OPPD suing UP...

John Barnhill May 18, 2007

  1. John Barnhill

    John Barnhill TrainBoard Member

    3,277
    110
    49
    OPPD IS SUING UNION PACIFIC FOR PROBLEMS WITH COAL DELIVERY

    The Omaha Public Power District is suing Union Pacific for more than $7 million, alleging the railroad has had trouble delivering the contracted amount of coal since spring 2005 and has improperly blamed bad weather and derailments.

    "Its wrongful actions have continued through 2006 and into 2007, and have caused substantial damage to OPPD," the power district said in its lawsuit filed this week in Douglas County District Court.

    The power district tried to resolve the issue with Union Pacific but had not been successful, spokesman Jeff Hanson said.

    "We reluctantly decided to see if courts can help us," Hanson said.

    Union Pacific officials did not immediately return telephone calls seeking comment Wednesday. - Joe Ruff, The Omaha World-Herald
     
  2. BoxcabE50

    BoxcabE50 HOn30 & N Scales Staff Member TrainBoard Supporter

    67,722
    23,370
    653
    Interesting to see this happening now. I wonder about it's timing. With the other recent allegations about the Class Ones, and shipping rates.

    Boxcab E50
     
  3. JCater

    JCater TrainBoard Member

    3,199
    9
    49
    Like most large US corps. the UP waited to be sued before any action will be taken. My guess is an out of court settlement and a promise to do better.
    John
     
  4. North Missouri Railroad

    North Missouri Railroad TrainBoard Member

    78
    0
    14
    The UP has an absolute policy of as soon as you say "sue" in any negotiations it will stop negotiating and say "we will wait for your service of process". The reason is simple; experience has shown that if you get a reputation for giving in then every frivolous claim that can be thought of will be presented. It amounts to extortion. But they are not a rare company in this regard; it is the growing position of all companies to stem the flood of frivolous law suits.

    OPPD is also just a little too arrogant for a subscriber owned utility.
     
  5. doofus

    doofus TrainBoard Supporter

    867
    107
    21
    Must be why some of those OPPD trains are making a "once in a while" appearance on the BNSF......................
     

Share This Page