that the lawsuit rises some very valid points, which suggest that the "anti-gouging" law may be facially invalid and as applied against Monarch oil by Fletcher's unending executive order, which initially found the existence of an emergency as a result of the 2005 hurricanes.
You heard it here first!
What say you?
Labels: Capitalism, Democratism, Kentucky politics, Public Service
posted by KYJurisDoctor at 7:47 AM
4 Comments:
All of Kentucky is proud of our attorney general's courage to take on big oil companies that didn't donate to his campaign and his political opponents. I am still bewildered that anyone questions the Governor's decision to avoid allowing the AGs staff to manufacture a perjury allegation. Everyone is well aware of Stumbo's transparently political motivations.
Stumbo has abused his office of attorney general. Everyone knows about how he went after Stumbo; but there is also evidence that Stumbo told assistant attorney generals not to investigate his campaign contributors.
Did everyone know that they could buy protection from the Attorney General if only they had donated to the Stumbo for Attorney General campaign.
It's out there.
How he went after fletcher. ---I need another cup of coffee.
George Will, Syndicated Columnist, argues that the markets ought to dictate fuel prices. Agree?
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