Two former Rio Nuevo board members won’t have to dig into their own pockets, even if a judge rules against them in a lawsuit filed by the developer of a now-defunct downtown hotel project, Arizona Daily Star reports. The current Rio Nuevo Board voted to indemnify Jodi Bain and Jonathan Paton Friday, meaning the district will cover the costs if Garfield Traub is successful in its defamation suit against the two. The board also voted to indemnify all current and former board members dating to March 2010 as well.
(Paton was defeated Tuesday in a bid for Congress.)
Garfield Traub sued the district for breach of contract and wrongful termination for canceling a contract that the district claimed was overly expensive for a design project in July 2011.
As for the status of the lawsuit, Rio Nuevo attorney Mark Collins said there are pending motions to dismiss Garfield Traub’s claims.
At least one lawsuit is now behind the district.
Recently, a Superior Court judge ruled in favor of the district’s motion to dismiss a lawsuit filed by taxpayer advocate John Kromko.
