A central Indiana town is suing Indiana American Water Co., seeking to wrest control of local water services from the utility.
Mooresville's lawsuit states the town offered to buy Indiana American's Mooresville operation for $6.5 million, but the Greenwood-based company rejected the offer.
The town's suit contends Indiana law permits it to use eminent domain to acquire Indiana American Water's Mooresville water operations.
WRTV-TV reports some Mooresville residents and town council members have been upset over rate increases, including a recent 17-percent increase for some homeowners.
Indiana American Water President Alan DeBoy said the company will vigorously fight the town's lawsuit.