U.S. COURT UPHOLDS APEX DECISION FAVORING NYMEX
The U.S. Court of Appeals for the
Second Circuit upheld a lower court decision dismissing a suit
by Apex Oil Co against the New York Mercantile Exchange and
several oil companies.
    The Court, however, ruled that Apex Oil could pursue
anititrust and commodities market manipulation allegations
against Belcher Oil Co, a unit of Coastal Corp <CGP>.
    Apex Oil, primarily a trading company, charged that several
companies, including Belcher, and NYMEX conspired to force it
to deliver heating oil it had sold on the mercantile exchange,
knowing Apex could not make full delivery.
   
    The NYMEX ordered Apex to deliver four mln barrels of
heating oil sold via a February 1982 heating oil contract. Apex
eventually fulfilled this obligation but claimed damages.
    Richard Wiener, attorney for Apex at Cadwalader Wickersham
and Taft, said the company has not yet decided whether to
pursue its case against Belcher Oil.
    The NYMEX, meanwhile, has a counterclaim pending against
Apex Oil, seeking an unspecified amount of attorney's fees and
15 mln dlrs in punitive damages, according to a NYMEX
spokeswoman.
 Reuter
