425-453-6206 / Facsimile 425-453-6224 /
GSK Obtains $10,710,000 Jury Verdict for Developer
John Groen partnered with Jon Ferguson Law Group PLLC in a seven-week jury trial on behalf of Westmark Development Corp. against the City of Burien. The City illegally delayed Westmark's proposal to build a 176-unit apartment project within Burien city limits for nearly 13 years! The jury ultimately awarded $10,710,000 in damages as a result of Burien's improper actions. This was a case of first impression in Washington, and it was the first successful case involving improper delay by a municipality under SEPA.
Our client, Westmark Development Corporation ("Westmark"), sought to build and own a multi-family development project in newly-incorporated Burien around 1993. However, the new, Burien city government didn't want apartment developments within its city limits or the "types of people" who live in apartments. So Burien enacted an illegally broad moratorium to specifically prevent the Westmark project from being built. Furthermore, Burien refused to process Westmark's building permit application for almost four years.
Ultimately, Burien tried to "settle" the case in 1998, and, in fact, both parties agreed to settlement terms. However, the Burien City Council did not approve the settlement agreement in an open public meeting as required by law. Moreover, Burien officials failed to tell Westmark that the settlement was not yet approved by public vote.
After posturing for several months, Burien refused to abide by the terms of the settlement agreement. Westmark was forced to sue Burien to enforce the terms contained within the mutually agreed upon settlement. Litigation lasted until 2003 when Burien conveniently disclosed that the settlement was invalid because it had failed to approve it in an open public meeting. This game of smoke-and-mirrors bought Burien five more years of delay on Westmark's project.
Finally, after a seven-week jury trial, justice was served. A Snohomish County jury found Burien liable under the theory of negligence, negligent misrepresentation, and tortious interference with business expectancy. Westmark was awarded $10,710,000 in lost profits for the project, which was never built due to the improper delay.
