Bryan Cave Gets $28 Million Settlement For Higginsville, Mo.
November 10, 2006
Higginsville, Mo., November 10, 2006 -- The city of Higginsville, Mo., has reached a settlement with Kansas City Power and Light (KCP&L) for $28 million as a result of the utility's failure to honor a 20-year power supply contract.
The settlement, which was obtained for the city by Bryan Cave Partner Steven Mauer, requires KCP&L to pay an additional $220,000 for withholding six monthly payments and to compensate the city for its legal fees and other expenses.
“The settlement not only provides Higginsville with the compensation it is owed for the remaining 10 years of the contract, but it protects the city from falling into financial ruin,” Mauer said.
KCP&L had agreed to purchase the excess power capacity from the city’s 40-megawatt plant, built in 1994. As part of its contract with KCP&L, the city issued $16 million in bonds to finance construction of the electricity-generation facility.
When KCP&L reneged on the contract, which stated that the utility would help with the bond underwriting, it left the city with a large amount of debt it could not repay.
Bryan Cave has a diversified international practice. The firm represents a wide variety of business, financial, institutional and individual clients, including publicly held multinational corporations, large and mid-sized privately held companies, partnerships and emerging companies. Aided by extensive investments in technology, Bryan Cave’s nearly 800 lawyers in 13 offices across the United States, United Kingdom, the Middle East and Asia efficiently serve clients’ needs in the world’s leading business and financial markets.
For more information, contact:
Cristy M. Johnson