<pre style="white-space: pre-wrap">xt7kd50fvd7x https://exploreuk.uky.edu/dips/xt7kd50fvd7x/data/mets.xml Lexington, Kentucky University of Kentucky 19440813 minutes English University of Kentucky Contact the Special Collections Research Center for information regarding rights and use of this collection. Minutes of the University of Kentucky Board of Trustees Minutes of the University of Kentucky Board of Trustees, 1944-08-jun13-ec. text Minutes of the University of Kentucky Board of Trustees, 1944-08-jun13-ec. 1944 2011 true xt7kd50fvd7x section xt7kd50fvd7x 


Irregularities


     Minutes of the Meeting of the Executive Committee of the Board
of Trustees, University of Kentucky, June 13, 1944.

     The Executive Committee of the Board of Trustees of the Universi-
ty of Kentucky met in the President's Office at 10:30 a.m., Tuesday,
June 13, 1944.   The following members were present:   Judge Richard C.
Stolls R. P. Hobson, H.S. Cleveland, H. D. Palmore, and J. C. Ev-
erett.   Attorney General Eldon Dummit, President H. L. Donovan and
Comptroller Frank D. Peterson were also present.

     A. Statement of President Regardinp the Operation of the Aero-
nautical Research Laboratory.

     President Donovan read the following recommendation to the Execu-
tive Committee:

     1. The contract with the Mawen Motor Corporation should be
        terminated at the earliest convenient date.

     2. The equipment in the laboratory which the Mawen Motor
        Corporation owns should be purchased if the price can
        be agreed on.   This equipment should be amortized with
        profits from contracts which we shall make in the future
        over' a period of some time. If the price of this ma-
        terial cannot be agreed on, we should ask them to remove
        it from the laboratory as soon as convenient.

     3, An audit by a Certified-Public Accountant should be made
        of the cost of operations of the Mawen Motor Corpora-
        tion with the view of determining the exact profit or
        loss involved in the contracts which have been thus far
        executed.

     4. The laboratory should be operated in the future by the
        University, the University taking full responsibility
        for all the work done in this laboratory.

     5. Professor Meyer and such members of his staff as are needed
        to carry on the work should be employed by the University.
        Mr. Meyer should be the Director of the laboratory, working
        under the supervision of the Dean of the College of Engineer-
        ing and the President.

     6. Industrial organizations interested in research on air-
        plane engines and related subjects should be contacted
        with the view of making contracts with them.
     7, Further contracts with the Government should be secured.
     8. The College of Engineering should study the advisability
        of using the laboratory for the purpose of preparing men
        in aeronautical engineering. Courses in this subject should
        be planned if it is deemed wise by the faculty of the Col-
        lege of Engineering.
     Members of the Executive Committee disnussed at length the operat-
ing lease contract with Mawen Motor Corporation, the problem concern-
Ing the equipment in the Laboratory which belonged to the Mawen Motor
Corporation, and a settlement to be made at the date agreed upon for
the cancellatIon of operating lease agreement, and tool the following
ac  on:


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            1. Upon motion duly made, seconded and unanimous-
               ly carried, the recommendation of President
               Donovan, (1) that the Aeronautical Research
               Laboratory shall in the future be operated by
               the University of Kentucky, the University
               taking full responsibility for all work don-
               in the Laboratory; (2) that Professor A. J.
               Meyer and such members of his staff as are
               needed to carry on the work be employed by the
               University; (3) that Professor 'qeyer shall be
               the Director of the Laboratory and shall work
               under the supervision of the Dean of the College
               of Engineering and the President of the Universi-
               ty; (4) that the Administration contact indus-
               trial organizations interested in research on
               airplane engines and related subjects, with a
               view to making contracts with them; (5) that
               further contracts with the Government be initiated
               and secured; (6) that the College of Engineering
               study the feasibility of using the Laboratory
               for the purpose of preparing men in aeronautical
               engineering, and that the curriculum of such a
               course be planned by the faculty of the College
               of Engineering, is approved.


     B. Employment of A. J. Meyer.

     The question of employing Professor A. J. Meyer as director,
technical engineer and consultant of the Aeronautical Research Lab-
oratory was discussed by members of the Executive Committee, and
with the Attorney General.   The Executive Committee, with the approv-
al and advice of the Attorney General, authorized the President to
enter into a contract by taking the following action:


            2. Upon motion duly made, seconded and carried,
               the President was directed to enter into a
               contract with Professor A. J. Meyer as directors
               technical engineer, and consultant to the Aero-
               nautical Research Laboratory for a period of
               one year beginning July 1, 1944, said contract
               to be approved by the Attorney General, and
               a copy filed with the Secretary of the Board.


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     C. Hobson Made Vice Chairman.

     The Chairman, Judge Richard C. Stoll, left the meeting at 11:50
and returned at 12:55, during which time, upon motion duly made,
seconded and carried, R. P. Hobson served as Vice Chairman.


     D. Cancellation of Lease Agreement with the Mawen Motor Corpora-
tion.

     The President of the Mawen Motor Corporation, Mr. J. L. Kilduff,
the Secretary-Treasurer of the Mawen Motor Corporation, Mr. J. C.
Galvin of New York, and their attorney, Mr. Samuel Wilson of Lexing-
ton, were invited to meet with the Executive Committee.   It was re-
lated that the Board of Trustees at its meeting on June 2, 1944,
had authorized the lease agreement with the Mawen Motor Corporation
cancelled in accordance with the telegram received from the Mawen
Motor Corporation, offering to cancel said lease agreement, and that
the details should be worked out by the Executive Committee.   It was
stated by officials of the Mawen Motor Corporation present that they
were willing to enter into a contract canceling the lease agreement
under such terms as might be agreed upon by officials of the Mawen
Motor Corporation and the Executive Committee of the Board of Trus-
tees of the University of Kentucky. (The Executive Committee recessed
at 12:55 to eat lunch.   The officials of the Mawen Motor Corporation
were invited by the Executive Committee to take lunch with them, and
accepted.   The Executive Committee again took up the business at hand
at 2:15 p.m.)   Various details were discussed and the following con-
tract for cancellation between the University and the Mawen Motor
Corporation was submitted and agreed upon as follows:


                       MEMORANDUM OF AGREEMENT

     This memorandum, agreed to and executed this thirteenth day
     (13th) day of June, 1944, by and between the University of
     Kentucky$ acting by and through the Executive Committee of
     its Board of Trustees, hereinafter called the University,
     of the one part, and Mawen Motor Corporation, acting by
     its duly authorized representatives, J. L. Kilduff, President,
     and J. C. Galvin, its Secretary and Treasurer, of the other
     part, hereinafter called Mawen:

          WITNESSETH:

          1. That the contract between the University and Mawen, with
     respect to the operation of the Aeronautical Laboratory at the
     University, evidenced by certain written correspondence between
     them, including letters from the University to Mawen dated July
     20 and October 7, 1940, respectively be and it is hereby
     terminated and cancelled on, or as of, the thirtieth (30th)
     day of June, 1944, both parties agreeing to waive compliance
     with the conditions and previous notice required by said con-
     tract as preliminaries essential to the cancellation thereof;


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     2. That, in order and to the end that the financial
relations and mutual responsibilities and liabilities of
the parties, the one and the other, in connection with
certgin testing work done by Mawen at such laboratory pur-
suant to an understanding with the University, may be
readily and satisfactorily adjusted and settled by and
between them, an audit as of June 30, 1944, of the records
of Mawen, shall be made by Ernst and ErnatPublic Certified
Accountants, to be employed by the parties hereto jointly,
and said audit shall be begun by July 15, 1944, or as soon
thereafter as possible.   The audit shall cover the period
beginning as of the first day upon which the University
turned over to Mawen contracts for test or experiment,
including all costs and expenses incident thereto (includ-
ing overhead and permanent installations in connection
with the performance of the contract) determined in ac-
cordance with recognized principles of accounting.   The
cost of such audit shall be divided equally between the
University and Mawen, the University agreeing to obtain the
requisite legal authority for Joining with Mawen in employ-
ing said Accountants and incurring one-half of the cost
before any contract for said audit is made.
                    !
     3. When the aforementioned audit is completed, Mawen
will consider and discuss with the University the matter
of whether Mawen will sell or lease to the University, at
an acceptable price and on acceptable terms, the equipment
and materials, belonging to the Mawen Motor Corporation
in the Aeronautical Laboratory on the campus of the Uni-
versity or, failing any agreement for the sale or lease of
said equipment and materials, Mawen shall have the free
and unrestricted right to take entire charge of and to
remove same from the possession and premises of the University,
such removal to be accomplished by Mawen within a reason-
able length of time, but in no event prior to the thirty-
first of December, 1944 (31st), and pending such removals
the equipment and materials in question shall remain in
storage with the University at the risk of Mawenr, but
without payment by it of any storage or other charges.
Should the University use all or any part of the Hawen
equipment held by it during the period of July 1 to Decem-
ber 31, 1944, the University will assume all risk relating
to such equipment and will insure this property at its own
expense in the name of and for the account of Mawen, in
an amount not to exceed twenty-two thousand dollars
($22,000.00).   Also, all books, papers, documents, diagrams,
drawings, technical data and engines, accessories and spare
parts belonging to Mawen used in or resulting from research
and development shall be stored by the University and kept
by it free of charge and subject to the orders and dis-
position of Mawen.   It is further agreed that in the
event Mawen and the University do not agree on a purchase
price for the equipment and materials on hand as of the
termination date of this contract, Mawen agrees to allow
the equipment to remain in the laboratory and to be used
by the University for a period not extending beyond


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December thirty-first (31st), 1944.   The University further
agrees to keep the equipment in good state of repair and
to return the same in as good condition as when received,
ordinary wear and tear excepted.

     4, The consideration for this agreement, among other
matters and things, is the mutual and reciprocal release
and relinquishment and waiver by the parties hereto of
their respective duties, obligations, undertakings, covenants
and liabilities in and under the contract between themD
referred to in paragraph 1, hereof, provided that this memo-
randum and each and all of the terms and provisions thereof
are subject to:all lawful and necessary and proper govern-
ment regulations.

     In testimony whereof, witness the signatures of the
parties hereto on the date first above written, this memo-
randum being executed in duplicate and each copy to have
the force and effect of an original


UNIVERSITY OF KENTUCKY BY THE        MAWEN MOTOR CORPORATION
EXECUTIVE COMMITTEE OF ITS
BOARD OF TRUSTEES.                   By
                                        Jo L. Kilduff, President
By              _
   Herman Lo Donovan, President


APPROVED:
                                    By
                                       J. C. Galvin, Secretary &
Eldon S. Dummit, Attorney General       Treasurer.
Commonwealth of Kentucky.


The Committee took the folloig action:

                    ** * ** ** ** *

       3. Upon motion duly made, seconded and unanimously
          carried, the President of the University was
          authorized to sign on behalf of the University
          the contract of cancellation between the Uni-
          versity of Kentucky and the Mawen Motor Corpora-
          tion as copied above.


E. Adjournment.


       4, Upon motion duly made and seconded, the Execu-
           tive Committee adjourned at 3:30 pom.
                                Frank D. Peterson
                          Secret     Ernxgutive Committee$ Board


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