Mediation doesn't end litigation for Longboat Key Club

One day of mediation didn’t end more than four years of legal wrangling involving the Longboat Key Club and Resort’s proposed $400 million Islandside redevelopment-and-expansion plan.

Town Attorney David Persson wrote in a July 18 email to the Longboat Key Town Commission:

“Mayor Brown and I attended a confidential mediation in an attempt to arrive at a settlement regarding the above matters. Regretfully, mediation was unsuccessful. Since the rules of mediation require confidentiality, I am unable to discuss with you what occurred during the mediation. If you would like to discuss anything else, please contact me at your convenience.”

The conference took place Wednesday, July 18 with retired Pinellas-Pasco Circuit Judge George Greer mediating.

It took place at Inn on the Beach, and the Key Club and Islandside Property Owners Coalition (IPOC) each footed half of Greer’s $300-an-hour fee, according to stipulations filed in the Sarasota County Clerk of the Court’s Office prior to mediation.

IPOC President Bob White, Sanctuary resident Jim Thomas and L’Ambiance resident Irwin Pastor were listed as IPOC’s representatives for the discussions, while Key Club General Manager Michael Welly, former Loeb Partners Realty President and Chief Operating Officer Michael Brody, and Loeb Vice President Adam Tegge represented the Key Club.

Those participating in the conference reserved the hours from 9 a.m. to 5 p.m., but Persson emailed commissioners at 4:07 p.m. that day to let them know that discussions were unsuccessful.

The failed attempt at mediation leaves litigation involving the project as it was before the parties agreed to discussions.

Currently, two challenges over the project remain pending.

The Key Club and the town asked the 2nd District Court of Appeals to overturn a ruling by the 12th Judicial Circuit Court that granted a writ of certiorari to IPOC and the L’Ambiance and Sanctuary condominium associations in their challenge of the development order by which the commission approved the project in June 2010.

A separate declaratory action in which IPOC is the only plaintiff and the town is the lone defendant also remains pending in the 12th Judicial Circuit Court. IPOC claims in that challenge that the commission’s development order was inconsistent with the town’s Comprehensive Plan. A Sept. 17 trial has been scheduled, which will likely be pushed back because of an amended complaint filed by IPOC that addresses recent changes to the town’s zoning code.

Because of confidentiality requirements, none of the parties involved in mediation can comment.

But Key Club attorney John Patterson expressed ongoing frustrations with attempts at discussions with IPOC.

“What would be acceptable, I have never seen,” he said. “I don’t know what it is. As far as this whole process has been, it’s been like shadowboxing. It’s never been specific, what they would accept.”

White said that the mediation process was completed but didn’t rule out the possibility of future discussions.

He disagreed, however, with the way Patterson characterized ongoing discussions, referring to a May 7 letter he wrote to Islandside residents and the press, in which he cited an offer from IPOC at December 2009 Planning & Zoning Board hearings and a compromise suggested by then-Mayor George Spoll in the hearings leading up to the project’s approval.

“In addition to these efforts, there were three private meetings, one of which included Loeb’s top management, where alternatives were offered. In each case the Club flatly rejected the offers,” White wrote.

But, still, White expressed disappointment that mediation wasn’t successful.

“We’re disappointed that there was no resolution, and I’m sure that the town and the Key Club are disappointed in that regard,” he said.