HomeMy WebLinkAbout03/16/1994 CS minutes
MAYOR
GERALD L. FARLEY
TRUSTEES
GEORGE A. CLOWES
TIMOTHY J. CORCORAN
RICHARD N. HENDRICKS
PAUL WM. HoEFERT
MICHAELE W. SKOWRON
IRVANA K. WILKS
VILLAGE MANAGER
MICHAEL E. JANoNIS
VILLAGE CLERK
CAROL A. FIELDS
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Village of Mount Prospect
100 South Emerson Street
Mount Prospect, Illinois 60056
MINUTES
EXECUTIVE SESSION
MARCH 16, 1994
Phone: 708 / 392-6000
Fax: 708 / 392-6022
TOO: 708 / 392-6064
The Executive Session was called to order at 10:36 p.m., in the conference room of the
Human Services Department, 50 South Emerson Street, for the purpose of discussing on-
going litigation. Present at the Executive Session were: Mayor Gerald Farley; Trustees
George Clowes, Timothy Corcoran, Richard Hendricks, Paul Hoefert, Michaele Skowron
and Irvana Wilks. Also present were: Village Manager Michael Janonis and Assistant
to the Village Manager David Strahl.
LITIGATION
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Village Manager Michael Janonis reviewed with Board members the history and current
status of the lawsuit brought by Hemphill Builders against the Village relative to site
conditions at Village Commons, located just east of the elevated tank.
The basis of the suit was a claim that the Village of Mount Prospect had not satisfied all
conditions outlined in the Developer Agreement for the site. Hemphill was claiming that
it spent in excess of $330,000 to remedy environmental problems with the site. The
Village disputed any failure on its part to comply with the requirements of the Developer
Agreement.
It was noted that prior to the initiation of the lawsuit, the Village had offered $20,000 to
avoid litigation. This offer was rejected and the suit was initiated. Very little activity has
taken place as of late with regard to prosecution of the suit by Hemphill. It was noted
that Hemphill Developers declared bankruptcy earlier this year.
The Village Manager explained that we had received a settlement offer from the Hemphill
Bankruptcy Trustee of $75,000 to dismiss the case.
There was discussion among Board members regarding whether to make an outright
rejection of the offer or to make a small counter offer. It was generally felt that the
Bankruptcy Trustees were more concerned with avoiding additional legal expenses and
getting what money it could out of the case than there was interest in actually going to
trial.
Consensus of the Board was to authorize the Manager to make a counter offer of $5,000
to settle the case. There was very little support for considering a higher amount.
The meeting was adjourned at 10:48 p.m.
(eSpeCtfUIIY 5 bmitted,
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