New Trial Ordered in Exxon-Long Beach Suit

Exxon Corp. lost a battle in a long-standing dispute with the city of Long Beach over more than $100 million in alleged oil price manipulations. California’s 2nd District Court of Appeals ordered a new trial in Long Beach’s breach-of-contract suit against Exxon. The court ruled that a lower court failed to consider evidence that Exxon underpaid for oil from the city-controlled Wilmington offshore field by artificially holding down prices. Exxon is the only holdout in the dispute, which originally also involved five other major oil companies. All except Exxon settled in 1991.