B-132722, JAN. 11, 1960

B-132722: Jan 11, 1960

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TO THE WESTERN PACIFIC RAILROAD COMPANY: REFERENCE IS MADE TO YOUR LETTER OF AUGUST 5. CONTAINING AN OFFER TO ISSUE REVISED BILLS ON A 50 PERCENT BASIS FOR CERTAIN OF YOUR CLAIMS WHICH ARE NOT PENDING IN SUIT. WE HAVE EXAMINED OUR T-109 FILES AND FIND WE HAVE 23 PENDING CLAIMS TOTALING $6. 871.75 ARE INVOLVED IN SACRAMENTO NORTHERN RAILWAY V. YOUR PROPOSAL AS RELATES TO SUCH BILLS APPEARS TO CONSTITUTE AN OFFER IN COMPROMISE WHICH THIS OFFICE IS WITHOUT AUTHORITY TO ACCEPT. YOU ARE ADVISED. THAT WE HAVE SUBMITTED THE MATTER TO THE DEPARTMENT OF JUSTICE FOR CONSIDERATION UNDER ITS COMPROMISE JURISDICTION AND WE WILL ADVISE YOU OF ITS ACTION THEREON AT A LATER DATE.

B-132722, JAN. 11, 1960

TO THE WESTERN PACIFIC RAILROAD COMPANY:

REFERENCE IS MADE TO YOUR LETTER OF AUGUST 5, 1959, FILE L 7131 AA, CONTAINING AN OFFER TO ISSUE REVISED BILLS ON A 50 PERCENT BASIS FOR CERTAIN OF YOUR CLAIMS WHICH ARE NOT PENDING IN SUIT, AS WELL AS THOSE OF YOUR SUBSIDIARIES--- THE SACRAMENTO NORTHERN AND THE TIDEWATER SOUTHERN--- INVOLVING THE QUESTION OF THE PROPRIETY OF ASSESSING FREIGHT CHARGES BASED UPON THE LARGER SIZE CAR FURNISHED RATHER THAN UPON THE SIZE OF THE CAR ORDERED BY THE SHIPPER.

WE HAVE EXAMINED OUR T-109 FILES AND FIND WE HAVE 23 PENDING CLAIMS TOTALING $6,308.33 OF YOUR RAILROAD AND ITS SUBSIDIARIES WHICH MIGHT BE CONSIDERED TO INVOLVE THE ISSUES IN WESTERN PACIFIC RAILROAD COMPANY V. UNITED STATES, COURT OF CLAIMS NO. 345-57 REFERRED TO BY YOU. HOWEVER, 12 OF THESE CLAIMS IN THE AGGREGATE AMOUNTS OF $3,871.75 ARE INVOLVED IN SACRAMENTO NORTHERN RAILWAY V. UNITED STATES, C.CLS. NO. 344-59. SINCE YOUR PROPOSAL RELATES ONLY TO THE ITEMS NOT IN SUIT, WE CONSIDER THAT YOUR PROPOSAL, SUBJECT TO MORE DEFINITE IDENTIFICATION OF THE BILLS INVOLVED, RELATES TO THE OTHER 11 CLAIMS AGGREGATING TO $2,436.58.

YOUR PROPOSAL AS RELATES TO SUCH BILLS APPEARS TO CONSTITUTE AN OFFER IN COMPROMISE WHICH THIS OFFICE IS WITHOUT AUTHORITY TO ACCEPT. YOU ARE ADVISED, THAT WE HAVE SUBMITTED THE MATTER TO THE DEPARTMENT OF JUSTICE FOR CONSIDERATION UNDER ITS COMPROMISE JURISDICTION AND WE WILL ADVISE YOU OF ITS ACTION THEREON AT A LATER DATE.