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<br />The Amity Mutual Irrigation Company <br /> <br />1431 <br /> <br />In connection with repeated instructions given the Board of Directors <br />each year to oppose the permanent pool at John Martin Reservoir, the Amity <br />Canal has joined with certain other canals such as the Ft. Lyon, Highline <br />Canal, Las Animas Consolidated, the Holbrook, and the Colorado Canal to <br />object to the transfer. We do not know what arrangements have been made <br />specifically among the other canals however. the Amity has agreed to <br />participate dollar wise in the employment of said specialists in the way oC <br />engineers and specialized water lawyers to the sum not to exceed $2,000. <br /> <br />Our primary concern to the Canal Company at this time are two law <br />suits which have been filed against the Amity. the Ft. Lyon Canal Company, <br />one Francis Cook, and the State Game and Fish Department. Both of these <br />suits arise out of a motorboat accident last year on the Lower Queens <br />Reservoir wherein the Plaintiffs, Gayle Behan and Muril McDaniel were <br />injured. These Plaintiffs, through their parents, and their parents as <br />PlaintiCCs also, have demanded damages against all oC the deCendants in a <br />total sum oC around $288,00_0. Your undersigned attorney has been handling <br />this matter through all oC the various matters that have taken place to date <br />and in the month oC January a pretrial conference was held and a trial date <br />was set Cor the middle oC July. Due to the unusual nature oC this case and <br />the law involved, the extreme importance to the Amity, and due to the <br />tremendous amount oC damages claimed, I did in January recommend to the <br />Board oC Directors that we engage the firm oC Phelps, Fonda, Hays, Farley, <br />Abram & Shaw as counsel in this matter due to what I believe their abilities <br />and qualifications in connection with negligence law. The Board agreed to <br />so do and we will be working with them very closely and contribute as much <br />as possible to the defense of the Amity. The matter of costs oC litigation, <br />always is a consideration, and this canbediscussed in detail at our meeting. <br /> <br />I wish to thank every member oCthe Board of Directors, the Superintend- <br />ent, the Secretary, and other personnel and various Stockholders Cor their <br />cooperation during the past year. <br /> <br />Respectfully submitted, <br /> <br />Robert G. Racers, Attorney for the Association <br /> <br />Page 7 <br />