The State of California Court of Appeals has changed a past court decision. This case was between the Town of Apple Valley and Apple Valley Ranchos Water (Liberty Utilities). The new ruling cancels the earlier decision and the order to pay Liberty’s legal fees.

“We’re happy with the court’s decision,” said Town Manager Doug Robertson. “It shows our case is strong and fixes mistakes made by the first judge. That judge used the wrong rules and let Liberty use facts from years after we decided to buy the water system.”

The appeals court found two big problems with the earlier ruling:

• Wrong Legal Standard: The judge didn’t follow the right rules and didn’t respect the Town Council’s decision.
• Wrong Timing of Facts: The judge used facts that came after the Town’s official decision, and focused too much on Liberty’s actions, not the past owners.

Now, the case goes back to the trial court. That court can choose to:

Let the Town take over the water system,
Send the issue back to the Town Council, or
Hold a new trial using the correct rules.
This decision could still be reviewed again, but it’s a big win for the Town.

“This shows how strong our case is,” said Mayor Scott Nassif. “The people of Apple Valley want fair and reliable water service. This helps us move closer to that goal.”