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The size of the pipe hardly matters. Most companies don't fight cross bore liability this hard
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If you look at the size of the lateral, which is probably 3 to 4" nominal size, then the data bundle is much smaller than the claimed 5"
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You did notice that said law is in the probate code, didn't you?
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$12K/year is just a portion of your property tax? Holy moly, how much is the place worth?