Deadline Expires, And Ronalds Sue City As Promised Suit Seeks What Jury Gave Them For Land In April: $2.18 Million
Spokane was hit by a second lawsuit from Steve and Leslie Ronald on Wednesday a day after the couple slammed the door on further negotiations with the city.
The lawsuit alleges the city has “inversely condemned” the Ronalds’ riverfront land by promising in a separate settlement to buy the property.
The suit asks that the city pay the Ronalds the $2.18 million that a jury in April said the land was worth.
“They have in essence acquired the property but they haven’t paid anything for it,” said Mike Maurer, the couple’s attorney.
The filing of the lawsuit wasn’t unexpected. Last month, the Ronalds issued the city an ultimatum: Pay the $2.18 million for the property by Aug. 5 or meet them in court, again.
In a Tuesday letter, City Attorney James Sloane told Maurer the council wasn’t ready to settle with the Ronalds. He also chided Maurer for releasing his July 21 settlement offer to the media.
“The City Council cannot move to your deadlines, nor can elected officials respond to public threats in the manner you may desire,” Sloane wrote.
Sloane refused to comment further Wednesday.
Maurer said Wednesday he wasn’t threatening the city but trying to save taxpayers’ money.
“I guess they’d rather let taxpayers end up footing the bill,” he said.
The Ronalds planned to build a seven-story condominium complex on the 1.34-acre slip of land, but the council voted in 1995 to condemn the site to save the view of the Spokane Falls from the downtown library.
In 1996, the city made buying the property a condition of a settlement agreement with attorney Steve Eugster. Eugster sued to stop the Lincoln Street bridge from being built, but dropped the case when the city agreed to buy the Ronalds’ land to protect open space near the bridge.
After a six-day trial last April, jurors decided the Ronalds’ land was worth $2.184 million - nearly 50 times the value set by one appraiser hired by the city.
Council members debated walking away from the condemnation, saying the city couldn’t afford the jurors’ price tag. Instead, the city appealed the jury’s ruling.
The Ronalds’ offer in the July 21 letter to the council proposes:
The city pays the couple the $2.184 million, plus $150,000 in attorneys’ fees. That’s about half the couple’s legal bill.
In exchange, the Ronalds drop a $3 million lawsuit scheduled for trial in December alleging the city blocked the couple from building on the land.
The Ronalds release the city from its state-mandated obligation to pay them interest on the jury award.
The couple earn $719 every day in interest - about $250,000 a year - until the city buys the land or withdraws from the condemnation.
The Ronalds said in the letter they would no longer negotiate with the city after Tuesday. If the council didn’t settle, they’d proceed to court in December.
They also promised to file a second lawsuit alleging inverse condemnation because of the city’s agreement with Eugster. The couple made good on their promise Wednesday.
“I’m not going to talk to them anymore,” Maurer said. “They’ve had more than ample opportunity to settle this.”
Councilman Jeff Colliton said the council still is discussing whether to buy the Ronalds’ land. But, he added, “I’m of the opinion that we cannot afford $2.18 million.”
Councilwoman Cherie Rodgers said she thought the city should have accepted the Ronalds’ offer. “I thought we should settle it and pay the price, because I think it’s going to be much more costly in the long run.”
Councilman Mike Brewer refused to comment.
Attempts to reach the other four council members on Wednesday were unsuccessful.
Maurer said he wasn’t unhappy with the council’s decision not to settle.
“The lawyer in me is relieved (the council) didn’t accept the offer. It gives us the opportunity to show exactly what the city has done to these people during the trial.”
, DataTimes