The legal battle between the Koch brothers and the Cato Institute is officially over. The Cato Institute has issued a press release detailing the settlement. The key points of the settlement are as follows:
1) The shareholder agreement upon which the Koch brothers claimed majority ownership of the Cato Institute is dissolved.
2) The Cato Institute will be governed by its Board of Directors, and the Board will elect its own successors. As an initial matter, the Board will consist of 12 longtime board members (including David Koch) and three individuals designated by the Koch brothers.
3) Cato President Ed Crane will step down within six months and will be replaced by John Allison, former CEO of BB&T and a noted libertarian. Allison will also serve on the Board and will have the option to nominate one or two additional directors.
This agreement is good news for the Cato Institute and good news for those who care about preserving Cato’s independent voice on public policy issues.
UPDATE: Bob Levy talks about the settlement, and Dave Weigel reports on “Cato at Peace.”