Los Angeles herald. [microfilm reel] (Los Angeles [Calif.]) 1900-1911, 1908-01-05
PLAN To BUY
WA TERPLANTS
MAYOR FARLEY TO OPEN NEGo.
TIATloNs
sTocKHoLDERS MUST HOLD A
NEW ELECTION
Recent Decision o. the Supreme Court
Decides sfflcials-Expect oppo-
position viii DeVeIop-PIan
an Old One
"a 1rast Colorado street.

"a East Colorado street.
Pasadena Agency.
Sunset Ma 2740 Home cess.
PASADENA, Jan. 4.--Mayor Earley's
unofficial information received last night
to the effect that the supreme court has
decided the water suits in favor of the
city is confined the court sustaining the
opinions of Judge Monroe Of the superior
court in favor of the defendants in all
three cases in which the Pasadena Land
and Water company and the city of Pas
adena We're defendants.
The suits were brought by Margaret
Collier Graham and others and S. w.
Orcutt and others. who disputed the
right of the Pasadena Land and Water
company to dispose of its plant to the
city of Pasadena on the ground of jeop-
ardizing the rights of the consumers of
South Pasadena.
This litigation has been pending for
almost three years and is given as one
of the reasons of the former city admin
istration and also by the present admin
istration for not proceeding with the ne
gotiations by which the city would be-
come owner of all the water plants.
Mayor Farley now announces that as
soon as the courts opinion is officially
promulgated and received the Lake Vine
yard company will be asked to hold an
other election by the stockholders on the
proposition TO sell to the city at the
former agreed price
At former election it is claimed
two-thirds vote of the stockholders was
not obtained hence It is necessary to
vote over. The mayor says he is san
guine that a good majority of the stock
will be voted in favor of selling. The
North Pasadena Water company will also
be asked to vote on the proposition to
sell at the old figures. plus the amount
expended in improvements. 1t is expected
that opposition will develop within the
ranks of this company.
To Enter Into Contracts
Following these elections it is the
mayors plan to enter into binding con-
tracts with all three companies to sell
their plants at the stipulated price under
the old agreement, plus the price for per-
manent improvements to be decided upon.
This in the aggregate has already been
figured at $4,000.
After the contracts are entered into
and are made binding the mayor pro-
poses 10 have the council call a special
bond election to vote the Sl80,00o If these
bonds are voted the city will be in shape
to hand over to the companies all the
contract price and thereby step into
ownership Of the principal water supply
of the entire valley.
Such is the plan as briefly outlined by
Mayor Farley since the receipt of the
news of the supreme court decision.
However. there is chance for negotia
lions to be further delayed, as there is
nothing in the way to prevent others
from bringing suit to prevent the sales
from being made, although it is not be-
lieved there will be any. That the de-
clsion will be of material assistance in
securing the approval of bond experts in
passing on the proceedings already gone
through is the opinion of the mayor and
several councilmen who today discussed
the matter informally