(The following appeared on the Arizona Daily Star website on January 21, 2009.)
TUCSON, Ariz. — Union Pacific Railroad Co. is claiming that Arizona Electric Power Cooperative Inc. refused to recognize a contract that deals with transporting coal from mines in Colorado and Wyoming to Southern Arizona, according to a lawsuit filed Tuesday in U.S. District Court.
The contract establishes rates and terms for transporting the coal from the railroad company’s mines to a power plant in Cochise, between Benson and Willcox, the complaint says.
But the power cooperative has denied the parties entered into a contract and demanded Union Pacific establish common carrier rates for moving the coal, according to the complaint.
Union Pacific is asking the court to determine that the companies have entered into an enforceable contract for moving the coal.