Morrison Knudsen Lawsuits Settled

A district judge on Tuesday approved settlement of the remaining lawsuits against financially distressed construction giant Morrison Knudsen Corp., moving the company a step closer to a merger with Washington Construction Group Inc.

“There’s no question this is in the best interests of all the parties,” said 4th District Judge Deborah Bail.

Morrison Knudsen, once a major name in U.S. construction with landmarks such as the Hoover Dam and Golden Gate Bridge to its credit, has been near bankruptcy for the last 15 months after former chairman William Agee tried to move the company into the mass transit field.

Most of the lawsuits were settled in a 35-minute morning hearing. It took just 15 minutes Tuesday afternoon to approve settlement and dismissal of legal action filed by shareholder Daniel Wohlgelernter, Los Angeles, against MK Rail, which is largely owned by Morrison Knudsen.

“It leaves the shareholders with a little rather than nothing at all,” Bail said.