Suit Seeking Compensation for Damage to Hamaoka Nuclear Power Station No. 5 Reactor Low-Pressure Turbine Moving Vanes Settled
October 06, 2011
Chubu Electric Power Co.,Inc.
The Tokyo District Court presented draft settlement terms concerning the above-referenced lawsuit on September 20, 2011, and today Chubu Electric Power Co., Inc. and Hitachi, Ltd. notified the Court that they accept the proposed terms. As a result, this matter is settled under the proposed terms and the litigation is terminated.
1. Settlement terms (summary)
(1) Hitachi recognizes its duty to pay 9 billion yen to Chubu Electric Power to settle this matter.
(2) Chubu Electric Power waives the remainder of its claims.
(3) Chubu Electric Power and Hitachi each confirm that they are under no obligations and have no claims other than those specified in the settlement provisions.
2. Chubu Electric Power's stance on the settlement terms
Chubu Electric Power agrees to the proposed settlement terms based on the following considerations and in light of the strong recommendation to settle the case from the Court.
- Hitachi is an important business partner of Chubu Electric Power, and early settlement of the dispute and normalization of relations between the companies will be significant for the performance of Chubu Electric Power's business.
- If the recommendation of the Court was not followed and the litigation continued, the case would become protracted, leading to considerable costs.
- The settlement amount was specified by the court.