LUMA brings ex-PR Supreme Court justices into legal fight over grid contract

LUMA Energy has asked the San Juan Court of First Instance to consolidate two related lawsuits filed against it, arguing that both cases involve nearly identical facts and legal questions. The company argues that allowing the cases to proceed separately would duplicate legal work, increase costs and risk inconsistent rulings.

By THE STAR STAFF

LUMA Energy appeared Tuesday in Puerto Rico’s Court of First Instance with a high-profile legal team that includes two former Puerto Rico Supreme Court justices, as the company battles the government’s effort to end its contract to operate and maintain the island’s electric power transmission and distribution system.

Court documents list former Associate Justice Edgardo Rivera García and former Chief Justice Federico Hernández Denton among LUMA’s attorneys.

The filing also names attorneys José A. Andréu Fuentes, Frank Torres-Viada, Mariana Muñiz Lara, Jacabed Rodríguez Coss, Jan M. Albino López and Emmanuel Porro González of DLA Piper Puerto Rico.

The dispute returned to the local court after U.S. District Judge Laura Taylor Swain sent the cases back to Puerto Rico, where the government is seeking to invalidate the extension of LUMA’s supplemental contract. LUMA has responded with claims of its own, including countersuits.

LUMA has asked the San Juan Court of First Instance to consolidate two related lawsuits, arguing that both cases involve nearly identical facts and legal questions.

One case was filed by the Puerto Rico Public-Private Partnerships Authority (P3A) and the Puerto Rico Electric Power Authority (PREPA). The other was filed by Gov. Jenniffer González Colón and the Government of Puerto Rico.

At the center of both lawsuits, LUMA said, is whether the court should declare null and void a Nov. 30, 2022 extension letter signed by LUMA, the P3A and PREPA.

The company argues that allowing the cases to proceed separately would duplicate legal work, increase costs and risk inconsistent rulings.

In its filings, LUMA also disclosed that it has brought claims and a countersuit in response to the government’s challenge.

LUMA alleges that the government is using public funds to pursue a campaign promise while attacking its own previous decisions related to the 2022 supplemental agreement.

The company further contends that ending the agreement could expose Puerto Rico to at least $4.5 billion in damages and operational expenses.

LUMA also says the government has not presented an alternative plan to ensure the continued operation and maintenance of the island’s transmission and distribution system.

“We will pursue this legal battle to defend our nearly 1.5 million customers while remaining focused on transforming Puerto Rico’s electric system,” LUMA said in a written statement.