April 5, 2012

Firm Client New Jersey Devils Prevail in Prudential Center Dispute

A ruling by an arbitration panel on April 3rd resulted in a significant victory by Genova Burns on behalf of their client the New Jersey Devils in a long standing dispute over the Prudential arena. The Devils said in a statement, “Now, for the first time, we can put this matter behind us and work closely with the city and housing authority in ensuring Newark and the Rock succeed beyond all expectations.” The arbitrators awarded the Devils $15.3 million in unpaid parking revenue, capital costs and excess taxes. This was off-set by the award to the city, with the Newark Housing Authority acting as the arena developer, which was awarded roughly $14.7 million in back rent, relocation expenses and fines. According to the decision, both sides are bound to  the decision for the remainder of the 30-year lease. Consequently, the Devils are also entitled to a $2.7 million dollar annual credit relative to parking revenue for the unexpired term of the lease, a period of 26 years. The matter was handled by Angelo J. Genova, Esq. as lead counsel; the litigation team included Partner Kathleen Barnett Einhorn, Counsel Jennifer Borek and Keith Krauss; and Associates Lawrence Bluestone, Rajiv Parikh, and Robert Ferguson, Esqs.