SEBASTIAN — Although a judge last month granted a motion to dismiss a lawsuit filed against the City of Sebastian by the operators of a former restaurant at Fisherman’s Landing, part of the state-funded Working Waterfront Project, the litigation remains active.
Along with the motion to dismiss, the judge gave the plaintiff the opportunity to file amended charges and they did, according to Sebastian City Attorney Robert Ginsburg.
At issue is whether the restaurant tenant, Debbie McManus, went beyond the scope of the project by putting a full-scale restaurant on the waterfront property.
She claims city officials and others supported her larger remodeling effort.
McManus initially alleged that the defendants – the City of Sebastian, Crab- E Bill’s Indian River Seafood, and the non-profit Fisherman’s Landing Sebastian group – had “wooed them” to the property to make improvements that went beyond the scope of what was allowed under the state-funded grant.
The suit sought unspecified damages, stating that the restaurant made more than $100,000 worth of improvements to the former Hurricane Harbor property, including a commercial-grade kitchen, and also paid thousands of dollars in rent.
Although the grant documents clearly state that the “eatery” was to be limited in scope, a place for visitors to get simple beverages and snacks such as sandwiches of locally caught fish, a small, convenient place meant to enhance the overall Working Waterfront project, it opened as a full service restaurant, with seating inside and out, full service bar and entertainment.
“During the course of the build-out, representatives of the City of Sebastian, (Fisherman’s Landing Sebastian), and (Crab-E Bill’s Indian River Seafood), often toured the premises and in fact, even made recommendations to (the restaurant) as to the build-out and set-up of the restaurant area,” according to the original lawsuit.
The amended complaint, says Ginsburg, states that McManus added value to the site, and that it is unfair for the city to retain that value.
She also said she should have been advised as to what her responsibilities were.
When the suit was first brought, Ginsburg tried unsuccessfully to get the Florida League of Cities to assist with the litigation. Because there was no way to know how lengthy the litigation would be, he asked for the go-ahead to seek an outside attorney, and the city ultimately engaged Vero Beach attorney Buck Vocelle.
Because no money specifically has been budgeted for such an eventuality, City Manager Al Minner suggested attorney’s fees would likely have to come out of the reserve fund.
According to city staff, no invoices have been received thus far.