Garfield developer seeking $10 million from Hinsdale

The Doings
May 11, 2006

By Eric Martin

In what the village attorney called an intimidation attempt, the developer of the proposed Garfield project is seeking $10 million from Hinsdale in an ongoing lawsuit, legal documents show.

In an amended complaint filed April 25, lawyersfor embattled developer Anno Domini IV accuse the Hinsdale Village Board of breaching a development agreement when it revoked the project’s approval in March and rescinded that agreement.

The document asks Judge Bonnie Wheaton “for an award of monetary damages against the village…in an amount in excess of $10 million, plus attorney’ fees, costs and expenses.”

The damages figure represents the profits the rejected project was expected to garner, in addition to other costs “associated with the holdup and the delay,” said Anno Domini spokesman Matt Baron.

Developer Richard Gammonley, whose company is part of Anno Domini, declined to give details on the figure.

The 30-page complaint claims the company spent more than $200,000 for architectural and engineering plans for Garfield I—the first of two projects that were approved. It also alleges Anno Domini spent “hundreds of man-hours and tens of thousands of dollars” to apply for a building permit, as well as thousands of dollars in negotiating a development agreement.

Village attorney Kenneth Florey said the developer first brought up the $10 million figure just before the hearings to revoke the Garfield approval.

At that time, he said, the village board evaluated the threat and decided it had no merit.

“It’s purely an intimidation attempt,” he said.

Baron said the lawsuit is not an intimidation attempt but an attempt by the developer to defend its rights.

“Regardless of how ridiculous the number is,” Florey said, the argument that the village breached the development agreement also is meritless.

The attorney said the proof of that is in the revocation decision. The decision stated, among other findings, that the development agreement mapping out the developer’s requirements was void if the development did not meet code. It cites several code violations as the reason for the revocation.

Florey also argued that the developer cannot legally ask for future profits in a lawsuit.

Among other claims, the Anno Domini countersuit also asks Wheaton to order the village to let developers demolish the current built at First Street and Garfield Avenue to begin the development process.

Baron said the company’s goal is to build the Garfield development.

“We’re not in the business of filing lawsuits,” he said.

Attorneys are scheduled to appear in court Wednesday, May 24.