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City of Jersey City v. Consolidated Rail Corp.

ELR Citation: 42 ELR 20035
Nos. 10-7135, (D.C. Cir., 02/03/2012)

The D.C. Circuit held that a city has standing to challenge a railroad company's sale of a historic elevated railroad embankment to developers. The city argued that the sale was void because the company failed to obtain approval from the Surface Transportation Board (STB) to abandon the property. The lower court erroneously dismissed the case for lack of standing. The company's refusal to invoke STB proceedings injures the city by depriving it of the benefits of those proceedings--namely, the opportunity to acquire or protect the property. In addition, the city's injury can be redressed by a district court ruling that the embankment qualifies as "railroad line" that the company may not abandon without STB approval.