Repository: UIHistories Project: Board of Trustees Minutes - 1954 [PAGE 1257]

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1254

BOARD OF TRUSTEES

[February 18

b . That each subcontractor who has not completed its work will agree to promptly resume it, and to complete it by April 16, 1954, for the payment of said sum by the University to it upon completion of its work. c. That W a r r e n will agree to the payment by the University of said sums directly from the University to said subcontractors and will allow the University full credit therefor upon Warren's contract with the University. d. That an agreement be reached between W a r r e n and each of its said subcontractors as to the amounts to be paid to the latter by the University, and for which W a r r e n will allow the University such credit, in accordance with the foregoing. 2. That all work remaining to be done by W a r r e n (i.e., that not covered by Warren's contracts with its subcontractors) under its said contract with the University be deleted, and W a r r e n be relieved of all further obligation to complete that work, in return for a credit in the sum of $6,000 to be allowed the University by W a r r e n under the contract between them for the deletion of that work. For the reasons stated in the above-mentioned memorandum, the Director of the Physical Plant, the Acting Comptroller, and the Legal Counsel recommend that said proposal be approved, that the assignment of said subcontracts by Warren to the University and the -deletion of Warren's remaining work in return for said credit, upon the foregoing terms and conditions, be authorized, and that the Director of the Physical Plant, the Acting Comptroller, and the Secretary of the Board be authorized to execute and deliver all agreements, change orders, and other documents and make all payments, when approved by the Legal Counsel, necessary or appropriate to effect and carry out the same. Accomplishing and carrying out the foregoing proposals will not dispose of the entire controversy between W a r r e n and the University or those between the University and some of its other prime contractors upon this building. Warren asserts substantial claims against the University not included within the unpaid balance of the price specified in the contract between them. With a few possible minor exceptions, the University denies any liability to Warren on account of those claims and the University asserts claims against Warren, in excess of $100,000, upon which W a r r e n denies liability to the University. Negotiations and discussions are now in progress between Warren and the University relative to a tentative proposal made Warren, subject to approval of the Board of Trustees if accepted by W a r r e n , to pay W a r r e n the balance of the amount specified in the contract between W a r r e n and the University remaining unpaid after the University has received credit for the amounts it will pay directly to Warren's subcontractors and the above-mentioned $6,000 credit (if the above proposal is approved by the Board and proves acceptable to the subcontractors) and the full release of all possible claims of the University against W a r r e n in return for a full release of all of the latter's possible claims against the University, but, since that proposal is still the subject of negotiation and discussion, it is not being presented to this Board for action thereon at this time. I concur in these recommendations.

On motion of Mrs. Watkins, the proposal recommended was approved and authority was given as requested.

KREBIOZEN INVESTIGATING COMMISSION

The Legal Counsel reported the contents of a notice received by him from the Krebiozen Investigating Commission and consulted with the Trustees present with respect to the actions to be taken by him on behalf of the University in connection with the matters specified in the notice.

SECRETARY'S REPORTS

The Secretary presented' for record the following lists: (1) appointments made by the President; (2) fellows; (3) resignations, cancellations, and declinations; (4) leaves of absence.