Exec. Transp. Co. v. Pa. Pub. Util. Comm'n
138 A.3d 145
| Pa. Commw. Ct. | 2016Background
- Rasier-PA, LLC (Rasier), an affiliate of Uber, applied for an experimental common-carrier certificate to provide on-demand passenger service in Allegheny County using the Uber app and drivers’ personal vehicles.
- Executive Transportation Co. (Executive), a local taxi company, protested, arguing Rasier would act as a broker (no custody/control of vehicles) and thus the PUC lacked jurisdiction.
- Two ALJs recommended dismissing Rasier’s Allegheny Application for obstructing hearings; the PUC conducted de novo review and reversed, granting Rasier experimental authorization subject to extensive compliance conditions.
- Executive filed a petition for reconsideration raising the custody/broker jurisdiction point; the PUC denied reconsideration, approved Rasier’s compliance plan, and Executive appealed the denial.
- The Commonwealth Court reviewed only the PUC’s denial of reconsideration (abuse of discretion standard) and affirmed, concluding Executive raised the same arguments already considered and identifying no basis for reconsideration.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the PUC had jurisdiction to adjudicate Rasier’s Allegheny Application given Rasier proposed no custody/control of vehicles | Executive: Custody/control of vehicles is essential for a common-carrier CPC holder; without it Rasier is a broker outside PUC motor-carrier jurisdiction | PUC: Rasier’s app-based service is a motor-carrier offering transportation to the public for compensation; vehicle ownership/custody is not a jurisdictional prerequisite | Court: Did not reach merits on jurisdiction in this appeal of reconsideration denial, but affirmed PUC’s denial because Executive merely reasserted arguments already adjudicated and showed no basis for reconsideration |
| Whether Rasier is a “broker” under 66 Pa.C.S. §2501(b) | Executive: Rasier fits broker definition because it arranges rides but does not assume custody of vehicles | PUC: Rasier will not use certificated motor carriers and functions as an on-demand motor carrier; experimental-certification framework applies | Court: Found PUC considered and rejected this claim; no new argument shown to merit reconsideration |
| Whether denial of reconsideration was an abuse of discretion | Executive: PUC erred and abused discretion by refusing to revisit jurisdictional/broker argument | PUC: Executive failed Duick standard for reconsideration—no novel or overlooked issue presented | Court: No abuse of discretion; denial affirmed (no bad faith, fraud, caprice, or abuse of power shown) |
| Whether court should address merits of December 5, 2014 order in this appeal | Executive: framed appeal narrowly as denial of reconsideration | PUC & Court: jurisdictional issues may be reviewed; but because Executive sought only reconsideration, court limited review to abuse-of-discretion standard | Court: Declined to review merits here; noted companion decision (Capital City Cab) addressed merits and would support PUC’s determination |
Key Cases Cited
- Pennsylvania Railroad Co. v. Pennsylvania Public Service Comm'n, 118 Pa. Super. 380 (1935) (reconsideration cannot be a second bite at issues already decided)
- J.A.M. Cab Co. v. Pennsylvania Pub. Util. Comm'n, 572 A.2d 1317 (Pa. Cmwlth. 1990) (review of denial of reconsideration limited by abuse-of-discretion standard)
- Columbia Gas of Pa. v. Pennsylvania Pub. Util. Comm'n, 535 A.2d 1246 (Pa. Cmwlth. 1988) (abuse of discretion standard for agency reconsideration; identifies grounds for reversal)
- PECO Energy Co. v. Pennsylvania Pub. Util. Comm'n, 791 A.2d 1155 (Pa. 2002) (standards for appellate review of PUC decisions)
- Blackwell v. State Ethics Comm'n, 567 A.2d 630 (Pa. 1989) (jurisdictional issues are never waived and may be raised sua sponte)
- Capital City Cab Service v. Pennsylvania Pub. Util. Comm'n, 138 A.3d 119 (Pa. Cmwlth. 2016) (companion opinion addressing merits of Rasier’s statewide experimental authorization)