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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 ~.~n r.:::l ';'\~ra [fMG:l1 LD.1LS.b~<2)~ [Q)&'1f~ \ z. -, 14 ~O'3 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 '" 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, rcc