The Virginia Supreme Court has ruled in favor of Norfolk Southern Railway in a legal battle over whether broadband companies can cross railroad property to expand high-speed internet access, according to Trains.
In a decision issued Thursday, the court struck down a 2023 state law that allowed broadband providers to use railroad land for nonpublic purposes, calling it unconstitutional and in violation of Virginia’s eminent domain laws. The case centered on Cox Communications’ attempt to extend its network across Norfolk Southern property in eastern Virginia.
Justice Teresa Chafin, writing for the court, emphasized that Cox is neither a government entity nor a public service corporation. “Therefore, Cox cannot exercise the power of eminent domain for a ‘public use,’” she wrote. “While broadband expansion may benefit the public, a ‘public benefit’ does not equate to a ‘public use.’”
Under the now-invalidated law, railroads could charge broadband companies no more than $2,000 per crossing and $5,000 for related expenses, with the State Corporation Commission assigned to mediate disputes. When Cox refused to pay higher fees demanded by Norfolk Southern and proceeded without an agreement, the railroad sought relief from the commission. The commission denied the request without a hearing, prompting Norfolk Southern to appeal to the high court.
In reaction to the ruling, State Senator Bill Stanley, who championed the original legislation, criticized the decision. Speaking to Cardinal News, he called the ruling “just plain wrong,” arguing it empowers “greedy railroad companies” to block critical broadband development in both rural and urban communities. Stanley said legislators will make the issue a priority in upcoming legislative sessions.
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