Activist must pay fees
Local activist Bob Martel received an expensive setback this week in his ongoing battle against Pacific Lumber and its parent company, MAXXAM. The 5th Circuit Court of Appeals rejected Martel's appeal to an earlier decision in MAXXAM's favor and ordered him to pay the company legal fees of more than $110,000.
The case concerns the failure in 1988 of a savings and loan association in which MAXXAM and its chairman, Charles Hurwitz, were investors. Martel contends that Hurwitz exercised control over the company; Hurwitz denies the charges. Related cases are still pending, but the court ruled that Martel's case was "frivolous."
Martel disputes that claim, saying that the suit cost him $250,000 and took five years of research. That, he said, "doesn't actually fit the definition of frivolous."
As to how he might pay the legal fees awarded by the court, Martel said he hasn't earned "more than six thousand dollars in a year in recent memory"
MAXXAM spokesman Josh Reiss said that the corporation intends to pursue the claim.
No comments:
Post a Comment