Thursday, February 29, 2024–12:23 p.m.
-Adam Carey, Rome News-Tribune-
This story is possible because of a news-sharing agreement with the Rome News-Tribune. More information can be found at northwestgeorgianews.com.
A federal judge recommended mediation for a case filed by Bordeau Metals against Floyd County.
Bordeau is suing the Development Authority of Floyd County as well as a separate entity, the Rome-Floyd County Development Authority, along with Floyd County and Floyd County Manager Jamie McCord. Each of those entities are seeking to have the lawsuit dismissed and presented arguments to the judge Tuesday.
U.S. District Judge William M. Ray II told both sides that a mediator would be in their best interests during the hearing Tuesday in U.S. District Court in Rome.
Judge Ray did not issue any rulings, but suggested that Bordeau appears to have grounds to seek damages in the case. However, he commented that the $25 million figure Bordeau is seeking appears to be excessive.
The judge suggested damages wouldn’t be in the millions of dollars, more likely close to the value of the land which was purchased by Bordeau from the Development Authority of Floyd County for $459,153.35.
“I like to see lawyers get paid, as I was formerly a lawyer,” Ray said. “However, it seems like only the lawyers are going to win by going to trial.”
He said a jury trial would certainly have residents of Floyd County on it, indicating that his courtroom was filled with residents of The Trail who were watching attentively.
“And as much as politics aren’t supposed to enter into federal lawsuits,” Judge Ray said, “sometimes they do.”
History of the case
Bordeau purchased the land in order to process metal from the decommissioning of Plant Hammond for recycling. The lawsuit claims the defendants conspired to cancel that contract because of noise complaints filed by residents of the Trail, a nearby neighborhood.
According to Bordeau’s lawsuit against the county, problems continued until Georgia Power instructed the project’s lead contractor, Brandenburg, to stop sending materials to Bordeau on Feb. 3, 2023, effectively terminating Bordeau’s contract. That cancellation, Bordeau argues, cost them millions.
However, an attorney representing the Development Authority of Floyd County, Lee Niedrach, said Brandenburg simply exercised a stop clause in the contract, and paid Bordeau $400,000 to stop work. By accepting the $400,000, Bordeau was not allowed to sue Brandenburg or Georgia Power, Niedrach contends.
Since the cancellation of that contract, Bordeau has begun to process scrap metal from other sites, potentially violating the land purchase agreement.
The arguments concern one of two lawsuits involving Bordeau in U.S. District Court in Rome.
The second lawsuit, moved from Floyd County Superior Court in January, was filed by a nearby neighborhood claiming that the noise created by the company has made it impossible to live in their homes. They are seeking $25 million in damages.