Ducks II: Another Multi-Million $ Lawsuit!
City Officials Illegally Put Eggs Transport Out Of Business In 2000. Ruling By Judge Highsmith Clears The Way For Case To Move Toward Trial.
Well, here we go again. United States District Judge Shelby Highsmith this week denied a motion by the City of Key West to dismiss a lawsuit by Robert Eggers that claims that City officials 
illegally put his company, Eggs Transport, out of business in 2000.
Sound familiar? Eggers’ attorney, Michael Barnes filed the lawsuit in September 2005, just months after a Key West jury had ruled that the City must pay the owners of Duck Tour Seafari $13.5 million in damages for illegally putting them out of business in 1996...
Judge Highsmith’s ruling clears the way for the Eggers case to move toward trial. Sources close to this case say that damages in this case could exceed the damages in the Ducks case.
The similarity between the Eggers case and the Ducks case is striking. Judge Highsmith (Yep, the same judge who presided over the recent Jim Hendrick trial.) noted that similarity in his ruling. He said that Eggers has standing to bring his claim and “the City of Key West is precluded from defending that claim on any grounds inconsistent with the final judgment in the Duck tours case . . .” Highsmith also noted that “a Florida court has already rejected state action immunity for the City . . .”
We here at Key West The Newspaper are not lawyers, but it seems to us that what the judge is saying to City officials is this: “I’m not going to grant your motion to dismiss this lawsuit because your motion is based on the same arguments you made in the Ducks case— a case which which was decided against you!” This is not the judge’s language, but it seems to us that this is what he meant.
City officials have already been found guilty of illegally putting Duck Tours Seafari out of business and a jury has told them they will have to pay millions for that illegal act.
Then, allegedly, City officials turned right around and did it again! And now, they’re getting sued again. And the judge knows that it’s their “second offense”.
In the Ducks case, City officials initially granted the company an occupational license to operate— but later decided that company operations were in conflict with an exclusive sightseeing franchise the City had granted to Historic Tours of American (HTA) for the Conch tour Trains and the Old town Trolleys.
In the Eggers' case, City officials initially granted the company an occupational license to operate— but later decided that company operations were in conflict with exclusive licenses held by HTA.
In the Ducks case, City officials used Key West police and code enforcement officers to harass Duck Tours employees and ticket company vehicles. In the Eggers' case, City officials used Key West police and code enforcement officers to harass Eggs Transport employees and ticket company vehicles.
In both cases, City officials finally threatened company employees with prosecution if they continued to operate.
In both cases, the City Attorney was part of the alleged conspiracies. At a closed meeting in 1995, City Attorney Diane Covan asked the Mayor and City Commissioners if she should continue to “grind the Ducks into the dirt”. Mayor Dennis Wardlow told her to “grind on”. In the Eggers' case, City Attorney Bob Tischenkel, in a meeting with Eggers, reportedly told him, “I have a bullet for you”.
In both cases, HTA was initially a defendant in the lawsuits. But in the Ducks case, HTA settled with Duck Tours before the trial started. The details of that settlement are confidential. In the Eggers' case, Judge Highsmith granted a motion by HTA lawyers to exclude HTA as a defendant in this suit— leaving the City standing alone.
Meanwhile, as the Third District Court of Appeal in Miami continues to consider the City’s appeal of the $13.5 million Ducks verdict, we continue to hear rumors that the new City Commission and new City Attorney may be ready to offer some reasonable settlement to avoid continuing to throw good money after bad. Now, based on Judge Highsmith’s recent order, they should also be talking to Rob Eggers and his attorneys about a settlement— before this case goes to trial and we have another multi-million-dollar verdict on our hands.
We hope that happens. Although we have observed over the years that those in City government are rarely held accountable for wrongdoing, the new administration needs to step up to the plate and clean up the litigation mess that those who came before left them. Citizens were wronged. For the City to continue to spend money to fight these lawsuits simply smacks of “trying to get away with it”. The new administration should bite the bullet and settle up to pay for the wrongdoing of the previous administration— and then try to ensure that it never happens again.
Speaking of the previous administration, former Mayor Jimmy Weekley continues to threaten to run for Mayor again this year. Apparently, he has not gotten over his 27-vote drubbing at the hands of Morgan McPherson in 2005.
During Weekley’s 20-year tenure as a City Commissioner and Mayor, he was in on the ground floor as both the Ducks and the Eggers' scandals developed. He was an active participant. He could have stood up and said “No! Enough!" But he didn’t. He argues that he only had one vote. No matter, He should have stood up. He didn’t.
So now, what in the world does he hope to bring to the table as a candidate for Mayor? More of the same?
Comments