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Business and commercial lawsuit targets gas prices in Alabama

When a company is in business and seeking to expand, it is unavoidable that disputes will erupt. For those who are entering the market in Alabama, it is imperative to have legal protection when dealing with certain issues that are independent to the state. Because competition is so fierce in a variety of industries, prices will play a large role in drawing customers. This is critical with a business that is new in the state. For entities that are dealing with a business and commercial dispute over prices, it is vital to understand the state laws and have a viable shield when confronted with a legal filing.

A federal lawsuit has been filed because a Texas-based company expanded into Alabama and posted illegal prices for its gasoline. The filing states that the company did not adhere to a rule that has been in place for more than three decades. The company that filed the case has asked that the pricing tactics stop while it is pending. The basis of the 1984 law was to stop large oil companies from providing gas at prices lower than it costs for purchase and transport to a retailer. Other companies have filed similar lawsuits in the state.

The complainant believes that the new location has violated the law with its pricing policies. Detailed dates at which the price was lower than what the state law says it can be are mentioned in the filing. The new gas station opened on Jan. 21. The price is significantly lower than the prices for other stations in the area. The new gas station has 33 other locations in Texas. There is no law regulating gas prices in Texas. It is contended that the company was aware of the law in Alabama and has failed to adhere to it.

When doing business in Alabama, having a fair playing field is critical to survival. When there are laws in place that are designed to promote fairness and they are violated, the companies that are impacted should remember that they do have some level or recourse by filing a lawsuit. Companies that are being sued have the right to defend themselves. Having help from a law firm that is well-versed in all aspects of business and commercial law in the state is foundational and should not be ignored. Anyone who is in business small, medium or large should have legal advice for their business and commercial needs.