Wichita, Genesis reach settlement in Ice Center lawsuit. Here are the details
Wichita and Genesis Health Clubs settled a lawsuit over the Wichita Ice Center, with Genesis agreeing to pay $200,000 to the city.Summary
The city of Wichita has reached a settlement with Genesis Health Clubs regarding a failed public-private partnership at the Wichita Ice Center. Genesis will pay the city $200,000 and drop its $1.8 million counterclaim if the City Council approves the agreement. The lawsuit stemmed from the city’s attempt to recover approximately $425,000 for city-funded improvements made to the health club Genesis operated within the Ice Center. The city had loaned Genesis $750,000 in 2012 for remodeling, but alleged the company failed to make payments and properly manage the facility. Genesis, in turn, blamed the city for inadequate upkeep, citing issues like broken lights and malfunctioning equipment. While the city has already replaced the faulty equipment and changed management at the Ice Center, a separate lawsuit against contractor The Waldinger Corporation for improper repairs is still ongoing, with the city claiming nearly $2.7 million in damages. City Attorney Jennifer Magana stated the settlement is “the most fiscally responsible option” and allows the city to pursue further damages from Waldinger.
(Source：Wichita Eagle)