Item G1BOARD OF COUNTY COMMISSIONERS
AGENDA ITEM SUMMARY
Meeting Date: 8/15/2007 - KL
Bulk Item: Yes No xx
* TIPE CERTAIN 1:30 P.M.*
Division: County Attorney
Staff Contact Person: Bob ShillinRcr
AGENDA ITEM WORDING:
A Closed Executive Session of the Board of County Commissioners in the matter of Monroe County v.
L2yge Construction. Case No. CA-K-00-617.
ITEM BACKGROUND:
In 2000, the County sued Lodge Construction to recover the additional costs the County incurred when
Lodge abandoned the Gato Building renovation project. The case is scheduled to be tried again
beginning on September 4, 2007. Legal staff requests a closed session to discuss this matter prior to
the mediation on August 16th and trial on September 0. Per F. S. 286.011(8), the subj ect matter of the
meeting shall be confined to settlement negotiations or strategy sessions related to litigation
expenditures.
Present at the meeting will be the Commissioners, County Administrator Tom Willi, County Attorney
Suzanne Hutton, Chief Assistant County Attorney Bob Shillinger, the County's special litigation
counsel Ira Libanoff and Janet Ritenbaugh and a certified court reporter.
Public notice of the closed session was given at the July 2007 BOCC meeting and through publication
of the agenda for the August meeting.
PREVIOUS RELEVANT BOCC ACTION:
7/19/2007 BOCC approved Closed Session for August 15, 2007 at 1:30 p.m. in Key Largo.
CONTRACT/AGREEMENT CHANGES:
N/A
STAFF RECOMMENDATIONS:
Approval.
TOTAL COST: Approx. $500.00 BUDGETED: Yes xx No
COST TO COUNTY: Approx. $500.00 SOURCE OF FUNDS:
REVENUE PRODUCING: Yes No xx AMOUNT PER MONTH Year
APPROVED BY: County Atty X OMB/Purchasing Risk Management
DOCUMENTATION: Included
DISPOSITION:
Revised 2/05
Not Required X
AGENDA ITEM #
County of Monroe
The Florida Keys
Robert B. Shillinger, County Attorney**
Pedro J. Mercado, Assistant County Attorney **
Cynthia L. Hall, Assistant County Attorney **
Christine Limbert-Barrows, Assistant County Attorney **
Derek V. Howard, Assistant County Attorney**
Steven T. Williams, Assistant County Attorney**
Peter H. Morris, Assistant County Attorney
Patricia Eables, Assistant County Attorney
Chris Ambrosio, Assistant County Attorney
** Board Certified in City, County & Local Govt. Law
May 25, 2017
Kevin Madok, Clerk of the Circuit Court
Sixteenth Judicial Circuit, State of Florida
Monroe County Courthouse
500 Whitehead Street
Key West, FL 33040
BOARD OF COUNTY COMMISSIONERS
Mayor George Neugent, District 2
Mayor Pro Tern David Rice, District 4
Danny L. Kolhage, District 1
Heather Carruthers, District 3
Sylvia J. Murphy, District 5
Office of the County Attorney
1111 121h Street, Suite 408
Key West, FL 33040
(305) 292-3470 — Phone
(305) 292-3516 — Fax
In Re: Monroe County v. Lodge Construction, Case No.: CA-K-2000-617
Dear Mr. Madok:
Please find enclosed herewith the transcript of the August 15, 2007 closed attorney/client
session of the Monroe County Board of County Commissioners regarding the above -
referenced matter. Under F.S. 286.011(8), the transcript may be part of the public record
because the litigation has concluded.
Thank you for your assistance with this matter. Please contact me should you have any
questions.
Sincerely,
Xr ��
Robert B. Shillinger
Monroe County Attorney
Enclosure
IN
A
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
��1
25
MEETING OF THE
MONROE COUNTY BOARD OF COUNTY COMMISSIONERS
ATTORNEY CLIENT CLOSED SESSION
RE: MONROE COUNTY V. LODGE CONSTRUCTION
CASE NUMBER: CA-K-00617
HELD AT THE KEY LARGO PUBLIC LIBRARY
101485 OVERSEAS HIGHWAY
KEY LARGO, FLORIDA 33037
AUGUST 15, 2007
1:33 P.M. - 2:08 P.M.
COMMISSIONERS PRESENT:
MAYOR MARIO DI GENNARO
MAYOR PRO TEM DIXIE M. SPEHAR
COMMISSIONER CHARLES "SONNY" MCCOY
COMMISSIONER GEORGE NEUGENT
COMMISSIONER SYLVIA J. MURPHY
ALSO PRESENT
ROBERT B. SHILLINGER, ESQ., CHIEF ASSISTANT COUNTY ATTORNEY
SUZANNE HUTTON, ESQ., COUNTY ATTORNEY
THOMAS J. WILLI, COUNTY ADMINISTRATOR
IRA LIBANOFF, ESQ.
ALL KEYS REPORTING
Olde Towne Centre 600 Whitehead Street
9701 Overseas Highway Suite 206, 2nd Floor
Marathon, Florida Key West, Florida
305-289-1201 305-294-2601
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
2I
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
MS. HUTTON: Call this closed session to order.
MAYOR DIGENNARO: I'm calling the closed session to
order.
MS. HUTTON: For the record, this meeting is being
called upon the request of the County Attorney Suzanne
Hutton. I announced at a prior meeting, public meeting,
on July 18th, 2007, that I needed advice concerning the
pending lawsuit, Monroe County versus Lodge Construction.
Case Number CA K 00617. At that meeting the board
approved holding today's closed session and public
minutes was accomplished through provocation of the
board's agenda, with no separate advertisements
published.
For the record, and the benefit of the court
reporter, each of us will state our name and position,
starting with the commission.
COMMISSIONER MCCOY: My name is Charles McCoy.
COMMISSIONER SPEHAR: Dixie Spehar.
MS. HUTTON: Just, for the record, County
Commissioners.
COMMISSIONER SPEHAR: County Commissioner.
MAYOR DIGENNARO: Mario Di Gennaro. Mayor.
COMMISSIONER NEUGENT: George Neugent, County
Commissioner.
COMMISSIONER MURPHY: Sylvia Murphy, County
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
31
L A
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
Commissioner.
MR. SHILLINGER: Bob Shillinger, Chief Assistant
County Attorney.
MS. HUTTON: Suzanne Hutton, County Attorney.
MR. WILLI: Tom Willi, County Administrator.
MR. LIBANOFF: Ira Libanoff, counsel for Monroe
County and the case at issue.
MS. HUTTON: I will turn this over to Bob.
MR. SHILLINGER: We called this closed session
because we have an upcoming trial date. This is the
matter Lodge -- Monroe County versus Lodge Construction.
Mr. Libanoff is our retained counsel, in this case. He
has been working for the county in various cases since, I
guess, the late '90's or so.
MR. LIBANOFF: Yes.
MR. SHILLINGER: Some of you haven't met him yet.
So this would be an opportunity. We are here today
because we have an upcoming trial, the Lodge Construction
case. Lodge Construction is the company that -- that was
the general contractor, when we rehab'ed the Gato
Building. This is a contractural dispute that goes back
to 2000, 2001, that time period. So it predates some of
your times on the commission. Many of you -- the rest of
you, I think, were here when all of that was going down.
We entered into a contract with Lodge Construction
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
4
LM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
to do the renovations to the Gato Building. They walked
off the job about three weeks -- three months into the
project. The dispute is over, was their walking
justified or not. We had to go out and find another
contractor, get another contractor to come in and finish
the job. And, obviously, the project was delayed. So
we're suing them to get our money that we had to put out
because of the additional costs and delays associated
with their breach.
MAYOR DIGENNARO: Is there a counter suit?
MR. SHILLINGER: There is a counter suit. Their
claim is that -- and Mr. Libanoff can give us the exact
details. I'm just giving you a little brief history of
it. We went to trial once before on this case. In 2003,
late 2003, went to trial. It was in front of Judge Payne
who, typically, isn't the friendliest judge to the
county. But, in this case, he was very friendly to the
county. In fact, he granted our Motion for Summary
Judgment. Basically, found that there was no dispute.
That they had breached the contract and only issue for
the jury to decide was damages. Had a week long trial on
damages. The jury came back with a very low verdict,
less than $5,000, even though we had asked for, what,
500,000, or more.
MR. LIBANOFF: 970,000.
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
5
MR. SHILLINGER: 970,000. Judge Payne set aside the
jury's verdict and then -- which is a very unusual -- I
see the eyebrows went up. He set aside the jury's
verdict, and then entered a judgement in our favor, for
about a third of that, about $340,000 or so.
MR. LIBANOFF: Correct. Yes.
MR. SHILLINGER: They took that case up on appeal.
The appellate court then later reversed and said Summary
Judgment, there was enough evidence in the dispute as to
whether the contractor was lawfully entitled to walk off
the job or not. Go back and retry the whole thing. And
that's what we have coming up in September, is a trial on
the whole enchilada; the breach, the damages, the counter
suit, and the third -party claim against the architect,
that the contractor filed.
So we have mediation scheduled for tomorrow.
Typically, with the mediation and outside the local
government context, you're supposed to bring somebody who
has settlement authority. The court rules understand the
Sunshine Law, you can't have all of you come into a
closed mediation session, which is supposed to be
confidential. So today we're here to try and get some
indication from you, what you might consider settling
for, if anything, so that we have an idea of how to
conduct ourselves in the mediation.
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
6
1-4
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
MAYOR DIGENNARO: Have there been any offers on the
other side -- either side?
MR. SHILLINGER: I will let Mr. Libanoff get into
the details. At this point, I'll turn it over to him.
But that's -- that's where we are. We're coming up on a
trial date in September. We've got a mediation tomorrow.
We've got some significant court dates coming up. So we
wanted to bring this matter to your attention and get
some feedback from you, since you guys are the client.
MAYOR DIGENNARO: One more question for you. How
much cost do we have involved in this case, so far?
MR. SHILLINGER: We have spent about, between costs
and fees, about $400,000, so far.
MAYOR DIGENNARO: Okay. So what about, if we do go
to trial, the question I guess I would have to ask you
is, what's our chances of receiving our attorney's fees
and our costs back?
MR. LIBANOFF: Just following, say good afternoon
to everyone. It has been a couple of years since I've
been in front of the commission, so it's nice to be back.
My name is Ira Libanoff and I have had the pleasure of
representing you all for several years now, as it has
been indicated. The answer, first, to that question. We
have -- the lawsuit is not only against Lodge
Construction, but also their surety company. They were
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
7
LM
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
required to provide a bond, a performance bond, as part
of their contract requirement. So the lawsuit is also
against American Casualty Company of Pennsylvania as the
former owner of the surety. It's a company that's wholly
owned by CNA out of Chicago.
So, as a result of having a claim against the
surety, we have a claim for attorney's fees also, because
any judgment in the state of Florida which you gain
against a surety company, as well as an insurance
company, it carries with it the right to recover
attorney's fees. There's also a provision in the
contract that gives us the right to recover attorney's
fees against Lodge.
So, I can tell you that I think the attorney's fees
will play a large part, with respect to any potential
settlement. Because even though the claim here is for
close to a million dollars, we are getting to the point
that because of a first trial, and then an appeal, which
was expensive, and now another trial, we're getting close
to the point where attorney's fees are driving this train
a little bit. As Bob indicated, $400,000, at this point.
We really started, I'll say, working in earnest in
getting ready for the upcoming trial, during the last 35
or 45 days. So there hasn't been a huge increase, but
there will be. I mean, the next 30 to 45 days, some
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
r�
L
V
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
8
significant additional fees, as we get ready for, and the
trial, and then trying the case.
I can tell you that, just -- it's so hard to -- and
you wouldn't -- have all been involved in litigation in
one source or another, it's really hard to pinpoint it.
But I would say that we're probably looking at somewhere,
75,000, 100,000, $125,000 or so in fees and costs,
between now and getting the case tried in the next 30 to
45 days. And, in addition to that, we have some expert
witnesses. So you will have expert witness fees, as
well. So I think you're looking, certainly, at a six
figure number to get to the point of getting the case
through another trial.
COMMISSIONER NEUGENT: That's hard dollars, from the
standpoint of moneys outside of the county's actual
incurred costs. What -- how much is that?
MR. LIBANOFF: The compensatory damage claim that
we're looking for is $343,000.
COMMISSIONER NEUGENT: Your costs? I consider your
costs more hard costs than Bob Schillinger's hard costs.
Can you separate those two?
MR. LIBANOFF: Sure. The amount of fees, to date --
I can give you the exact figure; $329,590.75. And costs,
approximately, $74,000. So $400,000, to date, that you
have incurred, paid.
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
2M
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
9
MAYOR DIGENNARO: Your costs, plus, we have in-house
costs?
MR. LIBANOFF: Correct.
COMMISSIONER SPEHAR: Are you finished?
MAYOR DIGENNARO: Yes.
COMMISSIONER SPEHAR: Can you tell me, or is it
possible to tell me why the jury's decision was so low
and the judge overruled their decision?
MR. LIBANOFF: We did not -- we were not permitted
to question the jury after the verdict. I can tell you
that during the jury deliberations, notwithstanding the
fact that the judge had granted our Motion for Summary
Judgement, just prior to trial, and had instructed the
jury that it was his determination, as a matter of law,
that Lodge had breached the contract, and that the county
was entitled to damages. And after hearing all the
evidence on the damages, they came out with a question,
during their deliberations, wanting to know if they could
still award the Lodge their contracting balances. Yes.
So, I wish -- because I was as amazed as you just
looked when I said that, when that question was posed
because, obviously, here we have a judge who has been
telling the jury for four days that the county is
entitled to recover and that it's just a question of
determining how much. And yet the jury still was looking
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
1
2
3
4
5
6
7
8
9
10
11
12
(W 13
14
15
16
17
18
19
20
21
22
23
24
%W 25
10
at hitting the county for money, if they were able to. I
guess I could ask you all, perhaps, the same question is
why you might think that a jury of six people down here,
what they were thinking along those lines because there
was nothing -- the trial was really, you know, a
numbers -- it was --
MAYOR DIGENNARO: Where was the trial held?
MR. SHILLINGER: Key West.
MR. LIBANOFF: Key West. It was really just all
about numbers, and putting the number up now. Look, I
will tell you that during the course of the testimony,
Lodge tried to get as much in there as the judge would
allow, from the standpoint of what had occurred, on the
one piece of evidence that any contractor always tries to
put in, that they -- that he did allow them to put in, is
the fact that any judgment that was entered was -- it
wasn't just a company, and it wasn't just a surety
because their indemnity agreement said that the surety
companies have it so Mike Dunn, who is the principal of
Lodge Construction, and his brother, Kevin Dunn, were the
ones that were ultimately going to be paying whatever
amount. So the attorney for Lodge did personalize it.
And I will tell you when I represent contractors, I will
do the same thing. So, perhaps, that struck home with
the jury, that whatever these -- because we were talking
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
7
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
about significant dollars, of course. So perhaps the
jury just did not want to hit these gentlemen for those
amounts, notwithstanding the judge's finding, but --
COMMISSIONER MURPHY: Deep pockets.
MR. LIBANOFF: -- I would be speculating -- I would
be speculating to tell you, you know, as to why that the
jury came back the way they did.
MR. SHILLINGER: The information we got through
second, third hand, as you get in a small town like this,
the feedback was that this was a message that the jury
really didn't like, they weren't favorably disposed
towards the county, at that point. Remember, this was
the fall of 2003. This was the middle of the Stock
Island Sewer, Grand Jury. When the question was asked by
Lodge, the general contractor's lawyer, during jury
selection, he asked the question, because you're going to
have some county officials coming on, they are your local
people that you know, are you going to be predisposed in
their favor. What kind of reaction do you think we got
from that? It wasn't just a chuckle. It was laughing
out loud. I mean, there -- you know, this was -- the
county was not -- even though we were on our home turf,
we were not well received and well thought of.
COMMISSIONER SPEHAR: Are we going to be on our home
turf again?
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
12
LM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
MR. SHILLINGER: We're going to be in Key West.
We're going to be in the same venue.
COMMISSIONER SPEHAR: Which judge?
MR. SHILLINGER: It's going to be Judge Payne again.
He's sitting as a retired judge. Judge Audlin is going
to farm this one to Judge Payne. Which is good for us
because at the same trial period, the Galleon Bay trial,
which is one where we don't want Judge Payne on, has got
to be tried as well. So we want Judge Audlin handling
that case. So it's actually good that this case is going
to Lodge -- or going to Judge Payne.
COMMISSIONER SPEHAR: Thank you.
MR. LIBANOFF: In fact, we learned this --
COMMISSIONER NEUGENT: Now, this is going to be a
judge ruling as opposed to a jury?
MR. SHILLINGER: Jury trial.
COMMISSIONER NEUGENT: So it's a good thing and a
bad thing -- situation here?
MR. LIBANOFF: Some bad. And I will tell you that
when -- for purposes of mediation, we learned at a
hearing on Monday of this week -- well, we learned
before. I'll say I learned before now, before, that
Judge Payne was going to try the case. But at a hearing
on Monday, Judge Audlin told all the parties that the
case was going to be tried by Judge Payne. So that was
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
13
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
the first that Lodge's attorney was hearing that this
case was going to be tried by Judge Payne. At the
conclusion, or toward --
MAYOR DIGENNARO: It did not make his day?
MR. LIBANOFF: It did not and I cannot repeat what
he said in the elevator going down.
MAYOR DIGENNARO: We're all over 21 here.
MR. LIBANOFF: He -- I believe that, you know, Judge
Payne, toward the end of the last trial, was close to
holding Mike Dunn in contempt. For Mike Dunn, that's the
principal of Lodge Construction, was displeased with the
fact that Judge Payne granted our motion notwithstanding
the verdict, threw out the jury's verdict and entered
compensatory damages in favor of the county for $343,000.
And when the judge was leaving the courtroom, Mike Dunn
just sat in his chair and the judge came back to the
bench, and gave him a nice lecture about respect, and so
forth. When the judge comes in and out of the courtroom,
and so forth.
I don't know whether he's going to remember any of
that, but I will tell you that the impact of the
information that Judge Payne is going to be our trial
judge was significant.
MAYOR DIGENNARO: They can't appeal that or they can
appeal that?
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
14
MR. LIBANOFF: They cannot. They cannot. And what
I will tell you is that the judge just -- I don't want to
get too much into the details. But I will tell you that
the basis for the original Summary Judgment, that Judge
Payne granted was, in your standard contract provisions,
you have language that says if there is a claim that the
contractor has, or there is a dispute that the contractor
has, in either case, the contractor is obligated to
continue working on the project. You can submit a claim.
You can file a lawsuit while the project is going on.
The one thing you don't have the right to do is to leave
and terminate, which is exactly what they did. That was
the basis for granting the Summary Judgment.
I will argue, at the close of the evidence, the same
argument that we made on Summary Judgment. This time,
unfortunately, we have to go through the whole trial to
let the evidence come in, or first. But we will be
making that same argument, at the close of the case, to
the same judge that granted it the last time.
COMMISSIONER SPEHAR: Do you feel that it would be
beneficial for us to remain consistent, since it is Judge
Payne? Do we not ask for more than what we did before?
Would that be beneficial in any way? If we go in asking
for more, other than, you know, our -- our actual hard
costs, do you think that the judge would -- it would
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
15
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
,,, 25
change his support of the county?
MR. LIBANOFF: No. I -- what we did, and let me
just break it down for you. The $343,000 is the cost
overrun to actually have the work completed. Then there
is a liquidated damage claim for the delays in getting
the project done, from a scheduling standpoint, from
$617,000. After the jury came back with their
4,000-some-odd dollar verdict, I knew that there was no
evidence that had been introduced into the record to
controvert the dollars that we had put in, the $343,000.
There was just no evidence, that they had put in the
record, to in any way contradict or contravene that.
There was evidence that would have at least allowed
the jury, as slight as it was mind you, that would at
least allow a jury to have concluded that the county
should not be awarded liquidated damages portion. So I
didn't even ask in the motion for judgment,
notwithstanding the verdict. We did not request that the
judge grant that, with respect to the liquidated damages
portion because there at least was some evidence in the
record first, the $343,000, was a non -- judge recognized
that they had -- Lodge had not put any evidence into the
record, with respect to that damage amount. And that was
his basis for granting our request for judgment,
notwithstanding the verdict for that amount.
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
16
No, I don't think that there would be any advantage.
The judge heard all of the evidence the first time.
Your claim, contractually, you have the right to pursue
recovery of the liquidated damages. They were late by
200 days in completing the project. You're entitled to
recovery.
MAYOR DIGENNARO: Let's get to the meat of this.
What do you recommend us to do?
MR. LIBANOFF: Well --
MAYOR DIGENNARO: Your settlement discussion first.
MR. LIBANOFF: You're out of pocket, as we said,
$400,000 in fees and costs, give or take, to date. And
$343,000 of actual money that you paid to D.L. Porter,
the replacement contractor, to get the project done. So
you are out of pocket, before interest and liquidated
damages and whatnot, about $750,000. To me, you know,
that is a number that -- that's what you asked me at the
beginning, what's the number. What have you paid? What
have you put out? To put yourself back to zero, to be
compensated, receive compensatory damages, that's a
number that, in my view, you would have to receive.
Now, I will tell you that I think it's highly
unlikely that that number is going to be obtained through
a mediated settlement. I think that they were embolden
by the jury verdict the first time around, as well as the
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
17
LIM
LIM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
reversal of the judge's ruling, the first time around.
But they figure they might as well take their chance.
The only -- the only difference, this time around is, at
the first mediation, the surety did not send a
representative. This goes back four years, but they
didn't have a representative.
MAYOR DIGENNARO: They're sending one now?
MR. LIBANOFF: They have to, by order. We asked the
judge to enter his order requiring that a representative
be present tomorrow.
MAYOR DIGENNARO: What amount -- what is the surety
bond? What is the amount?
MR. LIBANOFF: The surety bond is in the amount
of -- I'm trying to remember the original amount.
Approximately, $4,000,000.
MAYOR DIGENNARO: Okay.
MR. LIBANOFF: So it's more than enough to cover the
full amount of the claim. And it does cover the
liquidated damages, as well as the compensatory damages.
So, the fact that you'll have the surety at the
mediation, and that Lodge, again, I have to assume this,
we're not entitled to discover this in discovery. But I
have to assume that the principals of Lodge do, in fact,
indemnify the surety company. So there is going to be
some pushing back and forth there I would assume tomorrow
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
18
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
during this mediation.
MAYOR DIGENNARO: Especially, you're saying, we have
$750,000 in this case right now. If we go to trial we
have another -- that's hard costs?
MR. LIBANOFF: Yes.
MAYOR DIGENNARO: There's another 150,000,
approximately, in costs if we go to trial. So we'll be
at $900,000 if we go to trial. Our chances of, at
$900,000, if we win, what can we win?
MR. LIBANOFF: The total amount of the claim is 970.
Interest on 970 is, approximately, $520,000, more or less
at 1.5, plus attorney's fees and costs. We are in the
range of $2,000,000. That's your -- that's the case.
MAYOR DIGENNARO: So at -- for another 150, we're
stuck 750. If we go the 150, would be 900,000. We have
a shot to get double that amount of money back and some
more, that plus 10 percent.
COMMISSIONER NEUGENT: Of which you walk off with
how much?
MR. LIBANOFF: At this point, whatever the
additional expense.
MAYOR DIGENNARO: Well, what is it, 150?
MR. LIBANOFF: It's not a contingency fee.
MAYOR DIGENNARO: No.
MR. LIBANOFF: It's just a question --
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
19
COMMISSIONER NEUGENT: Well, I mean, your meter has
been running on.
MR. LIBANOFF: Yes. Like I said, you know, we have
not --
COMMISSIONER NEUGENT: I just didn't want to give
anybody the false impression that we're going to walk out
of this making any money, to speak of, other than
covering some costs.
MR. LIBANOFF: These are all compensatory damages,
from the standpoint of what you have been out of pocket
to pay -- that was paid to D. L. Porter. Then if you
look at the liquidate damages being compensatory because
that's truly what they are, you're able to get to the
liquidated damages. And to a certain degree, that's
money -- you haven't paid out $617,000 to anyone, but by
virtue of the date of completion --
COMMISSIONER NEUGENT: Let me ask it in a different
way. What's the name of that company?
MR. LIBANOFF: Lodge. Lodge Construction.
COMMISSIONER NEUGENT: Lodge walks off the thing.
We file suit. How much money would we have lost if we
would not have filed suit?
MR. LIBANOFF: $343,000.
COMMISSIONER NEUGENT: So now we're into a potential
million plus dollar situation, which we could walk out
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
20
LM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
with who knows what?
MR. LIBANOFF: (Nods head.)
MAYOR DIGENNARO: And one question between --
MR. LIBANOFF: If I may. We made the decision, back
then, the County Attorney's Office and us.
COMMISSIONER NEUGENT: Oh, I remember.
MR. LIBANOFF: We wanted to be a plaintiff against
Lodge as opposed to sitting back and waiting for Lodge to
sue the county for breach of contract. And one thing we
have not talked about at all is, somebody asked, is there
a counterclaim. Early on you asked Bob, is there a
counterclaim. There is a counterclaim and Lodge's
counterclaim is for $145,000, which is the amount that
they claim that they were owed, as of the time that they
terminated the contract, under what they called a
termination for convenience. The same 50 percent
interest, give or take, with respect to their $145,000.
So their claim is going to be for 220, 225.
MAYOR DIGENNARO: Plus their attorney's fees.
MR. LIBANOFF: Plus attorney's fees. Exactly.
MAYOR DIGENNARO: So we're into them -- give me a
number.
MR. LIBANOFF: You can -- probably, looking more,
half million to 600,000.
MAYOR DIGENNARO: 600,000.
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
Nm
IM
Im
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
MR. LIBANOFF: So you need to know that. You need
to know that there is, as positive as I am being and I
always am with respect to these cases.
MAYOR DIGENNARO: Tell me downside.
MR. LIBANOFF: There are potential down sides.
MAYOR DIGENNARO: Downside, we can lose 600,000;
upside we can bring in two million. Settlement,
discussions, breakeven points to us, 900,000. Basically,
is that the way you see it?
MR. LIBANOFF: Well, tomorrow, breakeven is --
MAYOR DIGENNARO: To us -- no one --
MR. LIBANOFF: -- costs we haven't incurred yet.
MAYOR DIGENNARO: 150 over the 750?
MR. LIBANOFF: Right.
MAYOR DIGENNARO: All right. You add in your fees
to go forward?
MR. LIBANOFF: But what I'm saying is, if it settles
tomorrow, it will be less because then you will not have
incurred the 150,000.
MAYOR DIGENNARO: Right. Because at 900 -- so it
would be 750 --
MR. LIBANOFF: In that range.
MAYOR DIGENNARO: -- right? So 750, you break even.
So now let's go back to my original question. What do
you recommend us to do?
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
22
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
MR. LIBANOFF: Well, my recommendation is that
unless Lodge or the surety is prepared to pay, I'll say
this, from the beginning, hundreds of thousands of
dollars, without putting an exact number on it yet, we
try the case because the case is strong and solid for all
the reasons it was originally.
MAYOR DIGENNARO: I understand. Unless they give us
750 --
MR. LIBANOFF: Or something very close.
MAYOR DIGENNARO: Very close to 750. 650 -- 650 to
800,000, you're saying we should go forward?
MR. SHILLINGER: As I recall the last time we were
in mediation, they were about 300 or 400,000, was their
offer.
MR. LIBANOFF: In that range. And I will tell you
that after the judge granted the Summary Judgment, which
was on the first day of trial, we spent the rest of the
day, basically, discussing settlement before starting to
pick the jury, at about 4:00 o'clock that afternoon. And
they were up to around -- at that point, I believe it was
Mr. Roberts, was primarily doing the negotiating. And,
you know, without committing because it always had to go
back before the commission, but we were talking about a
$550,000 number that the county was going to require.
MAYOR DIGENNARO: Because they just lost the case on
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
23
L A
FIN
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
Summary Judgment?
MR. LIBANOFF: Exactly -- well, and that's before
you incurred all the fees for a week long trial and an
appeal since then, as well.
MAYOR DIGENNARO: What happened -- what was the last
settlement discussion you had with them and what was the
amount?
MR. SHILLINGER: That was it.
MR. LIBANOFF: That was it.
MAYOR DIGENNARO: That was it. You never had one
between, since -- since they said to reinstate the case
and go forward with the trial?
MR. SHILLINGER: That's what tomorrow's purpose is.
MR. LIBANOFF: Nor do we have any, after the --
MAYOR DIGENNARO: No discussions, or maybe attorney
to attorney; there has got to be something going on.
MR. LIBANOFF: There has been none.
MAYOR DIGENNARO: Nobody has tossed any money or
said -- nobody has indicated that they're willing to?
They're being --
MR. LIBANOFF: There have been no -- I can tell you
that since the verdict, and since the -- there was a lot
of posttrial motions, but since the appeal reversed the
judgment, there has been no discussion whatsoever, other
than, when are we going to go back to trial.
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
IR
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
24
MAYOR DIGENNARO: Okay. Anybody else have any more
questions? Do you want to suggest that they settle it
somewhere, 600, $700,000, 650 to 800; you want to go
lower? Does anybody have any suggestion? I'm going to
suggest 650,000 that would be my suggestion. Get out of
the case. We get out of it, don't get bruised. We can
recoup that -- I don't think they're going to pay it. I
don't think so. I think we're wasting -- we're spinning
our wheels right now. 100,000 or 200,000, if they want
to come up with it. We're not going to settle the case
neither. So the case is going to go forward. Our final
investment will be 150. Plus, we if we lose, we could
lose another 160,000, from the 600,000, which will cost
us 750,000; is that correct?
MR. LIBANOFF: (Nods head.)
MAYOR DIGENNARO: So, do we have the worst scenario
of this case, it can cost the county $750,000 more?
MR. LIBANOFF: All right. Again, I'm speculating as
to what their attorneys' fees have been.
MAYOR DIGENNARO: Yeah, of course.
MR. LIBANOFF: But I'll say it's in that range.
MAYOR DIGENNARO: Of course. I'll leave it up to
you. But, you know, we're assuming they're similar to
your's.
MR. LIBANOFF
Correct. They are.
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
25
V.
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
MAYOR DIGENNARO: Although, you give us a discount.
MR. LIBANOFF: Absolutely.
MAYOR DIGENNARO: That's right. So their's might be
more?
MR. LIBANOFF: It could be.
COMMISSIONER SPEHAR: Every second Tuesday.
MAYOR DIGENNARO: Then what do you need from us?
MS. HUTTON: Just direction.
MR. SHILLINGER: A head nod. We can't take a formal
vote in a closed session. I mean, is anybody -- is
anybody, generally, in agreement with that? We would,
obviously, have to bring anything back to the county
commission for formal approval.
COMMISSIONER MURPHY: You're saying, the highest we
can ask, by what you're saying tomorrow --
MAYOR DIGENNARO: What --
COMMISSIONER SPEHAR: Your -- your --
MAYOR DIGENNARO: I'm saying, 600 to 800, but you
know what --
COMMISSIONER SPEHAR: We're asking for 800 --
MAYOR DIGENNARO: Couldn't we do something like
this. Can't we just say, go in to negotiate the thing
because you have to come back to us anyway?
MR. SHILLINGER: Right.
MAYOR DIGENNARO: So why should we even put a number
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
26
LM
Im
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
on it?
MR. SHILLINGER: Oh, just to give us an idea of
where --
MAYOR DIGENNARO: Okay. It's an idea, but it
doesn't mean -- you don't have to say no there. You can
always say no next week. So any number you get, bring
back to us. Go in and negotiate your butt off.
MR. LIBANOFF: All right. Because I'm not -- I'm
going in there tomorrow asking for $2,000,000.
MAYOR DIGENNARO: Okay.
MR. LIBANOFF: Bottom line.
COMMISSIONER MURPHY: Good.
MR. LIBANOFF: We'll see where it goes from there.
COMMISSIONER SPEHAR: All right.
MAYOR DIGENNARO: I mean, that would be -- why
should we even put a number on it.
MR. SHILLINGER: Commissioner Murphy, I think you
had a question.
COMMISSIONER MURPHY: Oh, no. I was commenting on
the Mayor's statement and I said, does that suit both of
you.
MAYOR DIGENNARO: That's what I think we should do,
go in there and fight.
MR. SHILLINGER: All right.
MR. LIBANOFF: All right. Thanks very much.
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
27
IN
Pq
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
Appreciate your time.
MR. SHILLINGER: All right. So that will close the
closed session and we'll bring back the public now. I
have some good news for you. The second closed
session
MAYOR DIGENNARO: We down to --
MR. SHILLINGER: We settled that case.
MS. HUTTON: And we'll go back into that.
MR. SHILLINGER: I'll tell you about that when we're
back on the open record. So we don't need to.
COMMISSIONER SPEHAR: But you settled it?
MR. SHILLINGER: We settled the other case under the
administrator's purchasing authority, settlement
authority.
MS. HUTTON: Well, we have to reopen -- we have to
reopen the regular session, even if you're discussing
that.
COMMISSIONER NEUGENT: Suzanne, and we could be
closed, it doesn't have to be on the record. It has
nothing to do --
MAYOR DIGENNARO: Closed now. Off the record.
(The closed session was concluded at 2:08 p.m.)
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
28
IM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
CERTIFICATE
STATE OF FLORIDA,
COUNTY OF MONROE
I, Patricia A. Zischka, certify that I was
authorized to and did stenographically report the
foregoing proceedings and the transcript is a true
record.
Dated this 3rd day of September, 2007.
Patricia A. Zischka
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
Page 1
A
able 10:1 19:13
about 4:2 5:5,5 6:12
6:13,14 10:10
11:1 13:17 16:16
20:10 22:13,19,23
27:9
Absolutely 25:2
accomplished 2:11
actual 8:15 14:24
16:13
actually 12:10 15:4
add 21:15
addition 8:9
additional 4:8 8:1
18:21
administrator 1:20
3:5
administrator's
27:13
advantage 16:1
advertisements
2:12
advice 2:7
after 9:10,16 15:7
22:16 23:14
afternoon 6:18
22:19
again 11:25 12:4
17:21 24:18
against 5:14 6:24
7:3,6,9,13 20:7
agenda 2:12
agreement 10:18
25:11
allow 10:13,15
15:15
allowed 15:13
along 10:4
Although 25:1
always 10:14 21:3
22:22 26:6
amazed 9:20
American 7:3
amount 8:22 10:22
15:23,25 17:11,12
17:13,14,18 18:10
18:16 20:13 23:7
amounts 11:3
announced 2:6
another 4:4,5 7:19
8:5,13 18:4,6,14
24:13
answer 6:23
anybody 19:6 24:1
24:4 25:10,11
anyone 19:15
anything 5:24 25:12
anyway 25:23
appeal 5:7 7:18
13:24,25 23:4,23
appellate 5:8
Appreciate 27:1
approval 25:13
approved 2:10
approximately 8:24
17:15 18:7,11
architect 5:14
argue 14:14
argument 14:15,18
around 16:25 17:1
17:3 22:20
aside 5:1,3
asked 4:23 11:14,16
16:17 17:8 20:10
20:11
asking 14:23 25:20
26:9
assistant 1:18 3:2
associated 4:8
assume 17:21,23,25
assuming 24:23
attention 6:8
attorney 1:3,18,19
2:5 3:3,4 10:22
13:1 23:15,16
attorneys 24:19
attorney's 6:16 7:7
7:11,12,14,20
18:12 20:5,19,20
Audlin 12:5,9,24
AUGUST 1:9
authority 5:19
27:13,14
authorized 28:4
award 9:19
awarded 15:16
B 1:18
back 3:21 4:22 5:11
6:17,20 11:7
13:16 15:7 16:19
17:5,25 18:16
20:4,8 21:24
22:23 23:25 25:12
25:23 26:7 27:3,8
27:10
bad 12:18,19
balances 9:19
basically 4:19 21:8
22:18
basis 14:4,13 15:24
Bay 12:7
before 4:14 12:22
12:22,22 14:22
16:15 22:18,23
23:2
beginning 16:18
22:3
being 2:4 19:12
21:2 23:20
believe 13:8 22:20
bench 13:17
beneficial 14:21,23
benefit 2:14
between 6:12 8:8
20:3 23:11
bit 7:21
board 1:2 2:9
board's 2:12
Bob 3:2,8 7:21 8:20
20:11
bond 7:1,1 17:12,13
both 26:20
Bottom 26:11
breach 4:9 5:13
20:9
breached 4:20 9:15
break 15:3 21:23
breakeven 21:8,10
brief 4:13
bring 5:18 6:8 21:7
25:12 26:6 27:3
brother10:20
bruised 24:6
Building 3:21 4:1
butt 26:7
C
CA 2:9
Call 2:1
called 2:5 3:9 20:15
calling 2:2
came 4:22 9:17 11:'
13:16 15:7
carries 7:10
case 1:5 2:9 3:7,12
3:19 4:14,17 5:7
6:11 8:2,8,12
12:10,10,23,25
13:2 14:8,18 18:3
18:13 22:5,5,25
23 :11 24:6,10,11
24:17 27:7,12
cases3:13 21:3
Casualty 7:3
CA-K-00617 1:5
Centre 1:23
certain 19:14
certainly 8:11
CERTIFICATE
28:1
certify 28:4
chair 13:16
chance 17:2
chances 6:16 18:8
change 15:1
charles 1:14 2:17
Chicago 7:5
chief 1:18 3:2
chuckle 11:20
claim 4:12 5:14 7:6
7:7,16 8:17 14:6,9
15:5 16:3 17:18
18:10 20:14,18
client 1:3 6:9
close 7:17,19 13:9
14:14,18 22:9,10
27:2
closed 1:3 2:1,2,10
3:9 5:21 25:10
27:3,4,19,21,22
CNA 7:5
come 4:5 5:20 14:17
24:10 25:23
comes 13:18
coming 5:12 6:5,7
11:17
commenting 26:19
commission 2:16
3:23 6:20 22:23
25:13
commissioner 1:14
1:15,16 2:17,18
2:21,21,23,24,25
3:1 8:14,19 9:4,6
11:4,24 12:3,12
12:14,17 14:20
18:18 19:1,5,17
19:20,24 20:6
25:6,14,17,20
26:12,14,17,19
27:11,18
commissioners 1:2
1:11 2:20
committing 22:22
companies 10:19
company 3:19 6:25
7:3,4,9,10 10:17
17:24 19:18
compensated 16:20
compensatory 8:17
13:14 16:20 17:19
19:9,12
completed 15:4
completing 16:5
completion 19:16
concerning 2:7
concluded 15:15
27:22
conclusion 13:3
conduct 5:25
confidential 5:22
consider 5:23 8:19
consistent 14:21
construction 1:4
2:8 3:11,18,19,25
6:25 10:20 13:11
19:19
contempt 13:10
context 5:18
contingency 18:23
continue 14:9
contract 3:25 4:20
7:2,12 9:15 14:5
20:9,15
contracting 9:19
contractor 3:20 4:5
4:5 5:10,15 10:14
14:7,7,8 16:14
contractors 10:23
contractor's 11:15
contractually 16:3
contractural 3:21
contradict 15:12
contravene15:12
controvert 15:10
convenience 20:16
correct 5:6 9:3
24:14,25
cost 6:11 15:3 24:13
24:17
costs 4:8 6:12,17
8:7,16,19,20,20
8:20,23 9:1,2
14:25 16:12 18:4
18:7,12 19:8
21:12
counsel 3:6,12
counter 4:10,11
5:13
counterclaim 20:11
20:12,12,13
county 1:2,2,4,18
1:19,20 2:5,8,19
2:21,23,25 3:3,4,5
3:7,11,13 4:17,18
9:15,23 10:1
11:12,17,22 13:14
15:1,15 20:5,9
22:24 24:17 25:12
28:3
county's 8:15
couple 6:19
course 10:11 11:1
24:20,22
court 2:14 5:8,19
6:7
courtroom 13:15,18
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
Page 2
cover 17:17,18
covering 19:8
D
D 19:11
damage 8:17 15:5
15:23
damages 4:21,22
5:13 9:16,17
13:14 15:16,19
16:4,16,20 17:19
17:19 19:9,12,14
date 3:10 6:6 8:22
8:24 16:12 19:16
Dated 28:6
dates 6:7
day 13 :4 22:17,18
28:6
days 7:24,25 8:9
9:23 16:5
decide 4:21
decision 9:7,8 20:4
Deep 11:4
degree 19:14
delayed 4:6
delays 4:8 15:5
deliberations 9:11
9:18
details 4:13 6:4 14:3
determination 9:14
determining 9:25
di 1:12 2:22
difference 17:3
different 19:17
DIGENNARO 2:2
2:22 4:10 6:1,10
6:14 9:1,5 10:7
13 :4,7,24 16:7,10
17:7,11,16 18:2,6
18:14,22,24 20:3
20:19,21,25 21:4
21:6,11,13,15,20
21:23 22:7,10,25
23:5,10,15,18
24:1,16,20,22
25:1,3,7,16,18,21
25:25 26:4,10,15
26:22 27:6,21
direction 25:8
discount 25:1
discover 17:22
discovery 17:22
discussing 22:18
27:16
discussion 16:10
23:6,24
discussions 21:8
23:15
displeased 13:11
disposed 11:11
dispute 3:21 4:3,19
5:9 14:7
dixie 1:13 2:18
doing 22:21
dollar 15:8 19:25
dollars 7:17 8:14
11:1 15:1022:4
done 15:6 16:14
double 18:16
down 3:24 10:3
13:6 15:3 21:5
27:6
downside 21:4,6
driving 7:20
Dunn 10:19,20
13:10,10,15
during 7:23 9:11,18
10:11 11:15 18:1
D.L 16:13
each 2:15
Early 20:11
earnest 7:22
either 6:2 14:8
elevator 13:6
embolden 16:24
enchilada 5:13
end 13:9
enough 5:9 17:17
enter 17:9
entered 3:25 5:4
10:16 13:13
entitled 5:10 9:16
9:24 16:5 17:22
Especially 18:2
ESQ 1:18,19,21
even 4:23 7:16
11:22 15:17 21:23
25:25 26:16 27:16
Every 25:6
everyone 6:19
evidence 5:9 9:17
10:14 14:14,17
15:9,11,13,20,22
16:2
exact 4:12 8:23 22:4
exactly 14:12 20:20
23:2
expense 18:21
expensive 7:19
expert 8:9,10
eyebrows 5:3
fact 4:18 9:12 10:16
12:13 13:12 17:20
17:23
fall 11:13
false 19:6
far 6:11,13
farm 12:6
favor 5:4 11:19
13:14
favorably 11:11
fee 18:23
feedback 6:9 11:10
feel 14:20
fees 6:13,16 7:7,11
7:13,14,20 8:1,7
8:10,22 16:12
18:12 20:19,20
21:15 23:3 24:19
fight 26:23
figure 8:12,23 17:2
file 14:10 19:21
filed 5:15 19:22
final 24:11
find 4:4
finding 11:3
finish 4:5
finished 9:4
first 6:23 7:18 13:1
14:17 15:21 16:2
16:10,25 17:1,4
22:17
Floor 1:23
florida 1:8,24,24
7:8 28:2
following 6:18
foregoing 28:5
formal 25:9,13
former 7:4
forth 13:18,19
17:25
forward 21:16
22:11 23:12 24:11
found 4:19
four 9:23 17:5
friendliest 4:16
friendly 4:17
from 5:23 6:9 8:14
10:13 11:20 15:6
15:6 19:10 22:3
24:13 25:7 26:13
front 4:15 6:20
full 17:18
gain 7:8
Galleon 12:7
Gato 3:20 4:1
gave 13:17
general 3:20 11:15
generally 25:11
gennaro 1:12 2:22
gentlemen 11:2
george 1:15 2:23
getting 7:17,19,23
8:8,12 15:5
give 4:12 8:23 16:12
19:5 20:17,21
22:7 25:1 26:2
gives 7:12
giving 4:13
go 4:4 5:11 6:14
14:16,23 18:3,7,8
18:15 21:16,24
22:11,22 23:12,25
24:3,11 25:22
26:7,23 27:8
goes 3:21 17:5
26:13
going 3:24 10:21
11:16,18,24 12:1
12:2,4,5,10,11,14
12:23,25 13:2,6
13:20,22 14:10
16:23 17:24 19:6
20:18 22:24 23:16
23:25 24:4,7,10
24:11 26:9
good 6:18 12:6,10
12:17 26:12 27:4
government 5:18
Grand 11:14
grant 15:19
granted 4:18 9:12
13:12 14:5,19
22:16
granting 14:13
15:24
guess 3:14 6:15 10:2
guys 6:9
H
half 20:24
hand 11:9
handling 12:9
happened 23:5
hard 8:3,5,14,20,20
14:24 18:4
having 7:6
head 20:2 24:15
25:9
heard 16:2
hearing 9:16 12:21
12:23 13:1
held 1:6 10:7
highest 25:14
highly 16:22
highway 1:7,23
him 3:16 6:4 13:17
history 4:13
hit 11:2
hitting 10:1
holding 2:10 13:10
home 10:24 11:22
11:24
huge 7:24
hundreds 22:3
button 1:19 2:1,4,6
2:19 3:4,4,8 25:8
27:8,15
idea 5:24 26:2,4
impact 13:21
impression 19:6
increase 7:24
incurred 8:16,25
21:12,19 23:3
indemnify 17:24
indemnity 10:18
indicated 6:23 7:21
23:19
indication 5:23
information 11:8
13:22
instructed 9:13
insurance 7:9
interest 16:15 18:11
20:17
introduced 15:9
investment 24:12
involved 6:11 8:4
in-house 9:1
ira 1:21 3:6 6:21
Island 11:14
issue 3:7 4:20
J
J 1:16,20
job 4:2,6 5:11
judge 4:15,16 5:1
9:8,12,22 10:12
12:3,4,5,5,6,8,9
12:11,15,23,24,25
13:2,8,12,15,16
13:18,22,23 14:2
14:4,19,21,25
15:19,21 16:2
17:9 22:16
judgement 5:4 9:13
judge's 11:3 17:1
judgment 4:19 5:9
7:8 10:16 14:4,13
14:15 15:17,24
22:16 23:1,24
July 2:7
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
Page 3
jury 4:21,22 9:10
9:11,14,23,25
10:3,25 11:2,7,10
11:14,15 12:15,16
15:7,14,15 16:25
22:19
jury's 5:2,3 9:7
13:13
just 2:19 4:13 6:18
8:3 9:13,20,24
10:9,17,17 11:2
11:20 13:16 14:2
15:3,11 18:25
19:5 22:25 25:8
25:22 26:2
justified 4:4
K
K 2:9
Kevin 10:20
key 1:6,8,24 10:8,9
12:1
KEYS 1:22
kind 11:19
knew 15:8
know 9:18 10:5
11:6,18,21 13:8
13:20 14:24 16:16
19:3 21:1,2 22:22
24:23 25:19
knows 20:1
L 19:11
language 14:6
large 7:15
LARGO 1:6,8
last 7:23 13:9 14:19
22:12 23:5
late 3:14 4:15 16:4
later 5:8
laughing 11:20
law 5:20 9:14
lawfully 5:10
lawsuit 2:8 6:24 7:2
14:10
lawyer 11:15
learned 12:13,20,21
12:22
least 15:13,15,20
leave 14:11 24:22
leaving 13:15
lecture 13:17
less4:23 18:11
21:18
let 6:3 14:17 15:2
19:17
let's 16:7 21:24
libanoff 1:21 3:6,6
3:12,15 4:12,25
5:6 6:3,18,21 8:17
8:22 9:3,9 10:9
11:5 12:13,19
13:5,8 14:1 15:2
16:9,11 17:8,13
17:17 18:5,10,20
18:23,25 19:3,9
19:19,23 20:2,4,7
20:20,23 21:1,5
21:10,12,14,17,22
22:1,9,15 23:2,9
23:14,17,21 24:15
24:18,21,25 25:2
25:5 26:8,11,13
26:25
LIBRARY 1:6
like 11:9,11 19:3
25:21
line 26:11
lines 10:4
liquidate 19:12
liquidated 15:5,16
15:19 16:4,15
17:19 19:14
litigation 8:4
little 4:13 7:21
local5:17 11:17
lodge 1:4 2:8 3:11
3:11,18,19,25
6:24 7:13 9:15,19
10:12,20,22 11:15
12:11 13:11 15:22
17:21,23 19:19,19
19:20 20:8,8 22:2
Lodge's 13:1 20:12
long 4:21 23:3
look 10:10 19:12
looked 9:21
looking 8:6,11,18
9:25 20:23
lose 21:6 24:12,13
lost 19:21 22:25
lot 23:22
loud 11:21
low 4:22 9:7
lower 24:4
M 1:13
made 14:15 20:4
make 13:4
making 14:18 19:7
Many 3:23
Marathon 1:24
mario 1:12 2:22
matter 3:11 6:8
9:14
may 20:4
maybe 23:15
mayor 1:12,13 2:2
2:22,22 4:10 6:1
6:10,14 9:1,5 10:7
13 :4, 7,24 16:7,10
17:7,11,1618:2,6
18:14,22,24 20:3
20:19,21,25 21:4
21:6,11,13,15,20
21:23 22:7,10,25
23:5,10,15,18
24:1,16,20,22
25:1,3,7,16,18,21
25:25 26:4,10,15
26:22 27:6,21
Mayor's 26:20
mccoy 1:14 2:17,17
mean 7:25 11:21
19:1 25:10 26:5
26:15
meat 16:7
mediated 16:24
mediation 5:16,17
5:21,25 6:6 12:20
17:4,21 18:1
22:13
meeting 1:1 2:4,6,6
2:9
message 11:10
met 3:16
meter 19:1
middle 11:13
might 5:23 10:3
17:2 25:3
Mike 10:19 13:10
13:10,15
million 7:17 19:25
20:24 21:7
mind 15:14
minutes 2:11
Monday 12:21,24
money4:7 10:1
16:13 18:16 19:7
19:15,21 23:18
moneys 8:15
monroe 1:2,4 2:8
3:6,11 28:3
months 4:2
more 4:24 6:10 8:20
14:22,24 17:17
18:11,17 20:23
24:1,17 25:4
motion 4:18 9:12
13:12 15:17
motions 23:23
much 6:11 8:16
9:25 10:12 14:3
18:19 19:21 26:25
murphy 1:16 2:25
2:25 11:4 25:14
26:12,17,19
name 2:15,17 6:21
19:18
need 21:1,1 25:7
27:10
needed 2:7
negotiate 25:22
26:7
negotiating 22:21
neither 24:11
neugent 1:15 2:23
2:23 8:14,19
12:14,17 18:18
19:1,5,17,20,24
20:6 27:18
never 23:10
news 27:4
next 7:25 8:8 26:6
nice 6:20 13:17
nobody 23:18,19
nod 25:9
Nods 20:2 24:15
non 15:21
none 23:17
nothing 10:5 27:20
notwithstanding
9:11 11:3 13:12
15:18,25
number 1:5 2:9
8:12 10:10 16:17
16:18,21,23 20:22
22:4,24 25:25
26:6,16
numbers 10:6,10
obligated 14:8
obtained 16:23
obviously 4:6 9:22
25:12
occurred 10:13
off 4:2 5:10 18:18
19:20 26:7 27:21
offer 22:14
offers 6:1
Office 20:5
officials 11:17
Oh 20:6 26:2,19
Okay 6:14 17:16
24:1 26:4,10
Olde 1:23
once 4:14
one 6:10 8:5 10:14
12:6,8 14:11 17:7
20:3,9 21:11
23:10
ones 10:21
only 4:20 6:24 17:3
17:3
open 27:10
opportunity 3:17
opposed 12:15 20:8
order 2:1,3 17:8,9
original 14:4 17:14
21:24
originally 22:6
other 6:2 14:24
19:7 23:24 27:12
ourselves 5:25
out 4:4,7 7:5 9:17
11:21 13:13,18
16:11,15,19 19:6
19:10,15,25 24:5
24:6
outside 5:17 8:15
over 3:8 4:3 6:4
13:7 21:13
overruled 9:8
overrun 15:4
Overseas 1:23
owed 20:14
owned 7:5
owner 7:4
o'clock 22:19
P
paid 8:25 16:13,18
19:11,15
part 7:1,15
parties 12:24
Patricia 28:4,8
pay 19:11 22:2 24:7
paying 10:21
Payne 4:15 5:1 12:4
12:6,8,11,23,25
13:2,9,12,22 14:5
14:22
pending 2:8
Pennsylvania 7:3
people 10:3 11:18
percent 18:17 20:16
performance 7:1
perhaps 10:2,24
11:1
period 3:22 12:7
permitted 9:9
personalize 10:22
pick 22:19
piece 10:14
pinpoint 8:5
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathon & Key West
Page 4
plaintiff 20:7
play 7:15
pleasure 6:21
plus 9:1 18:12,17
19:25 20:19,20
24:12
pocket 16:11,15
19:10
pockets 11:4
point 6:4 7:17,20,21
8:12 11:12 18:20
22:20
points 21:8
Porter 16:13 19:11
portion 15:16,20
posed 9:21
position 2:15
positive 21:2
possible 9:7
posttrial 23:23
potential 7:15 19:24
21:5
predates 3:22
predisposed 11:18
prepared 22:2
present 1:11,17
17:10
primarily 22:21
principal 10:19
13:11
principals 17:23
prior 2:6 9:13
PRO 1:13
probably 8:6 20:23
proceedings 28:5
project 4:3,6 14:9
14:10 15:6 16:5
16:14
provide 7:1
provision 7:11
provisions 14:5
provocation 2:11
public 1:6 2:6,10
27:3
published 2:13
purchasing 27:13
purpose 23:13
purposes 12:20
pursue 16:3
pushing 17:25
put4:7 10:15,15
15:10,11,22 16:19
16:19 25:25 26:16
putting 10:10 22:4
p.m 1:10,10 27:22
question 6:10,15,23
9:10,17,21,24
10:2 11:14,16
18:25 20:3 21:24
26:18
questions 24:2
R
range 18:13 21:22
22:15 24:21
RE 1:4
reaction 11:19
ready 7:23 8:1
really 7:22 8:5 10:5
10:9 11:11
reasons 22:6
reca1122:12
receive 16:20,21
received 11:23
receiving 6:16
recognized 15:21
recommend 16:8
21:25
recommendation
22:1
record 2:4,14,19
15:9,12,21,23
27:10,19,21 28:5
recoup 24:7
recover 7:10,12
9:24
recovery 16:4,6
regular 27:16
rehab'ed 3:20
reinstate 23:11
remain 14:21
remember 11:12
13:20 17:14 20:6
renovations 4:1
reopen 27:15,16
repeat 13:5
replacement 16:14
report 28:4
reporter 2:15
REPORTING 1:22
represent10:23
representative 17:5
17:6,9
representing 6:22
request 2:5 15:18
15:24
require 22:24
required 7:1
requirement 7:2
requiring 17:9
respect 7:15 13:17
15:19,23 20:17
21:3
rest 3:23 22:17
result 7:6
retained 3:12
retired 12:5
retry 5:11
reversal 17:1
reversed 5:8 23:23
right 7:10,12 14:11
16:3 18:3 21:14
21:15,20,23 24:9
24:18 25:3,24
26:8,14,24,25
27:2
ROBERT 1:18
Roberts 22:21
rules 5:19
ruling 12:15 17:1
running 19:2
same 10:2,24 12:2,7
14:14,18,19 20:16
sat 13:16
saying 18:2 21:17
22:11 25:14,15,18
says 14:6
scenario 24:16
scheduled 5:16
scheduling 15:6
Schillinger's 8:20
second 11:9 25:6
27:4
see 5:3 21:9 26:13
selection 11:16
send 17:4
sending 17:7
separate 2:12 8:21
September 5:12 6:6
28:6
session 1:3 2:1,2,10
3:9 5:21 25:10
27:3,5,16,22
set 5:1,3
settle 24:2,10
settled 27:7,11,12
settlement 5:19
7:16 16:10,24
21:7 22:18 23:6
27:13
settles 21:17
settling 5:23
several6:22
Sewer 11:14
shillinger 1:18 3:2,2
3:9,16 4:11 5:1,7
6:3,12 10:8 11:8
12:1,4,16 22:12
23:8,13 25:9,24
26:2,17,24 27:2,7
27:9,12
shot 18:16
side 6:2,2
sides 21:5
significant 6:7 8:1
11:1 13:23
similar 24:23
since 3:13 6:9,19
14:21 23:4,11,11
23:22,22,23
sitting 12:5 20:8
situation 12:18
19:25
six 8:11 10:3
slight 15:14
small 11:9
solid 22:5
some 3:16,22 5:22
6:7,9 7:25 8:9
11:17 12:19 15:20
17:25 18:16 19:8
27:4
somebody 5:18
20:10
something 22:9
23:16 25:21
somewhere 8:6 24:3
SONNY 1:14
source 8:5
speak 19:7
speculating 11:5,6
24:18
spehar 1:13 2:18,18
2:21 9:4,6 11:24
12:3,12 14:20
25:6,17,20 26:14
27:11
spent 6:12 22:17
spinning 24:8
standard 14:5
standpoint 8:15
10:13 15:6 19:10
started 7:22
starting 2:16 22:18
state 2:15 7:8 28:2
statement 26:20
stenographically
28:4
still 9:19,25
Stock 11:13
Street 1:23
strong 22:5
struck 10:24
stuck 18:15
submit 14:9
sue 20:9
suggest 24:2,5
suggestion 24:4,5
suing 4:7
suit 4:10,11 5:14
19:21,22 26:20
Suite 1:23
Summary 4:18 5:8
9:12 14:4,13,15
22:16 23:1
Sunshine 5:20
support 15:1
supposed 5:18,21
Sure 8:22
surety 6:25 7:4,7,9
10:17,18 17:4,11
17:13,20,24 22:2
suzanne 1:19 2:5
3:4 27:18
Sylvia 1:16 2:25
T
take 16:12 17:2
20:17 25:9
talked 20:10
talking 10:25 22:23
tell 7:14 8:3 9:6,7
9:10 10:11,23
11:6 12:19 13:21
14:2,3 16:22 21:4
22:15 23:21 27:9
telling 9:23
TEM 1:13
terminate 14:12
terminated 20:15
termination 20:16
testimony 10:11
Thank 12:12
Thanks 26:25
their 4:3,9,11 6:25
7:2 9:8,18,19
10:18 11:19 15:7
17:2 20:17,18,19
22:13 24:19
their's 25:3
thing 5:11 10:24
12:17,18 14:11
19:20 20:9 25:22
think 3:24 7:14 8:11
10:3 11:19 14:25
16:1,22,24 24:7,8
24:8 26:17,22
thinking 10:4
third 5:5 11:9
third -party 5:14
THOMAS 1:20
though 4:23 7:16
11:22
thought 11:23
thousands 22:3
three 4:2,2
All Keys Reporting - Court Reporters - (305) 289-1201
Locations in Key Largo, Marathop & Key West
Page 5
threw 13:13
through 2:11 8:13
11:8 14:16 16:23
time 3:22 14:15,19
16:2,25 17:1,3
20:14 22:12 27:1
times 3:23
today 3:17 5:22
today's 2:10
told 12:24
Tom 3:5
tomorrow 5:16 6:6
17:10,25 21:10,18
25:15 26:9
tomorrow's 23:13
tossed 23:18
total 18:10
toward 13:3,9
towards 11:12
town 11:9
Towne 1:23
train 7:20
transcript 28:5
trial 3:10,18 4:14
4:15,21 5:12 6:6
6:15 7:18,19,23
8:2,13 9:13 10:5,7
12:7,7,16 13 :9,22
14:16 18:3,7,8
22:17 23:3,12,25
tried 8:8 10:12 12:9
12:25 13:2
tries 10:14
true 28:5
truly 19:13
try 5:22 12:23 22:5
trying 8:2 17:14
Tuesday 25:6
turf 11:22,25
turn 3:8 6:4
two 8:21 21:7
typically 4:16 5:17
U
ultimately 10:21
under 20:15 27:12
understand 5:19
22:7
unfortunately
14:16
unless 22:2,7
unlikely 16:23
unusual 5:2
upcoming 3:10,18
7:23
upside 21:7
V
V 1:4
various 3:13
venue 12:2
verdict 4:22 5:2,4
9:10 13:13,13
15:8,18,25 16:25
23:22
versus 2:8 3:11
very 4:17,22 5:2
22:9,10 26:25
view 16:21
virtue 19:16
vote 25:10
waiting 20:8
walk 5:10 18:18
19:6,25
walked 4:1
walking 4:3
walks 19:20
want 11:2 12:8,9
14:2 19:5 24:2,3,9
wanted 6:8 20:7
wanting 9:18
wasn't 10:17,17
11:20
wasting 24:8
way 11:7 14:23
15:12 19:18 21:9
week 4:21 12:21
23:3 26:6
weeks 4:2
well 7:9 8:11 11:23
11:23 12:9,21
16:9,25 17:2,19
18:22 19:1 21:10
22:1 23:2,4 27:15
went4:14,15 5:3
were 3:24 6:25 9:9
10:1,4,20,21,25
11:22,23 16:4,24
20:14 22:12,13,20
22:23
weren't 11:11
West 1:24 10:8,9
12:1
we'll 18:7 26:13
27:3,8
we're 4:7 5:22 6:5
7:19 8:6,18 12:1,2
13:7 17:22 18:14
19:6,24 20:21
24:8,8,10,23
25:20 27:9
We've 6:6,7
whatnot 16:16
whatsoever 23:24
wheels 24:9
while 14:10
Whitehead 1:23
whole 5:11,13 14:16
wholly 7:4
willi 1:20 3:5,5
willing 23:19
win 18:9,9
wish 9:20
witness 8:10
witnesses 8:10
work 15:4
working 3:13 7:22
14:9
worst 24:16
wouldn't 8:4
Yeah 24:20
years 6:19,22 17:5
your's 24:24
zero 16:19
Zischka 28:4,8
$125,000 8:7
$145,000 20:13,17
$2,000,000 18:13
26:9
$329,590.75 8:23
$340,000 5:5
$343,000 8:18 13:14
15:3,10,21 16:13
19:23
$4,000,000 17:15
$400,000 6:13 7:21
8:24 16:12
$5,000 4:23
$520,000 18:11
$550,000 22:24
$617,000 15:7 19:15
$700,000 24:3
$74,000 8:24
$750,000 16:16 18:3
24:17
$900,000 18:8,9
OVERSEAS 1:7
00617 2:9
1.5 18:12
1:33 1:10
10 18:17
100,000 8:7 24:9
101485 1:7
15 1:9
150 18:14,15,22
21:13 24:12
150,000 18:6 21:19
160,000 24:13
18th 2:7
2nd 1:23
2:08 1:10 27:22
200 16:5
200,000 24:9
2000 3:22
2001 3:22
2003 4:14,15 11:13
2007 1:9 2:7 28:6
206 1:23
21 13:7
220 20:18
225 20:18
3
3rd 28:6
30 7:25 8:8
300 22:13
305-289-1201 1:24
305-294-2601 1:24
33037 1:8
35 7:23
4
4,000-some-odd
15:8
4:00 22:19
400,000 22:13
45 7:24,25 8:9
5
50 20:16
500,000 4:24
6
600 1:23 24:3 25:18
600,000 20:24,25
21:6 24:13
650 22:10,10 24:3
650,000 24:5
7
75,000 8:7
750 18:15 21:13,21
21:23 22:8,10
750,000 24:14
800 24:3 25:18,20
800,000 22:11
90's 3:14
900 21:20
900,000 18:15 21:8
970 18:10,11
970,000 4:25 5:1
9701 1:23
All Keys Reporting - Court Reporters - (305) 289-1201
Locatiops in Key Largo, Marathon & Key West