Wednesday, July 2, 2014

Bloomberg: "Princeton Agrees to Pay Town More Than $24 Million Over Seven Years"

PrincetonWe previously blogged (here and here) about the lawsuit Princeton, New Jersey residents filed in 2013 against Princeton University, arguing that the University no longer qualified for exemption from property taxes because of its hundreds of millions of dollars in revenues from royalties and commercial ventures.  We missed, however, the latest major development in this dispute, which was reported by Bloomberg.  In late April of this year, the University announced that it had entered into an agreement with the town to  pay more than $24 million, mostly in unrestricted payments, to the town on a voluntary, one-time basis over the next seven years.  The amount is a significant increase over the amounts Princeton had been paying the town voluntarily.  

The agreements appears designed to undermine the pending lawsuit, and it apparently surprised the residents who brought the claim and their attorney based on comments in the Bloomberg article.  I am not familiar enough with the lawsuit, the agreement, or New Jersey law to know if the agreement effecctively moots the lawsuit or otherwise provides grounds for a motion to dismiss by the Unviersity, but I assume that the University's lawyers will eventually argue something along these lines.

Lloyd Mayer

http://lawprofessors.typepad.com/nonprofit/2014/07/bloomberg-princeton-agrees-to-pay-town-more-than-24-million-over-seven-years-.html

In the News, State – Judicial | Permalink

TrackBack URL for this entry:

http://www.typepad.com/services/trackback/6a00d8341bfae553ef01a73de4ce46970d

Listed below are links to weblogs that reference Bloomberg: "Princeton Agrees to Pay Town More Than $24 Million Over Seven Years" :

Comments

Post a comment