West v. URS Corporation

Filing 32

ORDER granting 30 MOTION for Settlement Motion of Custodial Trustee to Approve Compromise with URS Corporation filed by William L West; this matter is closed. Signed by Judge Michael R. Barrett on 7/17/12. (ba1)

IN THE UNITED STATES DISTRICT COURT
FOR THE SOUTHERN DISTRICT OF OHIO
WESTERN DIVISION
WILLIAM L. WEST, CUSTODIAL
TRUSTEE OF THE EP CUSTODIAL
TRUST,
Plaintiff,
v.
URS CORPORATION,

Defendant.

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Case No. 1:10-cv-00517-MRB
Judge Michael R. Barrett

ORDER GRANTING THE MOTION OF CUSTODIAL TRUSTEE TO APPROVE
COMPROMISE WITH URS CORPORATION
This matter came to be heard before the Court on the Motion of Custodial Trustee to
Approve Compromise with URS Corporation (the "Motion") seeking approval of a compromise
between Plaintiff William L. West, Custodial Trustee of the EP Custodial Trust ("Custodial
Trustee"), and URS Corporation (“URS”). The Court finds as follows:
1.

The Custodial Trustee filed a Complaint against URS in the United States

Bankruptcy Court for the Southern District of Ohio on March 9, 2010 [Docket No. 1] and
asserted claims for damages against URS for breach of the Agreement 1 to remediate a
trichloroethylene plume in the ground water located beneath and migrating from Industrial Drive

1

Capitalized terms not defined in this Order retain the same definitions in the Motion.

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in Hillsdale, Michigan.

An Amended Complaint was filed by the Custodial Trustee on

September 9, 2010 [Docket No. 4]. URS filed an Answer and Counterclaim on November 1,
2010 [Docket No. 8], to which the Custodial Trustee filed an Answer on November 16, 2010
[Docket No. 9]. A Second Amended Complaint was filed by the Custodial Trustee on April 21,
2011 [Docket No. 12]. On June 9, 2010, the Custodial Trustee and URS filed a Joint Motion for
Withdrawal of Reference, which motion was granted by this Court’s Order on July 19, 2010.
[Docket No. 27] of Adv. Proc. No. 1:10-ap-01042.
2.

The Custodial Trustee and URS have resolved their differences and have entered

into a Release and Settlement Agreement, providing for payment by URS of $250,000.00 to the
Custodial Trustee and a mutual release of all claims between the Parties. The Release and
Settlement Agreement is conditioned on the issuance this Order granting approval of the Release
and Settlement Agreement by the District Court and will have no force or effect and will be void
if such approval is not obtained.
3.

In connection with a review of the Custodial Trustee's Motion, the Court

considered the following factors: (1) the probability of success in litigation; (2) the complexity
of the litigation involved, as well as the expense, inconvenience and delay necessarily attendant
to the litigation; (3) the difficulties to be encountered in collecting or enforcing any judgments
that might be rendered; and (4) the paramount interest of the Trust with proper deference to its
interests. Upon consideration of these factors, the judgment of the Custodial Trustee, and any
timely objections made to the Motion, the Court finds that the terms of the compromise are fair
and equitable and in the best interests of the Trust. Approval of the compromise will facilitate
completion of Environmental Actions outlined in the Custodial Trust and avoid the costs and
uncertainties of litigation.

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4.

Proper notice of the Motion and hearing on the Motion was issued by the

Custodial Trustee, pursuant to Order of this Court, to all parties receiving notice and creditors in
the Bankruptcy Case, the Office of the United States Trustee, and all other parties who have
appeared and requested electronic notice. Those parties have had the opportunity to be heard by
this Court at a hearing on this Motion.
After due deliberation and sufficient cause,
IT IS HEREBY ORDERED AS FOLLOWS:
A.

The Motion is granted in its entirety. The Custodial Trustee is authorized to enter

into the Release and Settlement Agreement attached to the Motion;
B.

All objections are overruled. This Court will retain continuing jurisdiction over

the Parties for the purpose of enforcing the terms of the Release and Settlement Agreement.
IT IS SO ORDERED.
/s/ Michael R. Barrett
United States District Judge

Prepared and submitted by:
ICE MILLER, LLP
/s/ M. Colette Gibbons________________
M. Colette Gibbons (0003095)
FIFTH THIRD CENTER
600 Superior Avenue East, Suite 1701
Cleveland, Ohio 44114
Phone: [phone]
Facsimile: [phone]
Email: [e-mail]
Counsel to EP Custodial Trustee, William L. West

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