Fairhope, Alabama
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| November airport authority meeting. |
SETTLEMENT REACHED
The Fairhope Airport Authority has settled its lawsuit against H.L.Sonny Callahan airport operator Continental Aerospace.
The December 2021 lawsuit alleged various shortcomings by Continental concerning its FBO (fixed base operator) lease agreement with the authority, including: failure to secure proper insurance and inadequate fuel farm maintenance; failure to install required office/hangar space; et al.
Also, the Authority's lawsuit cited Continental's decision to renege on a mutual agreement dated August 24, 2021 to voluntarily end their operator's lease on June 30, 2022.
Generally, according to the October 2022 authority meeting minutes, the settlement involves a new two-year lease with Continental starting October 15, 2022, and continuing negotiations about the terms for the north hangar ... and after two years will need to vacate the T-hangars, FBO, and two adjacent hangars ... and consolidate to the north hangar ... or leave the airport altogether. There will also be shared cost for building maintenance/repairs, a $200 cap on surcharges for engines, and a cap on T-hangar rental rates.
During its regular November 16th meeting, authority attorney Myrick said the suit should be officially dismissed later in the week, after he files appropriate motions.
Authority member Don Lagarde told the Times he was "glad to have the matter behind us." We reached out for comment from councilman/authority member Burrell but never received a reply.
Lagarde was chairman of the authority for the past year but Chip Groner was elected to the position during their October meeting.
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| Continental aerospace offices. |
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