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Thursday, May 15, 2008
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Golf deal done to avoid court
(Published May 07, 2008)

A second "final lease termination" agreement signed in March by the city and Double Eagle Golf was a compromise to avoid costly litigation, Tega Cay's attorney says.

Double Eagle was hired to run the Tega Cay golf course and club house, but the city ended its lease last July after questions arose about how the company was keeping its books. Another firm now manages the facilities.

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The new agreement includes an extra $20,000 the city pays to Double Eagle, on top of the original $200,000 the city paid to the former course manager.

While not allowed to discuss in detail the issues that led up to the second agreement, or the particulars of the agreement itself, Tega Cay City Attorney Jim Sheedy said the agreement came out of about four months of discussions that began in December.

"Both parties negotiated through a difficult and long list of issues to a resolution that is not completely to anyone's satisfaction, but that's the definition of compromise," Sheedy said.

Double Eagle's attorney Melvin Roberts said he was "unable to discuss the agreement because of the contract between the parties."

Neither attorney could provide specifics because Double Eagle and the city agreed to a gag order.

The final agreement includes a clause that prohibits discussing it "with members of the media or general public."

Problems arose with the original lease termination agreement in December, Sheedy said.

In the original deal, the city agreed to pay Double Eagle $200,000 and provide the company's owner and his wife with free, lifetime use of the course and golf carts.

Initial attempts to resolve the disputes were unsuccessful, and both parties were left with the option of forging a new agreement or going to court.

They chose not to litigate.

"This dispute is factually intensive, requiring the review of a lot of documents, requiring a lot of witness testimony, and would cost a lot of money to litigate through to a jury," Sheedy said.

"The amount [of money] in controversy is not large enough to warrant that kind of legal spending. The City of Tega Cay is much better off devoting resources, including legal fees, to other matters."

Sheedy said the new agreement was discussed in at least two city council meetings, the March 25 meeting and at least one other meeting prior to that. But a discussion of the Double Eagle agreement was not listed on any of the meeting agendas sent out by city staff in advance of each council meeting, including the special called meeting on March 25.

The March 25 agenda does include two items for discussion in a closed-door session, but neither is the agreement. Most of the other agendas list an executive session before adjourning, but state it will only be included if items are requested for discussion behind closed doors during the meeting.

Bill Rogers, executive director of the S.C. Press Association, said he had never heard of a city contract that included a gag order, but he declined to comment on the agreement further until after the association's attorney reviews the document.

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