City to appeal lawsuit loss

BY PHIL CUSTODIO
Clarkston News Editor
In a split vote, City Council decided to appeal a ruling against the city in the 59 S. Main Street lawsuit.
The council made the vote in open session after a closed session to discuss the case, Jan. 9.
Voting “yes” were council members David Marsh, Sharron Catallo, Jason Kneisc, and Eric Haven. Mayor Steve Percival and council members Sue Wylie and Rick Detkowski voted against appealing the case.
“It’s not that I necessarily agree with the judge’s decision,” said Detkowski in an email. “But any amount potentially spent on losing an appeal definitely worries me.”
If the appellate court upholds the ruling, it could set a precedent other cities probably wouldn’t like, said Detkowski, who joined the council after last November’s election.
“Sometimes you just have to take your lumps and move on,” he said.
Wylie said she voted against appealing the summary disposition because she doesn’t want the city to incur any more unnecessary legal expenses.
“While  most of city’s legal fees, at this time, are covered by the city’s insurance, all are not,” she said in an email. “In addition, I’m concerned that the city may be ordered to pay damages to the plaintiff.”
Catallo said her vote was based on the city’s legal counsel.
“It was the right thing to do under the circumstances,” she said.
The city budgeted $30,000 for legal fees for the 2016-2017 fiscal year. As of Jan. 31, 2017, the city has spent $12,540, with a balance of $17,460, according to budget documents.
For 2015-2016, legal fees were $29,735; and $25,761 went to legal fees in 2014-2015.
For insurance and bonds, which pays for the city legal representation in this case through the Michigan Municipal League, $3,444 was budgeted for 2016-2017, and $3,656 has been spent as of Jan. 31, 2017.
Insurance for 2014-2015 was $3,344; and in 2015-2016, $3,398.
“The budget numbers do not lie,” said Mayor Steve Percival in an email. “Also, we do not pay deductibles for (attorney James) Tamm.”
Oakland County Circuit Court Judge James M. Alexander issued a summary disposition order on Jan. 4, ordering the city to approve Larry Barnett and CBC Joint Venture’s request to rezone 59 S. Main Street, known as the Sutherland House, for use as a restaurant. In the suit, the building owner claimed the city had no legitimate reason to deny the rezoning request, particularly when faced with nearly identical requests from others. The city said rezoning would jeopardize the historic nature of the area.

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