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HomeMy WebLinkAboutM-96-0351{ 1 I CITY OF MIAMI. FLORIDA i INTER -OFFICE MEMORANDUM Honorable Mayor and Members of the City Commission i i FROMA. Om Jo�es, II City Attorney I I nti C C� May 14, 1996 _ " 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 1