Villaraigosa Won’t Back LAUSD Bill
Mayor Antonio Villaraigosa came out Wednesday against a bill that would give him the authority to appoint the Los Angeles Unified School District board, even as the bill cleared another committee hurdle. During his recent campaign, Villaraigosa supported the concept of giving the L.A. mayor the authority. But Wednesday morning, his office lobbied legislators to vote against the bill when it came up before the Senate Education Committee. Villaraigosa said he is concerned that the bill could ignite a “protracted and costly legal battle” after an opinion by the state legislative counsel found the measure could be unconstitutional, the Daily News of Los Angeles reported.
Reality-TV Writers Sue Fox
Hollywood writers sued Fox Broadcasting and a producer of reality shows, charging the companies with violating California’s labor laws covering payment of wages, overtime and meal breaks, the Associated Press reported. The lawsuit, filed in L.A. Superior Court, is the second filed with assistance from the Writers Guild of America, West, which is trying to pressure producers to agree to an industrywide contract with workers. The suit claims that Fox and Rocket Science Laboratories, the producer of seven reality shows on Fox, required employees to falsify time cards, failed to pay overtime and routinely required plaintiffs to work 12 or more hours a day. The latest suit was filed on behalf of 10 writers and editors and is seeking class status.
Oil Company Suit Against Hermosa Beach Allowed to Go to Trial
A California appellate court overturned a trial court decision, ruling that a $500 million breach of contract claim brought by Macpherson Oil Co. against Hermosa Beach should go to a jury trial. In 1998, Macpherson Oil filed a lawsuit against the city alleging breach of contract after Hermosa Beach denied the company drilling permits granted earlier at two sites, based on a consultant’s opinion that it would be unsafe. Voters later approved Measure E, banning oil and gas operations in the city, and activists sued the city to prevent drilling. In 2002, an L.A. County Superior Court judge decided the city did not breach the oil company’s contract when it voted to deny the permits, the Daily Breeze reported. The appellate court on Tuesday ruled the passage of Proposition E is no shield against contractual liability.
Harman Industries Buys PhatNoise
The Consumer Group of Harman Industries International Inc., a maker of high-end audio equipment, has bought L.A.-based PhatNoise Inc., a developer of digital media systems for the automotive industry. Terms of the deal were not disclosed. Harman said the acquisition will bolster its own automotive business. Formed six years ago, PhatNoise specializes in digital media systems for cars and trucks. Its customers include Kenwood, General Motors, Volvo, Mazda, Volkswagen and Audi brands, the Daily News of Los Angeles reported. Harman’s consumer unit is based in Woodbury, N.Y.
Universal, Fox Make ‘Halo’ Movie Deal
Microsoft Corp. signed a deal with two film studios to make a movie based on its popular video game series “Halo.” Universal and 20th Century Fox agreed to pay Microsoft $5 million plus a percentage of ticket sales. The total price being paid is capped at 10 percent of domestic box-office sales. Under terms of the deal, Universal will oversee the film’s production and domestic distribution, while Fox will handle international distribution. The studios were aiming for a summer 2007 release, Reuters reported. The deal ends months of speculation over which studio would win the rights to make the film.
