Holds on property dismissed for bond
colorado springs» Immediately after Chiddix Excavating Inc.’s lawyer tried to put holds on Colorado Springs Utilities and city properties last week to ensure payment of $1.5 million won in a lawsuit, a federal court administrator granted the city’s emergency motion to remove them, on condition the city post bond as ordered, court documents show.
“This case is currently on appeal. The court declined to issue writs of garnishment as requested by plaintiff ’s attorney,” city attorney Wynetta Massey told The Gazette.
Hans Tuft, the lawyer for Chiddix, had filed writs of garnishment on the properties about 3:40 p.m. Thursday. Those writs serve notice that a judgment is in effect against the property’s owner, so the property can’t be disposed of until the judgment is paid. Tuft took that route because: • The City Council had considered a proposed settlement in the deal Tuesday, but Tuft and his client weren’t notified that it was accepted.
• The city had not posted bond, as ordered by a federal judge Nov. 7.
But 16 minutes after Tuft filed the writs, the city asked the court for an emergency stay. A U.S. District Court administrator granted the city’s motion with the caveat that the city post bond, Tuft said.
On Friday, five weeks and five days after U.S. District Judge R. Brooke Jackson ordered that the bond be posted, the city filed a proposal to post the bond.
The bond is held by a third party, in this case Travelers Insurance, to ensure the plaintiff is covered for damages awarded.
“I don’t really want Garden of the Gods,” Tuft said about one of the properties he sought to garnishee. “The point was to get their attention. Either pay (Chiddix) or post the bond.”