Posted on 03/02/2011 10:16:04 AM PST by Pollster1
In a move rare in the United States and perhaps unprecedented in Idaho, Boise County is filing for federal protection against a multimillion dollar judgment. . . .
James Spiotto, an expert on Chapter 9 bankruptcies, told The Bond Buyer in a Tuesday article that there have been about eight municipal bankruptcies per year in the U.S. for the past four decades. Among the most famous cases: Orange County, Calif., in 1994 and Vallejo, Calif., in 2008. . . .
BANKRUPTCY COMES ON HEELS OF JUDGMENT
A federal jury in December found that Boise County violated the federal Fair Housing Act in its handling of a developer’s proposal to build a 72-bed residential treatment facility for teens.
The jury awarded the development firm Oaas Laney $4 million, plus attorneys’ fees, which the county says total about $1.4 million. Boise County has an operating budget of about $9.4 million. . . .
(Excerpt) Read more at idahostatesman.com ...
Morally? No. It is not acceptable to dodge a valid debt that way, although the courts might approve. If you have harmed someone, you have an obligation to make restitution.
Boise County had a duty under the Federal Housing Act to allow the center to be built because it would make housing available for the handicapped teens [= teens with emotional or substance abuse problems] that [the developer] wanted to serve.Idaho developer wins $4M judgment over teen center - Dec 21, 2010
It's not a dodge, it's handing your assets over to a court, and letting the court figure out how to pay your creditors. The creditors aren't getting zero unless the bankruptcy court accepts the case, then says so.
An entity only has so much money. When the money runs out, bankruptcy ensues.
There is no law.
One of hundreds of governments worth less than a gallon of gasoline.
It is, in my experience as an attorney, absolutely amazing how local governments treat developers and development applications. The term “land use law” is a misnomer. Governments routinely apply the law in a completely arbitrary and capricious manner.
To get any kind of significant development approved is far more a question of “who you know,” and “who those opposed to your development know,” than whether you have in fact complied with the rules.
So, it is completely plausible to me to hear it suggested that the County may have absolutely screwed this developer, and cost it millions of dollars. It happens all the time.
I believe that a Chapter 9 bankruptcy will not allow the County to avoid paying this debt. It will authorize the County to pay it over time, pursuant to a plan approved by the bankruptcy court.
Uh, OK...
Perhaps.
We disagree. If a court compels you to act immorally, that absolves you of any moral responsibility for your actions (maybe). If a court permits you to act immorally, that does not absolve you of the responsibility to act morally. If you cannot pay today, when the court writes off all or part of a valid debt, but you can pay tomorrow or next year, then I would say that there is still a moral obligation to pay off a morally valid debt when you are able to.
Occam’s Razor...
As if California is the only state with gangs...
Get real.
As someone else said...
The first domino.....
I appreciate your perspective. I really get tired of people who mindlessly and gladly bash attorneys, just for the sake of getting “on the record”. Everybody thinks they understand the process, but most folks simply don’t have the mental hardware to grasp the complexities involved in cases like these. There is more than meets the eye...
Well, I’d agree but federal judges usually get their way regardless of morality (what’s right). A judge can do this by simply preventing the jury from hearing what he/she does not want them to hear. Judges are, after all, former lawyers. Many, if not most lawyers see it as their job to get what they want regardless of the truth. What is legal is not always what it moral. eg. the OJ Simpson murder trial.
Ha! I never said that. However these programs have been largely populated with gang members exported from California. Idaho and Utah, etc never needed these facilities for their own homegrown criminals. It’s just like moving the power plants to Utah and Wyoming so that Calif can pretend they’ve improved their air quality. Send your problems to someone else.
WTF do you know about it anyhow? Nothing.
After speaking with you however, I can hope we continue to export liberals and criminal low life to your back yard...lol
BTW, the air quality in CA has *substantially* improved, so no need to pretend, as you again suggested.
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