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Most of Hino Suit Against City Tossed
Thursday, August 06, 2009 11:51 AM


(Source: Valley Morning Star (Harlingen, Texas))trackingBy Allen Essex, Valley Morning Star, Harlingen, Texas

Aug. 6--BROWNSVILLE Â-- A visiting judge on Wednesday threw out most of a lawsuit filed by Hino Electric Power Co. against the City of Harlingen and two electricity suppliers.

The judge issued a directed verdict, stating that Hino Electric hadn't presented enough evidence that Constellation Energy and Central Power & Light Co. interfered with a Hino contract extension in 2006 when they offered energy prices to the city of Harlingen, said Scott Lyford, an attorney for CPL.

Visiting Judge Richard Terrell of Alice ruled there was not enough evidence for the case to be considered by the jury, Lyford said.

Hino Electric sued the city for ending its agreement with Hino on Sept. 27, 2006, to continue to provide electric power for city buildings and facilities from Jan. 1, 2007, through September 2007.

Hino Electric said it purchased power from a supplier based on its agreement with the city.

Hino Electric is still seeking money damages to compensate it for $527,000 it claimed in losses from the cancellation of the contract, Chief Executive Officer Alex Hinojosa Jr. said Wednesday.

The judge earlier had severed the case against Harlingen from the case against Constellation and CPL.

Lyford said Hino Electric can appeal the judge's verdict in the case against the two electric suppliers.

Ray Marchan, Hino Electric's attorney, said Wednesday the judge ruled in favor of the city on two issues in the separate case against the city, but some issues against the city are still pending.

"It's all in legal wrangling," Marchan said. Attorneys have filed motions on various issues the judge must now consider, he said.

It is not yet known whether Hino Electric can appeal the whole case, including the one against the city, or just the case against Constellation and CPL, Marchan said.

"I saw definite evidence of injustices by the defendants," Hinojosa said. "But the judge ruled that the evidence did not rise to the level of intentional acts. ... I know they (wrongfully) interfered with our contract. The judge didn't see it that way."

Former city attorney Brendan Hall inserted an escape clause in a contract to extend Hino Electric's contract into 2007, but Hinojosa apparently didn't read it, an attorney told the jury during the trial.

"We lost a battle today, but I can assure everybody that we didn't lose the war," Hinojosa said.

"We're going to continue fighting. I believe in my mind, in my heart and in my soul that we had an enforceable contract."

He said he has no plans to give up.

"The city of Harlingen intentionally and maliciously reneged on the contract," Hinojosa said.

"I can assure that my attorneys are more than capable to continue the fight legally and will do everything they can to regain what is rightfully ours, what belongs to Hino Electric."

He said his company filed the lawsuit with good intentions.

"We don't want one penny more than what is owed to us," he said.

-----

To see more of the Valley Morning Star, or to subscribe to the newspaper, go to http://www.valleystar.com.

Copyright (c) 2009, Valley Morning Star, Harlingen, Texas

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