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Utah-based company wins auction to buy Jay Peak in Vermont
Court Watch | 2022/09/08 13:14
Utah-based Pacific Group Resorts, Inc., which owns five ski resorts, has won the auction to buy Jay Peak Resort, the Vermont ski area that was shaken by a massive fraud case involving its former owner and president.

The court-appointed receiver who has been overseeing Jay Peak for more than six years announced Thursday the results of Wednesday’s auction, with Pacific Group Resorts making the highest and best bid among the multiple bidders. The offer was not disclosed.

“We are pleased an experienced operating company like Pacific Group Resorts ended up with this great asset,” receiver Michael Goldberg said in a statement.

A federal court must approve the bid and a hearing is tentatively scheduled for Sept. 16, according to Goldberg. The sale is expected to close before the upcoming ski season, Goldberg said.

Pacific Groups Resorts, which owns Ragged Mountain Resort in New Hampshire and Powderhorn Mountain Resort in Colorado, as well as properties in British Columbia, Virginia, Maryland, had originally offered to buy Jay Peak for $58 million. Goldberg wanted to be able to continue to market the resort, and if there were qualified bids to hold an auction “in order to assure the highest and best offer,” according a court filing last month.

Vern Greco, PGRI’s president and CEO, said the company started pursuing the acquisition over three years ago.

“Jay has a high quality team of dedicated employees who have weathered the uncertainty of the receivership for a long time,” he said in a statement. “We look forward to bringing renewed stability to the property and its staff, we’re enthusiastic about the prospects for the resort, and we are delighted to be in Vermont which is an important market for any mountain resort operator.”

Former Jay Peak owner Ariel Quiros, former president William Stenger and Quiros’ adviser William Kelly were sentenced this spring to federal prison for their roles in a failed plan to build a biotechnology plant using tens of millions of dollars in foreign investors’ money raised through a special visa program.

The U.S. Securities and Exchange Commission and the state of Vermont also alleged in 2016 that Quiros and Stenger took part in a “massive eight-year fraudulent scheme” that involved misusing more than $200 million of about $400 million raised from foreign investors for various ski area developments through the same visa program.

They settled civil charges with the SEC, with Quiros surrendering more than $80 million in assets, including Jay Peak and Burke Mountain ski resorts.


Appeals court puts Georgia PSC elections back on ballot
Court Watch | 2022/08/14 15:26
A federal appeals court on Friday ordered that statewide elections for two Georgia public service commissioners be put back on the November ballot, only a week after a federal judge postponed the elections after finding that electing the five commissioners statewide illegally diluted Black votes.

A three judge panel of the 11th U.S. Circuit Court of Appeals blocked the lower court’s order after an appeal by the state, which follows a U.S. Supreme Court decision saying judges shouldn’t order changes close to elections.

The 2-1 split decision came at the state’s deadline for finalizing ballots ahead of the election, so there is enough time to print ballots before the first ballots are mailed to voters living outside the country in late September.

District 3 Commissioner Fitz Johnson and District 2 Commissioner Tim Echols, both Republicans, are seeking reelection to six-year terms. Johnson is being challenged by Democrat Shelia Edwards while Echols faces Democrat Patty Durand and Libertarian Colin McKinney.

Circuit Judges Robert Luck and Adalberto Jordan found that U.S. District Judge Steven Grimberg’s decision came too close to the election, that having Johnson and Echols remain on the commission past the end of their terms is an improper fundamental alteration of the state’s election system, and that not only did Grimberg need to issue his decision before the ballot printing deadline but far enough in advance “to allow for meaningful appellate review.”

Friday’s decision is not the 11th Circuit’s final word on Grimberg’s decision, but only a stay. Luck and Jordan clearly anticipate the plaintiffs will appeal to the nation’s highest court, writing in a short opinion that “if we are mistaken on this point, the Supreme Court can tell us.”

Circuit Judge Robin Rosenbaum dissented, saying the other judges were extending the doctrine barring changes close to an election to a whole new category of cases without “a sufficient explanation.” She said the majority is, in effect, letting the state conduct an election under a system that a judge already determined is illegally discriminatory.


Court reinstates ban on lobster gear to protect right whales
Court Watch | 2022/07/13 12:25
A federal circuit court has reinstated a ban on lobster fishing gear in a nearly 1,000-square-mile area off New England to try to protect endangered whales.

The National Marine Fisheries Service issued new regulations last year that prohibited lobster fishing with vertical buoy lines in part of the fall and winter in the area, which is in federal waters off Maine’s coast. The ruling was intended to prevent North Atlantic right whales, which number less than 340, from becoming entangled in the lines.

The U.S. District Court for the District of Maine issued a preliminary injunction to halt enforcement of the rules. The U.S. Court of Appeals for the First Circuit in Boston vacated that ruling Tuesday.

The circuit court sent the case back to the district court level, but noted in its ruling that it does not think the lobster fishing groups that sued to stop the regulations are likely to succeed because Congress has clearly instructed the fisheries service to protect the whales.

“Although this does not mean the balance will always come out on the side of an endangered marine mammal, it does leave plaintiffs beating against the tide, with no more success than they had before,” the court ruled.

The ruling was the second by a federal court in favor of right whale protection in the past week. A U.S. District judge ruled last week that the federal government hasn’t done enough to protect the whales from entanglement in lobster fishing gear, which can be lethal, and new rules are needed to protect the species from extinction.
A federal circuit court has reinstated a ban on lobster fishing gear in a nearly 1,000-square-mile area off New England to try to protect endangered whales.

The National Marine Fisheries Service issued new regulations last year that prohibited lobster fishing with vertical buoy lines in part of the fall and winter in the area, which is in federal waters off Maine’s coast. The ruling was intended to prevent North Atlantic right whales, which number less than 340, from becoming entangled in the lines.

The U.S. District Court for the District of Maine issued a preliminary injunction to halt enforcement of the rules. The U.S. Court of Appeals for the First Circuit in Boston vacated that ruling Tuesday.

The circuit court sent the case back to the district court level, but noted in its ruling that it does not think the lobster fishing groups that sued to stop the regulations are likely to succeed because Congress has clearly instructed the fisheries service to protect the whales.

“Although this does not mean the balance will always come out on the side of an endangered marine mammal, it does leave plaintiffs beating against the tide, with no more success than they had before,” the court ruled.

The ruling was the second by a federal court in favor of right whale protection in the past week. A U.S. District judge ruled last week that the federal government hasn’t done enough to protect the whales from entanglement in lobster fishing gear, which can be lethal, and new rules are needed to protect the species from extinction.


Kansas Supreme Court upholds Republican congressional map
Court Watch | 2022/05/18 12:48
Kansas’ highest court on Wednesday upheld a Republican redistricting law that makes it harder for the only Democrat in the state’s congressional delegation to win reelection in a big victory for the GOP.

The state Supreme Court declined for now to declare that overly partisan gerrymandering violates the Kansas Constitution. The ruling sets district boundaries less than a month before the state’s June 10 filing deadline for congressional candidates.

The court’s opinion was two paragraphs long, saying only that the voters and voting rights group challenging the map “have not prevailed on their claims” that the map violated the state constitution and that a full opinion would come later.

The brief decision was written by Justice Caleb Stegall, who is seen as the most conservative of the court’s seven justices, five of whom were appointed by Democratic governors. During arguments from attorneys on Monday, he questioned whether anyone could clearly define improper partisan gerrymandering.

Lawsuits over new congressional district lines have proliferated across the U.S., with Republicans looking to recapture a U.S. House majority in this year’s midterm elections. Congressional maps in at least 17 states have inspired lawsuits, according to the nonpartisan Brennan Center for Justice.

In the past, congressional district lines have been reviewed by federal judges and not the state Supreme Court. The conservative-leaning U.S. Supreme Court ruled in a 5-4 decision in 2019 that complaints about partisan gerrymandering are political issues and not for the federal courts to resolve.

The state’s Republican-appointed solicitor general argued in defending the GOP-drawn map that because the state constitution doesn’t specifically mention gerrymandering or congressional redistricting, the Kansas Supreme Court should reject the legal challenges. He and other state officials said that the justices had no guidance on how to define improper political gerrymandering.


Supreme Court Notebook: Roberts pays tribute to Breyer
Court Watch | 2022/04/27 17:18
The fertile mind of Justice Stephen Breyer has conjured a stream of hypothetical questions through the years that have, in the words of a colleague, “befuddled” lawyers and justices alike.

Breyer, 83, seemed a bit subdued as he sat through the last of more than 2,000 arguments Wednesday in which he has taken part during 28 years on the high court. His wife, Joanna, also was in the courtroom.

But at the end of the case about Oklahoma’s authority to prosecute people accused of crimes on Native American lands, an emotional Chief Justice John Roberts paid tribute to Breyer for his prowess during arguments.

“For 28 years, this has been his arena for remarks profound and moving, questions challenging and insightful, and hypotheticals downright silly,” Roberts said.

A day earlier, Breyer provided only the most recent example, inventing a prison inmate named John the Tigerman in a case involving transporting an inmate for a medical test. Breyer called him “the most dangerous prisoner they have ever discovered.”

Just since Breyer announced in late January that he was retiring, he has asked lawyers to answer questions involving spiders, muskrats and “4-foot-long cigars smoked through hookahs” — none of which, it’s fair to say, had any actual links to the cases at hand.



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