MASON CITY | A trial date has been set for a civil case involving G8 Development, the city of Mason City and the Mason City Chamber of Commerce.
The trial will begin at 9 a.m. Nov. 14, 2018, in Cerro Gordo County District Court. Judge Christopher C. Foy has been assigned to the trial.
On July 18, G8 Development filed suit against Mason City and the Chamber of Commerce Foundation, claiming the city was in breach of contract.
The city and the Chamber both filed responses to the lawsuit and requested a jury trial.
According to court documents, the amount in controversy exceeds $10,000, though no specific amount of compensation has been requested by G8 Development.
The city of Mason City rejected almost all of the claims made in lawsuit filed by a San Diego developer who failed to build a downtown hotel, according to court documents.
In the lawsuit, Philip Chodur of G8 Development makes several claims against the city and the chamber, namely claiming the city was in breach of contract.
When the city terminated the development contract, G8 claimed the termination was not in good faith. At that time, the city said the developer had defaulted on the project.
The response stated that the city has acted in good faith and added that G8 did not act in good faith in the performance of obligations under the terms of the development contract.
Much like the city, the Chamber in court documents rejected almost all of the claims made in lawsuit as well, saying G8’s claims are “barred by the doctrine of unclean hands.”
The doctrine argument is a defense in which the defendant argues that the plaintiff is acting unethically or has acted in bad faith, with "unclean hands.”
The term is used within contract law. Through the doctrine, the plaintiff is not entitled to a remedy since the plaintiff has “unclean hands.”
G8's petition names Chamber Director Robin Anderson and her alleged role in the interference, claiming she had “secret” meetings with certain members of the City Council and encouraged them to terminate G8's contract in favor of Gatehouse Capital.
G8 claims that the interference and alleged “secret meetings” caused the city to terminate the development contract, affecting the company's ability to perform and complete its obligations under the contract.
The Chamber denied the existence of secret meetings and denies that it interfered with the contract.
Chodur filed a similar lawsuit alleging the city of Vista, California, breached its contract with him on a condominium, commercial and office space project, according to an article published in the San Diego Union Tribune in October 2015. The suit claimed the city changed agreements for the project.
Chodur filed a claim with the city for $3 million, which was rejected. He then filed a suit for breach of contract, which is still pending.