City approves settlement in Miller & Associates lawsuit, option to buy property or pay $2.1 million

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Summary

After closed-session negotiations, the Redlands City Council approved a settlement in Miller and Associates Inc. v. City of Redlands that gives the city the option to purchase 611 W. Redlands Boulevard for $3.4 million or pay the plaintiff $2.1 million; the mayor was authorized to sign the agreement.

The Redlands City Council approved a settlement in closed session for Miller and Associates Inc. v. City of Redlands that gives the city the option to buy the property at 611 West Redlands Boulevard for $3,400,000 or pay the plaintiff $2,100,000, and requires the plaintiff to release all claims and dismiss the lawsuit with prejudice.

City Attorney report: why it matters

City Attorney staff reported in open session that the council took action in closed session pursuant to Government Code provisions for litigation discussions and approved the settlement terms. The mayor was authorized to sign the settlement agreement; a copy will be available in the City Clerk’s office after execution.

What the council voted and the terms

Mayor Pro Tem Shaw made the motion to approve the settlement; Councilmember Berridge seconded, and the motion passed unanimously. Under the approved terms the city may either acquire the 611 West Redlands Boulevard property for $3.4 million or pay $2.1 million to Miller and Associates, and Miller and Associates will release known and unknown claims and dismiss the suit with prejudice. The mayor is authorized to execute the settlement agreement on the city’s behalf.

Context and next steps

The city attorney summarized that three items were listed on the closed-session agenda under litigation (Government Code §54956.9(d)(1)); two items resulted in no reportable action and the third resulted in the settlement approval now announced in open session. The executed settlement agreement will be filed with the City Clerk when complete.