Business & Tech

Judge Rules Against Cobb EMC Rehiring Former Chief

Superior Court judge says attempts to return Dwight Brown as CEO of co-op violates December 2008 settlement agreement.

A Cobb Superior Court judge last week rejected any and all attempts to restore Dwight Brown as the chief executive officer for Cobb EMC, saying efforts to rehire Brown, possibly even as a consultant, would violate a settlement agreement.

Brown’s tenure, Judge Stephen Schuster ruled on Friday, effectively ended on Feb. 28 and “cannot be renewed, revived or repackaged.”

Sam Kelly, a spokesman for Cobb EMC, said in a statement that the co-op had made some key points in court and could now move forward.

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“Above all we were seeking clarification on whether Dwight Brown could be rehired, and Judge Schuster is very clear on this point. We are still pleased that we asked Judge Schuster’s permission in the matter and I think now the Cobb EMC Board will move forward on two important fronts — to fill the CEO position and to move ahead with the elections.”

The embattled power co-op has faced legal troubles as far back as 2007. Several Cobb EMC members filed suit in October 2007 that eventually led to a settlement agreement that called for the transfer of $112 million in assets back to the co-op and a schedule that would set new board elections for 2009.

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Brown retired on Feb. 28 under provisions of the agreement, but Cobb EMC brought him back on board as a non-contract consultant reporting to the interim CEO. Plaintiffs have cried foul about the move, but company attorneys claim Brown remained the most qualified candidate for the job.

In his ruling, the judge put a block on any hiring of Brown and also faulted the co-op’s board of directors for dragging “its collective feet” in upholding its end of the deal with plaintiffs. In his 13-page ruling, he ordered all 10 of them to personally appear in his courtroom at 9 a.m. Aug. 12.

Butch Thompson, one of the original plaintiffs who brought suit against Cobb EMC in 2007, told the Marietta Daily Journal he was “real pleased” with the decision and cited a recent for influencing Schuster’s ruling.

“The Supreme Court has said the settlement is binding, so let’s get on with life,” Thompson told the newspaper. “Why don’t we just have the elections, and let the best man win? It doesn’t make sense to keep spending money with the silk-stocking lawyers that are charging them tons of money.”

Tripper Sharp, another plaintiff, told the _Atlanta Journal-Constitution _that he was happy with the ruling as well. “The bottom line is Dwight Brown is no longer CEO, and that is fully in compliance with the settlement agreement we agreed to,” he said.

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