With case settled, building ‘quit-claimed” to investor Barry Barney
The Koochiching Economic Development Authority quit claims on all interests in the Koochiching Fresh Water Fisheries building in the International Falls Business Park and removed itself from liability in a case that has spanned several years.
A jury trial was scheduled Monday by the court and Koochiching County District Judge Charles LeDuc canceled the jury. KEDA Attorney Joe Boyle said all lawyers agreed to have the judge try the case.
Boyle said as of Wednesday the matter had been settled, with the resolution dictated into the court records. Parties will sign off on the matter in short time, he said.
“We never wanted to take the property back, but we wanted to get the business back on its feet and we wanted to work with the people to get it over with,” Boyle said. “But the people, and by people I mean investors and contractors, were never able to get together to discuss a package and so we ended up going into court.”
Boyle said he recommended dropping the cancellation process and agreeing to work with whoever was the winner in court to rejuvenate the business plan.
“We don’t want the building,” Boyle said. “We want to have somebody try and start the business up and the contractors came to an agreement where (investor) Barry Barney and future investors ... are going to be getting paid by Barry Barney over a period of time.”
All of the parties agreed to quit-claim their interests in the property to Barney, Boyle said. In addition to the building, He also stated thatBarney will also get equipment that appears to be abandoned on the site.
“As part of this transaction we give no money to anybody,” Boyle explained.
KEDA Board member Gail Rognerud reminded the board that no taxpayer money through KEDA was invested in the fisheries, and that she hoped rumors about the KEDA interest in the fisheries were ended.
“I hope today we can put that rumor to bed,” Rognerud said.
The KEDA Board met in closed session with Boyle Wednesday to discuss the particulars of the case and get Boyle’s legal advice. When the meeting resumed, Boyle recounted the case to the audience and the board unanimously voted to accept the quit-claim resolution.
KEDA entered into a developers agreement with Freshwater Fisheries in July 2007, which included transferring a lot in the business park to the business, and reserving its rights to cancel the deed. The fisheries went defunct and never completed its development in the business park creating litigation between at least eight parties which had started, but not yet completed construction of a building on the lot.
In April 2009, KEDA gave up its hold on the land by deciding to not pursue cancellation of the deed.
