Water Litigation Notes.
The Citizens’ Water Company, of Washington, Pa., by its superintendent, J. V. Clark, has filed its answer to the action brought by the borough fixed through legal procedure. The action is one in equity. The borough council has refused to accgpt the contract tendered by the water company for this service, alleging that the rate asked for the water service was excessive and unreasonable. The water company, in its answer, de nies that such is the case, but maintains that the rate it was willing to accept was eminently fair, setting forth various reasons why this is so.
Chief Justice Pennewill, at Wilmington, Del., appoints Joseph C. Jolts receiver for the Newark Water & Electric Company, which, it is claimed, had not been regularly chartered when it secured the lease of the light and water plant from the town council. He gave $10,000 bond to serve during the pending of the suit to set aside the lease. The lessees were required to give $20,000 bond for the non-transfer or impairment of the value of the property, pending the suit, but failed to do so, and it is surmised that they may cancel the lease and restore the property to the control of the town council or offer to leave the matter to arbitrators.
In the case of the Farmers’ Loan & Trust Company of New York, against the Council Bluffs, Ia., Waterworks Company and others, which has been in the Federal court for some time, Judge Smith McPherson has entered an order directing Receiver E. W. Hart of the water company to deliver to the city of Council Bluffs the plant and effects which were included in the case presented to the condemnation court in this city upon payment by the city of the award of the court, $510,500, and in addition the value of all materials, supplies or other property not included in the inventory presented by the receiver to the court of condemnation.