Derby Appeals $2.7 Million Judgment

The City of Derby is appealing a federal judge’s order to pay nearly $3 million for discriminating against people with disabilities.

The city’s appeals — there are four in all — do not necessarily challenge the heart of U.S. District Judge Tucker Melancon’s 71-page written decision against Derby, issued last year.

Instead, the appeal takes issue with the way the court calculated the multimillion-dollar judgment against the city.

Background

The city’s appeal is the latest in a seemingly endless series of legal battles between Derby and a number of non-profit agencies that teamed up to renovate several apartment houses in downtown Derby. The companies include Valley Housing Limited Partnership and Home Development, Inc.

The apartments are rented to people recovering from mental health and/or substance abuse problems.

The non-profits filed lawsuits against Derby in 2006, claiming that former Mayor Marc Garofalo, former Alderman Sam Rizzitelli and building official David Kopjanski threw a series of hurdles in front of the project because Derby officials did not want that type of housing downtown.

The lawsuit was filed under the federal Fair Housing Act.

FILE PHOTODerby officials denied the accusations. The apartments have since been completed and are occupied, but the non-profits sued Derby in federal court for housing discrimination. The non-profits claimed Derby’s delays hurt the non-profits financially.

A bench trial in the case that took place in federal court in Bridgeport stretched from 2010 into 2011.

Some 20 witnesses were called, including Garofalo, Rizzitelli and Kopjanski. In his written ruling, Judge Melancon said he did not find the Derby trio’s testimony credible.

Discrimination was not only a significant factor in Derby’s dealings (and decisions). Discrimination was the sole reason for Derby’s actions,” the judge ruled.

Damages Balloon

In August 2011, Derby was ordered to pay $750,000.

However, that number has mushroomed to $2,789,613.42.

The judge issued an amended judgement July 9 that included attorney’s fees for the non-profits ($918,620.17) and $1.1 million in interest dating back to 2006.

Joseph Coppola, the city’s corporation counsel, said in an e‑mail that Derby has insurance to cover any pay out. Coppola did not represent Derby during the trial and is not representing the city on the appeal.

Thomas Gerarde, the lawyer who filed the appeal on Derby’s behalf, was not available for comment Tuesday.

In his appeal, Gerarde indicates the damage dollar amount is too high. He asks the U.S. Court of Appeals for the Second Circuit to examine the judge’s calculation of damages, including attorney’s fees and interest. The city’s appeal is posted at the bottom of this article.

Reaction

In a phone interview with the Valley Indy Tuesday, Amy Eppler-Epstein and Shelly White, attorneys with New Haven Legal Assistance Association who represented the non-profits in the lawsuit, said the city’s appeal will only end up costing more money.

The housing agencies attempted to settle the case within the first two years of the lawsuit, but Derby rejected the offer. Since Derby proceeded to lose the case, the plaintiffs are owed back interest to the tune of $1 million, Eppler-Epstein said.

Eppler-Epstein said the city hasn’t talked to her about the appeal.

Sometimes people file an appeal and then say OK, let’s talk instead of spending another year in court.’ But that has not happened here,” Eppler-Epstein said.

White said Derby has a history of filing legal motions that caused the lawsuit to drag on, resulting in a larger monetary judgement for the non-profits.

The attorney fees owed to us are sizable because this went on for so long,” Eppler-Epstein said.

Eppler-Epstein and White have filed legal briefs in connection to Derby’s appeal. No court dates have been scheduled.

Derby’s appeal is posted below:

Derby Appeal

Support The Valley Indy by making a donation during The Great Give on May 1 and May 2, 2024. Visit Donate.ValleyIndy.org.

Watch The Valley Indy Great Give Livestream at Facebook.com/ValleyIndependentSentinel.