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April 2017

Gordon & Rees Denver Team Prevails on Behalf of Housing Developer Client Under Colorado Governmental Immunity Act

Gordon & Rees Denver partner John Keen and associate Ed Hafer successfully defended the developer of 2700 home community, along with its partners and employees who served on the special district established to oversee the development. 

The plaintiff, a provider of internet and cable services, sought to enforce long-term agreement with a municipal district, requiring all homes in the district purchase the plaintiff’s services. The plaintiff claimed eight figures in damages arising from a breach of contract. The plaintiff alleged that the firm's client had taken control of the municipal district through its placement of the individual defendants on the district board of directors, with the intent to conspire with those employee-directors to breach the district’s agreement with the plaintiff. 

In defense of their client, Gordon & Rees attorneys attacked both the legality of the agreement and asserted the Colorado Governmental Immunity Act shielded the individual defendants, destroying the plaintiff’s intentional interference and conspiracy claims. The court favored the defendants on both scores, finding the Colorado Governmental Immunity Act applied to the individual defendants, protecting both the individual defendants and the developer from the plaintiff’s conspiracy and intentional interference claims.  In addition, the court found the agreement the plaintiff sought to enforce was illegal in light of the evidence developed during depositions of the plaintiff’s representatives. 

Edward J. Hafer