HomeMy WebLinkAboutM-96-0351{ 1
I CITY OF MIAMI. FLORIDA
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INTER -OFFICE MEMORANDUM
Honorable Mayor and Members
of the City Commission
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FROMA. Om Jo�es, II
City Attorney
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nti C C�
May 14, 1996 _
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J-96-422
SUs.;ECT Final Judgment: Case No. 90-1 109-CIV-HIGHSMITH
United States District Court. Soutliern District
REFERENCES City Commission Agenda
ENCLOSURES May 23, 1996
(1)
In May of 1990 the plaintiffs, CIRCA LTD., a Pennsylvania
corporation, and ODESSA LTD., a Florida limited partnership,
through their attorneys, sued the City of Miami for damages and
injunctive relief, claiming breaches of contract and violations
of their constitutional rights under 42 U.S.C. § 1983. Their
r claims arise out of the City's termination of a development
` agreement with CIRCA LTD., and the recision of a lease with
ODESSA LTD., with respect to the Southeast Overt own/Park West
j Redevelopment Project. Out of the five claims brought against
the City, the City prevailed at trial on three of the claims,
however, the jury found that the City unconstitutionally deprived
CIRCA LTD. of a property interest and breached the contract with
ODESSA LTD. The jury awarded $500,000 to CIRCA LTD. and
$2,600,000 to ODESSA LTD., respectively, as damages. A Final
Judgment was subsequently entered in favor of the plaintiffs for
said amounts plus interest pursuant to 28 U.S.C. § 1961.
(Interest is computed from the date of the date of the judgment --
September 24, 1993--and is based upon a rate equal to the coupon
issue yield equivalent of the average accepted auction price for
the last auction of fifty-two week United States Treasury bills
settled immediately prior to the date of the judgment.)
Following the entry of Final Judgment, the City engaged
Arthur England, Esq., of the law firm or Greenberg, Traurig to
prosecute an appeal before the United States Circuit Court of
Appeals for the Eleventh Circuit. The appellate court affirmed
the $2,600,000 judgment in favor of ODESSA LTD., finding that the
evidence did support the verdict that the City breached its
contract with ODESSA LTD. The appellate court reversed the
$500,000 awarded to CIRCA LTD., concluding as a matter of law
that CIRCA LTD. did not acquire a constitutionally protected
property interest notwithstanding the City's acceptance of CIRCA
LTD's proposal pursuant to a Request For Proposals.
In order to comply with the appellate decision, the attached
Resolution has been prepared authorizing payment as ordered by
the Final Judgment. Funds for said payment are available from
the City of Miami Self -Insurance and Insurance Trust Fund, Index
Code No. 620103-653.
W067:CCM
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