PHA won the court case

[livewire]

So I've heard. Haven't been able find confirmation yet...

[madmudder]

Confirmed. Now the taxpayers of Penticton are on the hook for legal bills of both parties. Way to go mayor and some council members. The fall election can't come soon enough.

[Logitack]

http://globalnews.ca/news/1483609/city- ... sociation/

Hodgkinson was all smiles, but did not want to comment, saying he wants to save it for a formal news conference.

However, this is new information for Penticton’s mayor, who first heard of the judgement through Global News.

“I got to go back to my office and take a look at it,” says Mayor Garry Litke, who says he won’t be providing further comment until seeing the documents.

“But I am glad this is finally over, no matter what the decision was,” says Litke.

Since May, the City has spent $41,769.75 in legal fees.

Having lost this court case, taxpayers will be paying even more because the City will have to foot the bill for PHA’s legal costs as well.

[fluffy]

So what does this mean ? We're stuck with those unproductive goldbricks until their contract runs out ?

[twobits]

It would be interesting to read the reasons for judgment.

[fluffy]

Suddenly my memory isn't so clear about what the court dispute was actually about. I had it in my mind that the tourism promotional duties had been taken away from the PHA and that the court action was to get them to return the unused room tax funds, which they were refusing to do.

What I'd like to see is an accounting of how the funds spent to date have been used. It would help me assuage the feelings that these clowns are paying themselves handsomely for sitting back and doing jack squat to promote Penticton as was the original intent of the contract.

It still bugs the heck out of me that the PHA virtually blackmailed the city into taking the contract away from the newly formed Penticton Business Development Group, some of the city's best and brightest, and giving it back to themselves, whereupon they proceeded to do pretty much nothing. For a couple of years no less.

[twobits]

So it would appear that the judge determined that the PHA had breached the terms of the contract, financial reporting etc, but could not find that the breaches were material enough to terminate the agreement. This was a lame decision on the part of the judge. Failure to provide financials as required as well as only spending 70k out of 400k in tax dollars forwarded is, in my mind at least, a material breach of contract.
I also see nothing about the judge ordering costs for the PHA. That in itself indicates the judge at least saw merit in the City's litigation. What it boils down to is a *bleep* slap to both parties with an underlying warning to play nice or the next time things could turn out different.

[fluffy]

http://www.castanet.net/edition/news-story-120216-21-.htm#120216

Some more comprehensive info here. It would seem that the judge felt the PHA hadn't committed any breach of contract, and inferred that it is not the duty of the court to assess the quality of the job they are doing.

Anybody know the length of the term of the current contract?

[smoky500]

Just came back from a trip to Edmonton and stopped at Mt. Robson. At the info center kiosk there flyers for many cities and areas, Oliver Osoyoos, Kelowna, Vernon, Hedley Mine, Summerland, for the Okanagan, but none from Penticton. Isn't it the PHA that is supposed to advertise Penticton???

[fluffy]

Mayor Litke's response certainly contained a healthy share of veiled sabre-rattling. I wonder if any public statement will be coming from the PHA ?

[twobits]

Some more comprehensive info here. It would seem that the judge felt the PHA hadn't committed any breach of contract, and inferred that it is not the duty of the court to assess the quality of the job they are doing.

Exactly. It was a cop out decision. It "is not the courts duty to assess the quality of job". The judge only looked at what he/she would consider a material breach thus providing a cancellation of the contract. The judge viewed not providing monthly financials and only spending 70 out of 400k in funds as not passing the threshold of material breach. OMG!

If anyone forwarded 400k to a contractor to do a specified job, that included monthly progress reports on the advancement of the job.......say building your house......and it was not done,
with only 70k spent in the one year time frame, would anyone not consider that a material breach of contract??? Mind boggling.

[ToddT]

The past 12 months have certainly opened my eyes to the ineffectiveness of the court system, this case aside. I am not confident in case law at all.

[fluffy]

The fact that the court action was initiated upon receipt of the audited statements for 2012 also begs the question of what the $70K that was spent was spent on. Or was it just the fact that in excess of 80% of the funds available for the PHA to fulfil their obligations was sitting dormant that lit the fire under council's collective butt?

[twobits]

I see now that in fact the PHA was awarded costs. I am certainly no fan of Mr Litke but I am even less of a fan of the PHA fiefdom. This ruling sucks on so many levels.

[FSmith59]

The press release statement made by the PHA is so blatantly filled with venom, sarcasm and an obvious air of arrogance against the CIty, that it just further shows what their leaders true colours are. The wording in this statement truly disagrees with how they have conducted business.

I, for one, am ready to take them on.

The truth is, the PHA challenged the CIty and cost all of us taxpayers money, because they won the court case, due to an incompetent Judge, and a very thin technicality in said Judge's decision.

I would like to start a petition, to add to the fall election, a choice for the people to vote on the PHA's current contract.

If anyone agrees, PM me.

I will gladly organize and spearhead raising funds for a campaign against the PHA.

I have no personal or business interests in the local hospitality industry. But I do believe this ruling was wrong, and the PHA gets to continue to take tax money that they do not deserve.


http://www.castanet.net/news/Penticton/ ... urt-ruling