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Friday, December 17, 2004

Indiana Law - Following up on earlier entires on validity of local multiyear contracts

Can a town council grant a multiyear employment contract that extends beyond the terms of a majority of its members? The ILB posted entires on this question, arising out of a dispute over a Merrillville council sheriff's contract, on 10/30/04; 11/16/04; and 11/30/04.

The Munster Times reports today on another, related dispute. The headline: "Appeal of lawsuit within law: Town attorney didn't need full council approval before proceeding." Some quotes:

Town Attorney Stephen Bower apparently didn't break any laws when he recently appealed a legal decision favoring former Police Chief John Shelhart.

His action, based on the solitary nod from Town Council President Joe Shudick, was severely criticized by Town Councilman David Uzelac, D-4th, at Tuesday's council meeting. Uzelac questioned Bower's decision not to relay information to all members in an executive session as well as the future cost to taxpayers to continue the case in the courts.

"I feel we're putting the town in a dire funding situation," Uzelac said Tuesday.

Legal counsel from the Indiana Association of Cities and Towns confirmed that Bower didn't need to have the go-ahead from all council members.

"The town is represented by the town attorney as an entity and the Town Council president is an executive of the town. Although he doesn't have as much power as the mayor, he acts as an agent of the Town Council," said association representative Brandon Cockrum.

Bower also defended the legal expenditure of the town, which last year cost $2,400 for his handling of the case, compared to the $125,000 plus interest that a judge has said should be awarded to Shelhart. * * *

Lake Superior Court Judge Robert Pete in his Nov. 5 ruling said a March 2003 contract between Shelhart and the council was legally binding. He said the council breached the contract when it removed Shelhart on Jan. 9 without just cause and moved him to the position of Emergency Medical Services director.

Pete in his ruling said the town owed Shelhart for wages he would have earned as police chief. That amount is about $125,000, said David Westland, Shelhart's attorney.

Posted by Marcia Oddi on December 17, 2004 09:57 AM
Posted to Indiana Law