§ 8-1-2-83 — Franchises; sale; transfer; assignment or encumbrance; special rate contracts

Indiana § 8-1-2-83

• Jurisdiction: Indiana
• Art. 1: UTILITIES GENERALLY
• Ch. 2: Utility Regulation

Text

(a) No public utility, as defined in section 1 of
this chapter, shall sell, assign, transfer, lease, or encumber its franchise,
works, or system to any other person, partnership, limited liability
company, or corporation, or contract for the operation of any part of its
works or system by any other person, partnership, limited liability
company, or corporation, without the approval of the commission after
hearing. And no such public utility, except temporarily or in case of
emergency and for a period of not exceeding thirty (30) days, shall
make any special contract at rates other than those prescribed in its
schedule of rates theretofore filed with the commission, and in force,
with any other utility for rendering any service to or procuring any
service from such other utility, without the approval of the commission.
It shall be lawful, however, for any utility to make a contract for service
to or from another utility at rates previously filed with and approved by
the commission and in force.
(b) The approval of the commission of the sale, assignment, transfer,
lease, or encumbrance of a franchise or any part of a franchise under
this section shall not revive or validate any lapsed or invalid franchise,
or enlarge or add to the powers and privileges contained in the grant of
any franchise or waive any forfeiture. No such public utility shall
directly or indirectly purchase, acquire, or become the owner of any of
the property, stock, or bonds of any other public utility authorized to
engage or engaged in the same or a similar business, or operating or
purporting to operate under a franchise from the same or any other
municipality or under an indeterminate permit unless authorized so to
do by the commission.
(c) Nothing contained in this section shall prevent the holding of
stock lawfully acquired before May 1, 1913, or prohibit, upon the
surrender or exchange of said stock pursuant to a reorganization plan,
the purchase, acquisition, taking, or holding by the owner of a
proportionate amount of the stock of any new corporation organized to
take over at foreclosure or other sale, the property of the corporation
whose stock has been thus surrendered or exchanged.
(d) Every contract by any public utility for the purchase, acquisition,
assignment, or transfer to it of any of the stock of any other public
utility by or through any person, partnership, limited liability company,
or corporation without the approval of the commission shall be void
and of no effect, and no such transfer or assignment of such stock upon
the books of the corporation pursuant to any such contract shall be
effective for any purpose.
Formerly: Acts 1913, c.76, s.95; Acts 1925, c.54, s.1. As
amended by P.L.59-1984, SEC.37; P.L.23-1988, SEC.24; P.L.8-1993,
SEC.111; P.L.136-2018, SEC.49.