HomeMy WebLinkAbout1606ORDINANCE NO. /fp
AN ORDINANCE authorizing a settlement agreement of the
antitrust suit of the City against Federal Pacific
Electric Company and Cornell - Dubilier Electric
Corporation.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF PORT
ANGELES that Joseph L. Alioto, the Special Counsel engaged by the '
City to prosecute its antitrust claim growing out of purchases of
electrical apparatus, be, and is hereby, authorized and empowered
to do the following:
1. To execute and deliver an agreement dated Novem-
fiber 22, 1966 with Edward Bierma, Secretary - Treasurer and author-
ized agent for Federal Pacific Electric Company, and to execute on
behalf of the City the Covenant Not To Sue attached to the letter
agreement.
2. To settle and dismiss the City's claims for dam-
ages under the Clayton Act, pending against Federal Pacific Elec-
tric Company and Cornell - Dubilier Electric Corporation, particu-
larly those asserted in the pending actions filed originally in
the United States District Courts where the actions have been
transferred; and to accept for and on behalf of the City, the
State and other participating municipalities in the State of Wash-
ington, clients represented by Broz, Long & Mikkelborg, and Mr.
Alioto's clients in the State of California, including Sacramento
Municipal Utility District, Sacramento, California, Modesto Irri-
gation District, Modesto, California and Turlock Irrigation Dis-
trict, Turlock, California, the total sum of $552,000.00 payable
in six installments as stated in said agreement, of which the City
shall receive the total sum of $8,653.00 payable in six install-
ments, provided that said company shall not be required to inquire
as to the application of such sums by Mr. Alioto among his various
clients.
3. To assign the contract rights to receive the five
annual installment payments as provided in the agreement of Novem-
r
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•
ber 22, 1966 to any person or persons, including any bank or finan-
1
cial institution, and to receive such lump sum cash amount for the
same as subsequently specifically approved by the City up to a
maximum discount of ten percent of face value of the remaining in-
stallment payments under the contract.
BE IT FURTHER ORDAINED that execution and delivery by
Joseph L. Alioto of the Covenant Not To Sue referred to above and
any other action pursuant to the authority of this ordinance and
prior to the effective date hereof is hereby approved, ratified
and confirmed.
PASSED by the City Council and approved by its Mayor at a
regular meeting of the Council held on the 16th day of March, 1967.
Attest:
Approved as to form:
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City A�
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PUBLISHED: 1;%7-�,f(%,c7.5 /7
Mayor