Title
Dept/ Agency: Law
Action: ( ) Ratifying (X) Authorizing ( ) Amending
Purpose: Settlement of Civil Litigation
Docket No.: ESX-L-4632-20
Claimant: Kawaida Towers, L.P.
Claimant's Attorney: Genova Burns, LLC, 494 Broad Street, Newark, New Jersey 07102
Settlement Amount: $73,390.00
Funding Source: Community and Economic Development Trust Fund, Fund 26, Account 32100, Budget Year B2022
Additional Comments:
body
WHEREAS, the City has entered into a redevelopment agreement with Kawaida Towers, L.P., as the proposed redeveloper for the property known as 17-21 Halsey Street, also known as Block 20 Lot 1 on the tax maps for the City of Newark ("the Property"); and
WHEREAS, the City was named as a defendant in a lawsuit filed by the prior redeveloper for the Property who was terminated by the City, which lawsuit is entitled Fairmount Senior Genesis Housing Urban Renewal Partnership, LLC et al v. The City of Newark, et al., Docket No. ESX-L-4632-20 (the "Genesis Lawsuit"); and
WHEREAS, the prior redeveloper filed an Amended Complaint in said matter that, inter alia, named Kawaida Towers, LP, Omni America LLC, Mid-Atlantic Investment LLC, and NAN Newark Tech World as defendants (collectively, the "Kawaida Towers Defendants"); and
WHEREAS, the prior redeveloper's claims against the Kawaida Towers Defendants were dismissed by the court but those claims remain subject to appeal; and
WHEREAS, neither the City nor the Kawaida Towers Defendants filed cross-claims against each other; and
WHEREAS, the Kawaida Towers Defendants have reiterated to the City their commitment to move forward and complete the development of the Property; and
WHEREAS, the Kawaida Towers Defendants sent the City a letter on July 28, 2021, requesting that the City indemnify the Kawaida Towers Defendants for the litigation costs incurred as a result of this litigation; and
WHEREAS, after...
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