Lawsuit argues Alaska access law should not apply in Colorado

A suit that was recently brought before the federal district court in Colorado is challenging the application of an Alaskan access law to a contract dispute in the state. The suit has been brought by Denver-based energy company, X Corp., and argues that the Alaska Access and Use Act (AAUA) should not be applied to their contractual dispute with a Colorado-based operator.

The AAUA was passed by the Alaskan legislature in 2006 in order to grant certain access and use rights to certain Alaskan businesses. X Corp. and the Colorado operator had entered into a contract that granted X Corp. the right to access certain Colorado-based energy infrastructure. In 2017, the Colorado operator attempted to terminate the agreement and X Corp. brought suit in the district court of Colorado.

The Colorado operator argued that the provisions of the AAUA should be applied to the contract dispute as the agreement had been entered into by an Alaskan business. They argued that the AAUA should be applied to the dispute as it is a matter of public policy and should supersede the contract. X Corp. disputed this, arguing that the contract should be interpreted in accordance with Colorado law, not Alaskan law.

The court is expected to decide in the coming weeks whether the AAUA should be applied to the dispute or if X Corp.’s assertion that Colorado law should apply should be upheld. The outcome of this case could have far-reaching implications for the interpretation of contracts between Alaskan and Colorado businesses.

The court’s decision hinges on whether the AAUA should be applied to contracts between Alaskan and Colorado businesses when the contract was entered into in Colorado. If the court finds in favor of X Corp., it will set a precedent that contracts between Alaskan and Colorado businesses should be interpreted in accordance with the laws of the state in which the contract was entered into.

If the court finds in favor of the Colorado operator, it could open the door to future disputes in which Alaskan law is applied to contracts between Alaskan and Colorado businesses, even when the contract is entered into in Colorado. The outcome of this case could thus have major implications for the interpretation of contracts between businesses in Alaska and Colorado.

The court’s decision in this case is being closely watched by businesses in both states. The outcome could have a major impact on how contracts between Alaskan and Colorado businesses are interpreted, and will provide important guidance on how these contracts should be interpreted in the future.