Evansville officials refuse to pay after Executive Inn demolition.
The company that demolished the Old Executive Inn and parking garage in downtown Evansville says the Redevelopment Commission still owes it money, but the city says it doesn’t. Klenck Demolition says the city still owes it $355,000 for tearing the buildings down.
The city says it entered into a contract with Woodruff Hospitatlity to demolish the buildings and build a new hotel, but Woodruff backed out of that contract before the work was complete. The demolition company says the city received benefits from the work Klenck performed, so the company should be paid. It is willing to settle for a quarter of a million dollars. City attorneys do not dispute somebody may owe Klenck money, but they say its not Evansville.
“It appears that there may be litigation,” said Evansville city attorney Ted Ziemer, “resulting from the city’s refusal not to pay this amount. And if there is, the legal department is ready to defend that and be successful.”
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