  In this paper, we discuss the behavior of conformal field theories
interacting at a single point. The edge states of the quantum Hall effect (QHE)
system give rise to a particular representation of a chiral Kac-Moody current
algebra. We show that in the case of QHE systems interacting at one point we
obtain a ``twisted'' representation of the current algebra. The condition for
stationarity of currents is the same as the classical Kirchoff's law applied to
the currents at the interaction point. We find that in the case of two discs
touching at one point, since the currents are chiral, they are not stationary
and one obtains current oscillations between the two discs. We determine the
frequency of these oscillations in terms of an effective parameter
characterizing the interaction. The chiral conformal field theories can be
represented in terms of bosonic Lagrangians with a boundary interaction. We
discuss how these one point interactions can be represented as boundary
conditions on fields, and how the requirement of chirality leads to
restrictions on the interactions described by these Lagrangians. By gauging
these models we find that the theory is naturally coupled to a Chern-Simons
gauge theory in 2+1 dimensions, and this coupling is completely determined by
the requirement of anomaly cancellation.
