Date: 02-11-2005

Case Style: City of Huntsville v. ProLiance Energy Corp.

Case Number: 5:02-cv-01296-VEH

Judge: Virginia Emerson Hopkins

Court: United States District Court for the Northern District of Alabama

Plaintiff's Attorney:

Gary C. Huckaby, Gary C. Huckaby (Lead) Cutter Hughes, Greg Revera and Daniel Kaufmann of Bradley, Arant, Rose & White, Huntsville, Alabama

Defendant's Attorney:

Jere White, Jack Sharman and William Brooks of Lightfoot Franklin & White, Birmingham, Alabama

Description:

The City of Huntville, Alabama sued Proliance Energy LLC for fraudulently inducing the plaintiff to enter into a contract with the defendant, breaching the contract, stealing Huntsville's natural gas reserves, engaging in a civil conspiracy to hide high gas charges with a series of fake invoices, and interfering in the utility's business relations by blocking a proposed contract with Duke Energy, another natural-gas supplier. The utility sued under federal Racketeer Influenced Corrupt organizations Act and the jury returned its verdict on this claim in favor of the utility. Thus, the compensatory damages will be trebled as matter of law and the plaintiff will be entitled to its attorney fees.

Proliance Energy counterclaimed for breach of contract.

Outcome: Plaintiff's verdict for $33.2 million. The ultimate judgment will therefore exceed 50 million dollars.

Plaintiff's Experts: None

Defendant's Experts: Dr. Paul Carpenter of the Brattle Group of Cambridge, Massachusetts

Comments: None