Kentucky Gas Gouging Lawsuit to Move Ahead

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Kentucky Gas Gouging Lawsuit to Move Ahead

LOUISVILLE, Ky. -- After a ruling by a circuit court judge, a lawsuit by Kentucky Attorney General Jack Conway against Marathon Petroleum and Speedway SuperAmerica is moving forward, according to a report by WAVE-TV.

A Franklin, Ky., circuit judge upheld the constitutionality of Kentucky's anti-price gouging law saying the state has a legitimate interest in protecting consumers from unjustified price spikes during a declared state of emergency after hurricanes Rita and Katrina, according to the report. The judge ruled the statute provides adequate notice to businesses that must obey it.

The court noted Speedway SuperAmerica stations enjoyed a significant increase in profit per gallon during the state of emergency and that Marathon reaped a record income for the fourth quarter of 2005. The suit is seeking $89 million in damages, plus penalties. No trial date has been set.

"This is just one decision, and the litigation moves forward," Speedway SuperAmerica spokesperson Angelia Graves told CSNews Online. "It doesn't conclude the litigation."

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