Resolution 1304
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RESOLUTION NO. 1304
1.
PREAMBLE:
The CITY OF GILROY
, herea fter
called entity, has previously authorized the Attorney
General of the State of California to institute on its
behalf one or more law suits under the Federal Antitrust
Laws which law suits were in fact filed against defendants
United States Steel Corporation, Smith-Scott Company, Inc.,
Kaiser Steel Corporation, United States Industries, Martin-
Marietta Corporation, United Concrete Pipe Corporation,
and American Pipe and Construction Co.
2. Pursuant to court orders, similar actions
brought by the Federal Government and other plaintiffs in
the States of California, Oregon, Washington and Hawaii
were all coordinated before a single Federal District
Court Judge.
3. In 1967 the actions against all defendants,
with the exception of American Pipe and Construction Co.,
were settled and compromised on a lump sum basis, the pro-
ceeds being distributed amongst the various plaintiffs
pursuant to an agreement, all of which was duly approved
and ratified by entity ana approved by the Court.
4. A condition of the acceptance of said partial
settlement by certain plaintiffs not represented by the
Attorney General of the State of California was an agree-
ment by and between the plaintiffs concerning the conduct
of the litigation still remaining against, and the
allocation among plaintiffs of the expected recovery from
defendant American. This agreement known to plaintiffs
as the Western Associated Pipe Plaintiffs Organization
1.
/30:/
".
1 Compact provides, among other things, for (a) common
2 sharing of expenses; (b) the retention of a lead
3 counsel to prosecute and try all cases against the
4 remaining defendant American Pipe and Construction
5 Co. under the supervision of an Executive Committee
6 of the plaintiffs party to the compact; and (c) the
7 distribution of any recovery against American to
8 all plaintiffs proportionately to their verified
9 transactions with American over the fourteen year
10 period 1950 through 1963.
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5. On July 14, 1967, the Attorney General
12 of the State of California entered into such Compact,
13 hereinafter called WAPPO, on behalf of entity. Since
14 then, the agreements embodied in the WAPPO Compact have
15 been and are being carried out with the Attorney General
16 of California as chairman of its Executive Committee.
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6. Plaintiffsl counsel, acting through their
18 Executive Committee and lead counsel, have now negotiated
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19 and reached agreement on the terms of a settlement and
20 compromise of the litigation with defendant American
21 Pipe and Construction Co., the terms of which are more
22 fully set out in the attached document entitled "MEMORANDUM
23 OF UNDERSTANDING FOR SETTLEMENT OF WEST COAST PIPE CASES
24 BETWEEN ALL PLAINTIFFS AND AMERICAN PIPE AND CONSTRUCTION
25 COMPANY" .
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7. Such Memorandum of Understanding provides
27 for payment by American to all plaintiffs of the lump
28 sum amount of eight million five hundred thousand
29 dollars ($8,500,000) over a period of seven years
30 with interest.
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2.
I, SUSANNE E. STEINNETZ, City Clerk of the City of Gilroy, do
hereby certify that the attached Resolution No.
1104 is an original
resolution, duly adopted by the Council of the City of Gilroy at a
regular meeting of said Council held on the 6th
day of January
, 19~, at which meeting a quorum was present.
IN WITNESS WHEREOF, 1 have hereunto set my hand and affixed the
official seal of the City of Gilroy, this 7th
day of Jenuary
, 19~.
f
,/l /~/(/)c.nvu-/ 'S?J-Z;::l-~;u'L
'City Clerk of the City of Gilro~/
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