Land Dispute Forces City into Bankruptcy

A $15 Million legal bill forced a Kentucky city to file for bankruptcy.

How did this happen? A suburb of Louisville had a land dispute with a trucking school that spent years in court.

What was the legal dispute? Land use. The trucking school had been leasing land from the city with an option to buy. The city never allowed the school to buy the land. The trucking school had business losses as a result and the court agreed, ruling in favor of the trucking school.

What judgment was levied against the city?  $15 million, including interest it grew by  $3,759.54 a day.

Wallstreet Journal | How a $15 Million Legal Bill Put a Kentucky Town in Bankruptcy