Davis V Fresno: Appellate Court Decision on the Lease-Leaseback Provisions of the Education Code

On June 1, 2015, the Fifth Appellate District Court of the State of California published its decision in Davis v Fresno, a case wherein the plaintiff challenged the use of the lease-leaseback contract that the Fresno Unified School District had awarded to Harris Construction for the construction of a middle school.

The plaintiff, Davis, had alleged that the District failed to competitively bid the project and had entered into a lease-leaseback arrangement with the contractor that was not a true leaseback and did not satisfy the exception to the public bidding process that is provided in Education Code 17406.

Davis challenged also that the District board had breached its fiduciary responsibility by entering into an arrangement to accomplish the project and that the contractor had a conflict of interest that rendered the lease-leaseback agreement void.

Read the full article here: http://cashfacilitiesnews.org/summary-and-briefing-davis-v-fresno-appellate-court-decision-on-the-lease-leaseback-provisions-of-the-education-code/