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DISCUSSION AND MOTION TO APPROVE A SETTLEMENT AGREEMENT IN THE CASE OF CITY OF PEMBROKE PINES ADV. KALEX CONSTRUCTION, BROWARD COUNTY CIRCUIT COURT CASE NO. CACE-22-011989 (JUDGE MICHELLE TOWBIN-SINGER).
Summary Explanation and Background
SUMMARY EXPLANATION AND BACKGROUND:
1. On August 23, 2024, a jury found that Kalex suffered no damages as a result of failing to issue a Notice to Proceed for the Charter School Renovation Project, and that the City did not breach the contract by failing to issue a signed change order. Nonetheless, the jury awarded Kalex Construction and Development, Inc. (Kalex) a total of $233,367 in damages for breaching its implied obligation of good faith and fair dealing by failing to act in a reasonable matter with respect to the requested change order.
2. At the City Commission meeting of Wednesday, 9/4/2024, the City Commission approved the coordination and filing of certain post-trial motions, including a Notice of Appeal to the 4th DCA, by and through the Johnson Anselmo law firm, the City’s special legal counsels given the entry of an adverse jury verdict to the City on August 23, 2024.
3. As authorized, all appropriate post-trial motions (‘Pending Motions’) have been timely filed essentially asking the trial court Judge to set aside the jury’s verdict and to enter a judgment in favor of the City consistent with the evidence adduced at trial and the applicable law.
4. The City participated in the post-trial settlement discussion on September 16, 2024, with Kalex and legal counsel for Kalex’s surety company, which resulted in this Settlement Agreement, which ends all litigation at all levels for a total payment by the City of $199,000.00, which is less than the jury verdict. The second litigation with Kalex, known as the “Paving Contract” matter, was settled before trial.
5. The City’s Special Counsels, the City’s Attorney’s Office, and the City’s professional staff recommend this settlement, which is less than the...
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