LAWSUITS NEWS & LEGAL INFORMATION
Slow Job Growth
Beatrice, NE: (Apr-08-08) Beatrice City brought a lawsuit against Knowledge Marketing, alleging that the company breached its contract with the city. The suit stated that in June 2004, the city agreed to give Knowledge Marketing $1.1 million in incentives to start up in Beatrice. The contract stipulated that the money did not have to be paid back as long as the company created and maintained at least 10 new jobs per year for three years. The company was also to remain operating in Beatrice for at least five years.
The suit accused the company of not meeting its contractual obligation of having at least 30 employees by last year. Because the company was not able to meet its contractual obligations, the city sought to have the firm repay a portion, anywhere from $200,000 to $300,000, of the $1.1 million back to the city. Records show that the company's initial offer to the city was $150,000, with the entire settlement being paid over the next two years and a personal guarantee from Knowledge Marketing president Duane Crandall and his wife.
As part of a settlement reached between the two parties, sources stated that the city accepted a one-time $125,000 cash payment from Knowledge Marketing, resolving the breach of contract lawsuit. [BEATRICE DAILY SUN: CITY COUNCIL SETTLES WITH KNOWLEDGE MARKETING]
Published on Apr-9-08
The suit accused the company of not meeting its contractual obligation of having at least 30 employees by last year. Because the company was not able to meet its contractual obligations, the city sought to have the firm repay a portion, anywhere from $200,000 to $300,000, of the $1.1 million back to the city. Records show that the company's initial offer to the city was $150,000, with the entire settlement being paid over the next two years and a personal guarantee from Knowledge Marketing president Duane Crandall and his wife.
As part of a settlement reached between the two parties, sources stated that the city accepted a one-time $125,000 cash payment from Knowledge Marketing, resolving the breach of contract lawsuit. [
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