The city of Topeka lost a skirmish in a long-fought battle with the former owner of Heartland Park after the Kansas Court of Appeals on Friday overturned a district court decision.
Jayhawk Racing and Heartland Park Raceway LLC sued the city in 2016 for breach of contract, asking the courts for $4 million in damages and to find that the city failed to live up to promises it made in a memorandum of understanding to buy the racetrack.
That case has wound throughout the court system, with Shawnee County District Judge Teresa Watson finding in 2016 that a city couldn’t contract away its powers of governance. She dismissed the case, hinging her decision on whether the city breached its contract with Jayhawk Racing when the city council voted May 5, 2015, not to issue $5.5 million in sales tax revenue, or STAR, bonds. But, agreeing with arguments made by Jayhawk attorney Wesley Weathers, the appeals court said the purpose of the original contract was to purchase an interest in real estate.
(Read more: News – The Topeka Capital-Journal)