11175ORDINANCE NO. 11,175
AN ORDINANCE AUTHORIZING THE SETTLEMENT OF A LAWSUIT
PENDING IN THE CIRCUIT COURT OF PULASKI COUNTY, ARKANSAS,
BETWEEN THE CITY OF LITTLE ROCK AND THE CAPITOL TRANSIT
COMPANY; APPROPRIATING THE SUM OF FIVE THOUSAND AND
N0 1100 DOLLARS ($5,000.00) TO EFFECT SETTLEMENT OF SAID
SUIT; AND FOR OTHER PURPOSES.
WHEREAS:, the City has heretofore filed suit against Capitol
Transit Company for franchise taxes due for the years 1955 and
1956; and
WHEREAS, Capitol Transit Company had counterclaimed in said
lawsuit for damages occasioned as a result of its relocation of
telephone poles owned by it in the right -of -way of La Harpe Boule-
vard and, further, for damages representing the cost of poles of
the said transit company utilized by the City of Little Rock in
its fire alarm system and for other purposes after said transit
company surrendered its franchise, the aggregate of all damages
being far in excess of the claim of the City of Little Rock; and
WHEREAS, it has been found and determined that the claims
of Capitol Transit Company are valid and should be allowed as an
offset against the tax claim of the City and that, in addition
thereto, the City should abide by its contract, executed April
27, 1954, with said Capitol Transit Company to purchase said poles;
and
WHEREAS, said Capitol Transit Company has agreed to a com-
promise of all its claims against the City of Little Rock in said
litigation for the sum of Five Thousand and No /100 Dollars ($5,000.00)
cash and the cancellation of tax claims by the City of Little Rock,
and, as a condition of said compromise, said transit company will
vest or cause to be vested in the City absolute title and possession
of the two hundred three (203) poles utilized by the City by its
fire alarm system and for other purposes, pursuant to an agreement
entered into between the City of Little Rock and Capitol Transit
Company on April 27, 1954.
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NOW THEREFORE, BE IT ORDAINED BY THE BOARD OF DIRECTORS OF
THE CITY OF LITTLE ROCK, ARKANSAS:
SECTION 1. The City Attorney is hereby authorized and
directed to effect a compromise settlement and dismissal of the
lawsuit of the City of Little Rock against Capitol Transit Company,
Case No. 44,800, now pending in the Circuit Court of Pulaski
County, Arkansas.
SECTION 2. In effecting the compromise settlement and dis-
missal of said litigation referred to in Section 1 hereof, the
City Attorney is to cancel the claim of the City for franchise
taxes sued for in said litigation and pay over to said Capitol
Transit Company the sum of Five Thousand and No /100 Dollars ($5,000.00)
cash.
SECTION 3. As consideration for the cancellation of claims
and the payment of the sum of money provided for in Section 2
hereof, it is understood that Capitol Transit Company will dismiss
its claims for damages counterclaimed for in said litigation and
convey good title and right to possession to the City of Little
Rock of the two hundred three (203) poles of said transit company
now used by the City of Little Rock in its fire alarm signal system
and for other purposes.
SECTION 4. The sum of Five Thousand and No /100 Dollars
($5,000.00) is hereby appropriated, payable to the Capitol Transit
Company, representing the settlement authorized hereinabove. The
City Manager and Director of Finance are hereby authorized and
directed to issue the necessary voucher in settlement of this
claim.
SECTION 5. All ordinances and parts of ordinances in con-
flict herewith are hereby repealed, and this ordinance shall be
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in full force and effect from and after its passage and
approval.
PASSED: April 3, 1961
ATTEST: (---jDG
City Clerk
APPROVED::
tMayo •