When applying for a common carrier or contract carrier license with the PUC, you have two main options: apply on your own or hire an attorney to help you handle it. Both approaches can work, but if you choose to use an attorney, you’ll have the added benefit of ensuring that you have complied with all PUC formalities and that every required piece of information is included in your initial application. Getting everything right at the outset not only streamlines the process but also makes it harder for a third party to successfully intervene later on.
What is an “intervention”?
An intervention occurs when a third party attempts to prevent approval of your application for a common carrier or contract carrier license. The motivation behind interventions is almost always to avoid competition. A good analogy would be applying for a liquor license. In many localities, when someone applies for this type of license, they are required to post a sign notifying the public, giving residents or businesses a chance to object. These objections—or interventions—can be for a variety of reasons, but the goal is typically to stop the approval process.
A similar process occurs with PUC applications. When you file an application, it becomes public information, and any other operators who currently hold a common carrier or contract carrier license can intervene if they feel that your application could negatively affect them. This is why submitting a flawless application from the beginning is so important, as doing so minimizes the chances of a successful intervention.
What should you do if a third party already holding license intervenes in your PUC application?
- Determine the basis for their intervention. Understanding their reasons for the objection is crucial to preparing to disprove their claims. In many cases, a key factor in securing your license is demonstrating that there is a need for it and that the current common carrier and contract carrier license holders are unable to meet the public’s needs.
- Understand the deadlines and begin preparing ASAP. Once an intervention is filed, you’ll need to act quickly. The PUC will set a schedule, and the deadlines tend to come fast because the hearing officer is required to make a ruling on your application within approximately six months of the filing date. Therefore, you’ll need to immediately begin gathering all the necessary information to support your case for a license, including witness lists and exhibits. This is where hiring a lawyer with PUC experience can be highly beneficial.
- Attend the evidentiary hearing. An evidentiary hearing held by the PUC is essentially a one-day mini-trial and is your opportunity to prove that granting your applied-for license is in the public’s best interest.
During this hearing, you’ll present your case by calling witnesses and providing exhibits that support your application. You’ll need to clearly demonstrate why your application for a license should be approved and why the intervention should be denied. Being well-prepared and having a solid strategy, possibly with the assistance of an experienced attorney, will increase your chances of a successful outcome.
Can I appeal if my application for a license is denied?
Yes, but keep in mind that appeals are usually unsuccessful. However, another option may exist: negotiating with the party(ies) that intervened. In some cases, the applicant and the party(ies) that intervened can reach an agreement to divide the market in a way that satisfies everyone.
For example, let’s say your business is applying for a license to operate a shuttle service from Denver International Airport (DIA) to downtown Denver. You could potentially agree with the other party(ies) that you will not service certain areas, such as limiting your pick-up operations to areas south of Colfax. By reducing the scope of your license as applied for and avoiding overlap, all parties may be able to coexist, and the opposing party(ies) may drop their intervention. In the case of a denial of an application for a license, this kind of negotiation can be a more practical solution than an appeal, as it avoids prolonged legal battles and creates a mutually beneficial outcome for everyone.
In summary, take immediate action if a current license holder intervenes in your PUC application. Understand the objections, meet the deadlines, gather your evidence, and be prepared to present a strong case at the hearing. A well-organized defense is your best path to approval.
Attorneys at Fortis Law Partners have expertise navigating the PUC application and intervention process. Please contact a member of our team if you have questions or need representation in a Colorado PUC matter.
