Getty Petroleum Marketing Inc. Seeks to Arbitrate Contract Dispute with Ethanol ProducerBy Getty Petroleum Marketing Inc., PRNE
Monday, June 28, 2010
EAST MEADOW, New York, June 29, 2010 - Getty Petroleum Marketing Inc. (Getty) announced today the filing of a
Demand for Arbitration before the American Arbitration Association against
Bionol Clearfield, LLC (Bionol), an ethanol producer in Pennsylvania. Getty
entered into a five-year contract to purchase ethanol from Bionol; however, a
dispute has arisen regarding the ethanol purchase price. As part of the
contract, Getty and Bionol agreed that they would resolve any dispute by
binding arbitration before the American Arbitration Association. Getty
continues to purchase its contractual requirements of ethanol from Bionol.
Pursuant to the terms of the contract governing payment disputes, Getty
continues to pay Bionol millions of dollars each month for the ethanol,
withholding only the amounts in dispute.
"Getty's desire remains to work with Bionol to reach agreement with
respect to the disputed amounts and in the absence of such agreement, to
resolve those claims through the pending arbitration, all of which is
contemplated under the ethanol agreement," says Vadim Gluzman, Getty CEO.
Getty's parent company, OAO LUKOIL is neither a party to the contract nor
to the arbitration proceedings.
Michael G. Lewis, Vice President and General Counsel, Getty Petroleum Marketing Inc., +1-516-542-5055
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