CJ settlement in limbo
From our weekly issue dated July 01, 2009
A city of Cave Junction attempted settlement of a lawsuit filed by Copeland Sand & Gravel for paving work near Siskiyou Community Health Center (SCHC) apparently has been rejected.
Copeland filed a $31,311.40 lawsuit on May 29 against the city and SCHC in Josephine County Circuit Court alleging breach of contract and unjust enrichment. The company is represented in the matter by attorney Jim Dole of the Grants Pass firm Cauble, Dole, Sorenson & Ransom.
Dole offered to settle the lawsuit out of court if the city paid $14,000 to the company.
That settlement offer was discussed during an executive (closed to the public) session during the council’s Monday, June 22 meeting. Councilors authorized City Attorney Patrick Kelly to offer a settlement of $10,000.
Kelly informed Dole of the offer in a letter dated Wednesday, June 24.
“The Council believes your request for $14,000.00 was excessive given the non-existence of any contract between our clients,” Kelly wrote. “They reasoned the extra $4,000.00 you requested would be better spent on legal fees defending the City from your suit.”
In that letter, Kelly informs Dole that if the offer is rejected, the case will be transferred to attorney Duane Schultz “who has agreed to represent the City in this matter,” Kelly wrote.
“We both know the strengths and defects of our cases and based upon these strengths and defects, the City’s offer of $10,000.00 is a fair and reasonable proposal,” Kelly wrote.
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That offer had an acceptance deadline of 5 p.m. on Friday, June 26. But as of Monday morning, June 29, Kelly said that he had not heard back from Dole. As such, Kelly said, he plans to file an answer to the lawsuit.
Kelly said that in the paperwork he plans to file, he will ask that Copeland provide more specific information to the court regarding the contract dispute. He maintains that the city and the company never had a valid, legal contract for the paving work in question.
The case will later be turned over to Schultz if need be, Kelly said. “I will be appropriately frugal with the city’s money,” Kelly said. “I am trying to get it solved at the least expense possible to our struggling taxpayers.”
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