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CONFIDENTIAL

Dec. 31, 1993

Breach of Contract
Landlord and Tenant
Rent Control Violations

Confidential

Settlement –  $1,600,000

Judge

Joseph J. Carson

Court

Alameda Superior


Attorneys

Plaintiff

Roger A. Purdon

David Shagam


Defendant

Anthony F. Pinelli
(Williams, Pinelli & Cullen LLP)

Jonathan Margolis

Susan B. Luten

Julia A. Molander

William S. Berland


Experts

Defendant

Michael St. John
(technical)

Gregory McConnell
(technical)

Facts

Two class actions against two sets of landlords (one set the successor of the other) for overcharges in violation of the Berkeley rent control ordinances and state rent deposit statute in 63 apartments from March, 1984 through May, 1993.

Settlement Discussions

Plaintiffs contend their initial demand to the Defendant first set of landlords was $3,000,000; the initial demand to Defendant current landlords was $1,800,000 and rents to be lowered to the 1990 level; Defendant first set of landlords initial offer was $100,000; and the initial offer from Defendant current landlords was $250,000 and rents to be unaffected.

Damages

Not specified.

Other Information

Honorable Robert K. Barber, retired, presided as referee in a trial that lasted 11 days; a finding was made of $1,784,000 in over-charges, without a finding of amounts attributable to opt-outs. Honorable Daniel Weinstein was appointed by Judge Carson to preside over the settlement conference, at which this case settled.


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