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IOWA-ILLINOIS GAS AND ELECTRIC COMPANY v. IOWA CITY

No. 50982.

124 N.W.2d 840 (1963)

IOWA-ILLINOIS GAS AND ELECTRIC COMPANY, Appellee, v. IOWA CITY, Iowa, Thelma B. Lewis, Mayor, Fred H. Doderer, Dorr Hudson, James H. Nesmith and Ray Thornberry, Councilmen, and with the Mayor constituting the City Council of Iowa City, Iowa, Appellants.

Supreme Court of Iowa.

November 12, 1963.

Attorney(s) appearing for the Case

William F. Sueppel, William L. Meardon, Ansel Chapman, Iowa City, for appellants.

David M. Elderkin, Cedar Rapids, and R. H. Ivie, Iowa City, and William B. Waterman, Davenport, for appellee.

PETERSON, Justice.

Action brought by Iowa-Illinois Gas & Electric Company against Iowa City alleging that gas and electric rates under ordinances Nos. 2208 and 2209 were not sufficient to provide a fair return upon the value of the company's property devoted to serving consumers in the city and surrounding area. The company alleges the returns provided by the rates were so low as to be confiscatory.

The trial court held the electric ordinance rates only...

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