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Saturday, July 12, 2003

No ruling on third party in JOA lawsuit
Citizens group wants to advocate to keep both Seattle newspapers

SEATTLE POST-INTELLIGENCER STAFF

A ruling due yesterday in a lawsuit between Seattle's two daily newspapers hadn't materialized by late afternoon, but could come as early as next week.

King County Superior Court Judge Greg Canova was scheduled to decide by yesterday whether a self-styled citizens group, the Committee for a Two-Newspaper Town, has the right to add its arguments to those being litigated by the Seattle Post-Intelligencer and The Seattle Times.

Canova's bailiff, Angela Ashley-Smith, said earlier this week that he had been on vacation but "might decide later next week."

The Seattle Times Co. is trying to end a joint operating agreement under which it has handled some business functions for the P-I in exchange for a larger share of the joint profits.

The P-I's owner, The Hearst Corp., in April sued The Seattle Times Co. to prevent it from ending the 20-year-old JOA, without which it says the P-I can't survive.

The committee, which says it favors neither paper and only wants to preserve multiple editorial voices, wants to ensure that the two newspapers don't secretly agree to fold one of them.

It also wants to argue that a key clause in the JOA -- one giving Hearst 32 percent of The Seattle Times' net profits through 2083 if Hearst folds the P-I -- violates the Washington Constitution.

That argument isn't currently part of the lawsuit.

Canova is scheduled to hear initial arguments in the lawsuit itself next Friday.

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