Railroad Commission Texas and Dan Morales v. Lone Star Gas Company

Lone Star Gas Company, a division of Enserch Corporation (Lone Star), and Enserch Gas Company (Enserch), a wholly owned subsidiary of Enserch Corporation, challenge Texas Railroad Commission (Commission) Rules 30(a)(1) and (5), and 34(h)(2-4) (hereinafter Rules) governing the natural gas industry. Lone Star and Enserch sued the Commission and the Attorney General of Texas seeking a declaration of the invalidity and applicability of the Rules. After a hearing, the trial court rendered judgment that the Rules were valid but dismissed Lone Star and Enserchs request for declaratory relief on other grounds. The court of appeals reversed the trial courts judgment and rendered judgment that the Rules are invalid because the Rules