Right-of-way dispute may lead to further business litigation

One of the oldest railroad companies in the nation is currently involved in a dispute with another railway company that has plans to install a high-speed system in California. Union Pacific Railroad and California High Speed Rail Authority do not see eye to eye regarding a 100-foot wide section of property to which the railroad company currently has a right-of-way. In fact, it has had the right-of-way since Abraham Lincoln himself granted it in the 1860s. Business litigation may be necessary to resolve this problem.  

The passage was a key factor in westward expansion development. California High Speed Rail Authority is trying to install a new track directly alongside the right-of-way section of land. The dispute has been ongoing for some time. In 2010, Union Pacific Railroad wrote to California High Speed Rail Authority, stating that it would not tolerate property rights violations.  

The lead contractor for the California High Speed Rail Authority project has stated that Union Pacific Railroad is being unreasonable and that the company's refusal to cooperate has caused significant delays to construction. The construction mogul has also written a letter, citing at least 20 situations where it claims Union Pacific Railroad has unlawfully interfered with its project. The contracted company has already filed a delay claim and was awarded $50 million.  

California business litigation situations like this one are often quite complex. When several parties are involved who each have a lot at stake, it can be challenging to find a solution that is fair and agreeable to everyone. An experienced business attorney is a great asset to have on hand at such times.  

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