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R99-008 02-08-99RESOLUTION NO. R99-8 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS, IN SUPPORT OF VOLUNTARY CLASS ACTIONS ON BEHALF OF TEXAS MUNICIPALITIES. WHEREAS, it has come to the City's attention that Texas cities have historically participated in class action lawsuits in this state; and WHEREAS, Texas cities routinely benefit from collaborative proceedings and coalition building fostered and promoted by class action suits for the collective good of their citizens; and WHEREAS, there are presently a number of pending class action suits filed on behalf of Texas cities, including, but not limited to the following: City of Wharton, et al. v. Houston Lighting & Power Company, Cause No. 96-016613, pending in Harris County, Texas; City of Pharr, et aL v. Rio Grande Valley Gas Company, et al., Cause No. C-4558-96-A-2, pending in Hidalgo County, Texas; WHEREAS, Texas cities have historically exercised their own decisions regarding whether to remain in or opt out of class action suits filed in this state; and WHEREAS, we find it to be in the best interest of our City to retain the right, privilege and option to remain in and/or opt out of voluntary class action suits filed in the State of Texas and which are or may be filed on behalf of Texas cities; and WHEREAS, nothing in this Resolution is intended to nor does it obligate our City to participate in any future class action suits that may be filed, but rather the City RESOLUTION NO. R99-8 expressly retains its right and option to opt out of any class action suits, according to law; now, therefore, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS: Section 1. That the City Council finds it to be good public policy for Texas cities to have the option, right and privilege to participate or not participate in voluntary class action suits and to make its own decision as to whether to remain in or opt out of any existing or future class action suits that may be filed. Thus, this City therefore approves all pending class action suits in which it has voluntarily opted to remain a class member and those suits in which it may in the future choose to be a voluntary member as provided for in Rule 42, Tex. R. Civ. P. PASSED, APPROVED and ADOPTED this the r~~/'' A. D., 1999. ATTEST: ~p~ROV%D AS T: FORM: DARRIN M. COKER CITY ATTO RN EY TOM REID MAYOR 2 __ day of ~CLpv~ ~ r%/, FRCV 0' 0l1 11' N LAMIAACK Fax # 713-223-0937 (TOE) 1' 26' 99 16:53/7, ,6:52/NC, u3620234(4 P L SS --CON FIDENTIAI-. ATTORNEY/CLIENT COMMUNICATION Adoption of Resolution November 5, 1998 Dear Wharton Class Member: URGENT ACTION NEEDED! PLEASE ACT NOW TO SAVE YOUR RIGHTS. In similar class action suit brought on behalf of Texas cities against various gas and electric utility companies, the defendant utility companies have asked the Texas Supreme Court to prevent cities such as yours from participating in traditional class action suits Lawyers with the Texas Municipal League ("MIL") have indicated that they intend to oppose the utility companies' arguments. Other Texas cities are also filing briefs opposing the utility companies' efforts and support the right of texas cities to join together in class action suits to help save public dollars and not burden taxpayers. In the absence of class action suits, many small cities would have no effective opportunity to obtain Justice or recover owed amounts from large companies due to the relative small size of these cities' budgets compared to the revenues available to multi -million dollar gas and electric utility companies desiring to engage in protracted litigation. At present, Texas recognizes the right of Texas cities to participate in voluntary class action suits if they desire. Specifically, Texas cities are not forced to participate Confidential Attorney -Client Privilege FROM O' QUINN Yx LAMINACK Fax # 713-223-0937 (TUE) 1, 26' 99 16:54/ ST. 16 ; 52/NO 4-62023404 P 4 IN RE: HL&P CLASS ACTION November 5, 1998 the enclosed Resolution will be used to oppose efforts by defendants to dilute and strip Texas cities of their option to participate in class action suits. After you have passed the enclosed Resolution, we ask you to return a copy of the executed Resolution in the enclosed self-addressed stamped envelope or to the undersigned at the following address: Benjamin L Hall, III c/o Class Action Department 0 Quinn & Laminack 440 Louisiana Street, Suite 2300 Houston, Texas 77002 Should you have any questions or concerns regarding any of'the enclosed, please do not hesitate to contact us at the toll free number 800-245-0249, extension 7635. When -calling, state that you are calling regarding the Oty of Wharton class action litigation. We thank you for your assistance. Very Benjamin L. all, III Wharton ass Counsel P.S. PLEASE ACT NOWT RETURN THE E. LOSEI) RESOLUTION whartoninewsltrs/news.8 Confidential Attorney -Client Privilege