Path: bloom-picayune.mit.edu!snorkelwacker.mit.edu!news.media.mit.edu!americast.com!americast.com!usa-post Newsgroups: usa-today.law,americast.usa-today.law From: usa-post@AmeriCast.Com Organization: American Cybercasting Approved: usa-post@AmeriCast.com Subject: law Tue, Oct 20 1992 Date: Tue, 20 Oct 92 04:35:16 EDT Message-ID: 10-20 0000 DECISIONLINE: Business Law USA TODAY Update Oct. 20, 1992 Source: USA TODAY:Gannett National Information Network CCC ALLEGEDLY UNDERVALUED CARS: The National Automobile Dealers Association's NADA Services Corp. Monday fired two separate legal salvos against Chicago-based CCC Information Services Inc. One suit says CCC has been scheming to undervalue used vehicles, cheating insurance policyholders out of fair compensation. CCC is accused of setting values below those of NADA to make its service attractive to insurance firms. FIRM SUED FOR COPYING INFO.: The National Automobile Dealers Association's NADA Services Corp. Monday sued CCC Information Services Inc. for copying NADA valuations and that of another vendor and selling them in a package to CCC customers without permission or licensing. The association filed complaint seeking an injunction against CCC to keep it from copying and distributing NADA copyright works. RETAILER TO PAY CIVIL FINE: Mail-order retailer Lillian Vernon Corp. Monday agreed to pay a $310,000 civil penalty to settle government charges of violating federal rules for mail-order sales. The Federal Trade Commission alleged the retailer of household products didn't refund shipping costs for products it couldn't ship. Rules say mail-order merchants must refund purchase and shipping fees for products it can't send. COMMERCE THREATENS RETALIATION: Commerce Secretary Barbara Franklin says Japan must change its trading practices and buy more U.S. goods or face retaliation. Franklin, speaking to a U.S.-Japanese trade forum, Monday said Japan still accounts for two-thirds of the U.S. merchandise trade deficit despite numerous pledges to buy more U.S. products. Last week, Japan reported a record high surplus with the USA. OTS SAYS THRIFT COULD BE SEIZED: The Office of Thrift Supervision Monday said CalFed Inc. could face strong consequences, including regulatory seizures, if it does not restructure by the end of the year. Also under consideration: A temporary order for the bank holding company to contribute capital to its unit, California Federal Savings Bank; freeze the company's assets; and declare it to be in unsafe and unsound condition. OTS ORDERS $1.2 MILLION PAYBACK: The Office of Thrift Supervision Monday ordered three current and former directors of Overland Park Savings and Loan Association in Kansas to pay back $1.2 million. The office said the three engaged in unsafe and unsound real-estate deals that violated OTS regulations. They signed a consent order but did not admit guilt. All three agreed to make restitution. TAKEOVER IDEA GETS BOOST: Ameriwood Industries International Corp.'s second-largest shareholder supports a takeover offer from the company's largest shareholder, the company said Monday. Nine members of the Coyle family, holding a 13.2% stake in Ameriwood, filed a form 13-D saying they support the efforts of the Willametta K. Day Trust to take over the furniture manufacturer. Day holds a 16% stake. TRUST WILL RESTRUCTURE LOAN: American Health Properties Monday agreed to restructure its mortgage loans to the owners of the Four Winds Hospital in Katonah, N.Y., and the Rock Creek Center in Chicago. The real estate investment trust said the $61.2 million, 12.5% first-mortgage loan will be reduced to $28.4 million, with the trust accruing interest on the loan at the rate of $3.4 million a year as of July 1, 1992. ORION HOPES FOR PLAN APPROVAL: Orion Pictures is optimistic its reorganization plan will be approved at a bankruptcy court hearing Tuesday. If approved, Orion says it could emerge from bankruptcy protection as early as next month. The plan calls for majority shareholder Metromedia to invest $15 million in cash in exchange for 50.1% of the stock in the reorganized Orion. Orion filed for Chapter 11 last year. UNITED ANNOUNCES DEFERRAL: United Airlines Monday announced that the Japanese government's refusal to honor the Air Services Agreement with the USA has forced the carrier to defer until Dec. 31 the beginning of its planned extension of its New York-Tokyo service beyond to Sydney, Australia. The carrier last week said the Japanese government had refused to accept United's filing of a schedule with the service. BURNS, BA SIGN SEAT DEAL: Burns Aerospace Corp., Winston-Salem, N.C., said British Airways has signed a long-term contract for designing and manufacturing aircraft seating. British Airways will install Burns' seats in its Boeing 777 and 747-400 aircraft. The order includes more than 10,000 passenger places of economy class and business class. Burns also will establish a data link between London and Winston-Salem. BELL, MCCAW SIGN CONTRACT: Cincinnati Bell Information Services Inc. Monday signed a multiyear renewal contract with McCaw Cellular Communications Inc. for the use of Cincinnati Bell's Macro:Cell cellular communications management support system. Macro:Cell is an on-line usage and accounts processing system that provides message processing, subscriber billing, customer service and marketing functions. Business Law Editor: Beth Mann. (919-855-3491) Making copies of USA TODAY Update (Copyright, 1992) for further distribution violates federal law. This article is copyright 1992 Gannett News Service. Redistribution to other sites is not permitted except by arrangement with American Cybercasting Corporation. For more information, send-email to usa@AmeriCast.COM