Opinion ID: 1740878
Heading Depth: 2
Heading Rank: 3

Heading: intervention of msu resident security holders

Text: The only statutory basis for intervention in these proceedings is found in Miss. Code Ann. § 77-3-37(9), which allows intervenors and protestants to file direct testimony and exhibits with the MPSC. We believe that the intervention allowed in this case was error, for two reasons. First, the security holders were already a party to these proceedings through the officers of MP & L. Shareholder intervention is improperly granted where there is no showing, as here, that the shareholders' interests are not being adequately represented. Brieterman v. Elmar Properties, Inc., 507 N.Y.S.2d 206 (N.Y.A.D.2d 1986); Lipton v. News Intern, PLC, 514 A.2d 1075 (Del.Supp. 1986). Second, even under Rule 24(a)(2), Miss.R. Civ.P., intervention is only allowed under certain circumstances: [W]hen the applicant claims an interest relating to the property or transaction which is the subject of the action and he is so situated that the disposition of the action may as a practical matter impair or impede his ability to protect that interest, unless the applicant's interest is adequately represented by existing parties. [emphasis added] See Guaranty National Insurance Co. v. Pittman, 501 So.2d 377, 381 (Miss. 1987). Here, the applicants' interest was obviously the preservation of their stock value through the award of a rate increase to MP & L. That interest was coexistent with MP & L's desire to enhance its financial position by obtaining a rate increase. Thus, the intervenors' interest was adequately represented by MP & L, a party to the action, and intervention of the resident security holders was improper under the facts in this case. We, thus, find reversible error in the proceedings below, and we reverse and remand this case to the Mississippi Public Service Commission for further proceedings not inconsistent with this opinion. REVERSED AND REMANDED. WALKER, C.J., ROY NOBLE LEE and HAWKINS, P.JJ., and PRATHER, SULLIVAN, ANDERSON and GRIFFIN, JJ., concur. ROBERTSON, J., dissents.