HomeMy WebLinkAboutAgenda Statement 1972/09/05 Item 34Ctity.A.i:.tu~ra~ey: 1?Ce.cx~e p~r.epa~ir~. .the tiece~~a,~y (rce~o.~u.~~v~~~) a~r• (o~~.d.~nanc~)
Staff_ Conunentar_y .on Agenda Item No. ~~
C:HlIL71 VI5~1'~~ CI`l'X COUNCIr, i~1T;~;'1'~ING Ol;' Sept. 5, 1972
It-.em Title: Resol.ut:ion Approv_i_ng Settlement Agreement and Authorizing ~`.
the Mayor to Sign ie]_easc~s l2~garding Suit Filed by City of Chula Vista
Against Edgington O.il Company and Witco Chemical Corporation
Initiated by: City Attorney
Attached is a copy of Resolution ( ) Ordinance [ J Agreement [ J Plat [ J
Background:
Earlier this year, the State Attorney General's Office organized most
of the cities and counties into an anti-trust action against several
major oil companies. The grounds of this suit are briefly that. these
companies set their prices in violation of antitrust laws and, as a
result, the citi.e~s ~saho purchased asphalt products from these companies
suffered injury,
In order to finance this suit against the larger companies such as
Standard Oil, the Attorney General has requested that we release the
Edgington Oil Company and Witco Chemical Corporation in order to gener-
ate the $100,000 they have offered in settlement. Since all the cities
will have to pay the Attorney General's costs out of the final judgment,
it is to our advantage that some of the costs be paid in advance since
no prejudice will result to our case.
A resolution is attached authorizing the Mayor to sign the Releases
of Edgington Oil Company and Witco Chemical Corporation, and approving
the settlement agreements.
City Clerk: Please return two certified copies of the Resolution listed
above and the Final Release for each of the defendants to the City Attorney.
See EXFIIBITS [ J No.
Financial n/a
Statement:
Commission-Board
Recommendation: n/a
llepar. tnrent Head
Recommendation: Approval
City M~~nager
Reconunendation
A 113
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