the United States Court of Appeals for the Fifth Circuit will hear oral arguments this afternoon on whether to stay the ruling that overturned the federal moratorium on drilling in the gulf. Just a few weeks ago, a district judge in New Orleans held that the moratorium was improper and declared it invalid. That same judge denied a request by the federal government to stay the effect of his ruling pending appeal. Now the appellate court is being asked to issue such a stay instead.
It is unlikely that drilling will resume no matter what the decision. The issue will surely be appealed to the Supreme Court and that will act to deter any company from investing the millions needed to continue drilling. Still, it will be interesting to see what the 5th circuit decides on the issue.
given the harsh language used by the district court judge in overturning the moratorium, my guess is that the 5th Circuit will not issue a stay, but that is just a guess. The presence of the federal government asking for a stay opposed by the state government will act to balance the equities that would normally weigh heavily in favor of the government.
The 5th Circuit should decide quickly, but a decision by the Supreme court could take months.
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