Chico Scrap Metal: ‘The lawsuit is not over yet’

CHICO » Despite a judge ruling in favor of the city of Chico, Chico Scrap Metal made it clear it has no intention of backing off of the issue.

The business issued a press release responding to the ruling and explaining where it will go from here.

“Of course, this is disappointing news for us, and our lawyers are still evaluating the ruling,” said Chico Scrap Metal co-owner Kim Scott. “But I can state with certainty that this case is not over yet.”

The release explained that the ruling was only one facet of the overall litigation.

“The court’s recent order decided the first big issue — that the amortization deadline in the Chapman Mulberry Neighborhood Plan cannot be challenged because the statute of limitations for making that challenge has expired,” the release said.

According to the business’s response, the city’s Chapman Mulberry Neighborhood Plan, as part of its general plan, steps must be taken to relocate Chico Scrap Metal.

“The court’s recent ruling, without a doubt, has trimmed back some of the issues in dispute and narrowed the scope of issues to be decided at trial,” the statement from Chico Scrap Metal reads. “However, the city’s obligation to relocate Chico Scrap Metal is not decided and remains a big part of this lawsuit. In fact, both parties have asked the court to tell them what their rights and obligations are with respect to this relocation provision in the Chapman Mulberry Neighborhood Plan.”

A settlement conference is scheduled for Nov. 17 with an additional case management conference on Dec. 8.

“Contrary to the rumors out there, that ruling did not end the lawsuit because there are important legal issues that still have to be decided by the court,” Scott said.

Therese Cannata of Cannata, O’Toole, Fickes and Olson, the law firm representing Chico Scrap Metal, said the primary focus on the case will be on the relocation of the business, particularly if no settlement is reached on Nov. 17 and it goes to trial.

“The key topic before the parties proceed to trial, and will be a key topic in settlement discussions is: where to relocate, what the costs of relocation, and how much of that cost, will the City cover,” Cannata said.