Fed judge hears arguments in ferry case

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SPOKANE, Wash. (AP) -- The state of Washington contends that two brothers have no legal right to establish a regular ferry service to the remote town of Stehekin in the Cascade Range.

The family that operates a ranch-style resort in Stehekin, which is reachable only by boat, floatplane or on foot, has sued the state Transportation Commission. They argue that a nearly century-old law governing ferry operations has resulted in a government-imposed monopoly on Lake Chelan.

The state has asked U.S. District Court Judge Thomas Rice to dismiss the lawsuit. Rice heard arguments from both sides on Thursday and then said he would rule at a later date.