Beachwood City School District has appealed a February decision in Cuyahoga County Court of Appeals in which Judge Nancy Russo ruled in favor of Warrensville Heights City School District.
Russo granted a summary judgment on Feb. 6, and Beachwood filed an appeal on Feb. 28.
The lawsuit pertained to tax sharing regarding Chagrin Highlands. The 405-acre tract was annexed to the city of Beachwood but is located in the Warrensville Heights City School District.
The appeal was filed by Daniel McIntyre of Brindza, McIntyre & Seed LLP of Cleveland in the Eighth District Court of Appeals.
In it, the Beachwood Distraict alleged, “The trial court erred” in granting summary judgment to Warrensville Heights City School District.
The Beachwood City School District filed a complaint Aug. 14, 2018, alleging that Warrensville breached a contract that would have shared revenue at the Chagrin Highlands properties in a 70 percent to 30 percent split, with Warrensville Heights schools receiving the larger amount. Beachwood schools claimed it was owed $5 million in the revenue sharing agreement, which was supposed to start once the commercial properties at Chagrin Highlands reached an aggregate market value of $22,258,310.
Warrensville had earlier filed a counterclaim and added a request, in the event the Beachwood school district prevails, that Judge Nancy M. Russo direct “Beachwood to comply with Beachwood’s obligations to Warrensville Heights under the mandatory language regarding joint educational programs.”
In the lawsuit, Beachwood sought punitive damages in the case and also alleged fraud.
The Warrensville Heights City School District released a statement regarding the appeal that reads, ""The Warrensville Heights City School District will continue to use all legal avenues to defend this case, protect its resources and oppose educational disparities."
Citing litigation, Robert P. Hardis, superintendent of Beachwood Schools, said he could not comment on the case.