People v. Pac Anchor Transportation, Inc.
Oct 13, 2009OUTCOME: Judgment for Defendant
The Court held that the State's cause of aciton for unfair competition under Sections 17200 et seq. of the California Business and Professions Code ("UCL") was preempted by Section 14501(c)(1) of the F ... ederal Aviation Administration Authorization Act, 49 U.S.C. 14501(c)(1). The Court found that the State's UCL claim against the Defendant motor carrier was related to the Defendant motor carrier's prices, routes, and services, that it frustrated Congress' intent to deregulate the trucking industry, and that it threatened to erect an entry control to the participation of independent contractor drivers in the industry. Therefore, the Court found the State's UCL claim preempted. In addition, the Court found that under the precedent set by Fitz-Gerald v. Skywest, Inc., 65 Cal. Rptr. 3d 913 (2007), actions under the UCL are preempted per se. Therefore, the Court granted Defendant's motion for judgment on the pleadings. The State's appeal is pending.
