As of Valentine’s Day, the legal battles between the Bella Vino owner and the City of Morganton are over.
City Manager Sally Sandy and City Attorney Keith Rigsbee walked into a City Hall conference room with bright smiles, warmly offering Valentine’s Day greetings. As she settled at the table, Sandy said it was the best Friday it had been in a while.
On the morning of Friday, Feb. 14, City officials announced the conclusion of the pending litigation with owner Emmanuel Manolakas.
Earlier last week on Tuesday, Feb. 11, documents were filed at the Burke County Courthouse Clerk of Superior Court that concluded both the lawsuits against five City officials and the previous Bella Vino verdict.
Negotiated by the N.C. League of Municipalities and hired outside counsel, owner Manolakas and the City of Morganton reached a settlement agreement. The league is the City’s insurance provider and handled the negotiated settlement’s financial terms.
This means the lawsuits against Morganton City Manager Sally Sandy, former City Attorney Louis Vinay, Mayor Pro Tem Wendy Cato, CoMMA Director of Cultural and Creative Development Sharon Jablonski, and Morganton Councilman Chris Hawkins are dismissed.
Additionally, the City is dismissing their appeal since the $705,000 plus judgment has been satisfied through the settlement and the pending litigation has been concluded.
After a two-week jury trial, a verdict was reached stating that the City had breached the 2018 lease agreement with Manolakas and that he was entitled to the judgment.
As a result, the City (paid through their insurance) has made two settlement payments of $550,000, for a total of $1.1 million. One was paid on Dec. 30, 2024, and the other was paid on Friday, Jan. 31, which was five days after Manolakas vacated the 112 W. Union building.
To receive the second payment, Manolakas had to vacate the premises. The lease has been terminated and the City-owned building is back in their hands.
Sandy said it would be up to the council on the next steps for the building. They can either sell the property or enter into a rent agreement.
“I don’t think the City’s intentions are different … the building is an economic driver in downtown,” Sandy said.
Saydie Bean is the municipal and courts reporter. She may be reached at 828-445-8595, ext. 2011, orsaydie@thepaper.media.
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Keep it Clean. Please avoid obscene, vulgar, lewd, racist or sexually-oriented language.
PLEASE TURN OFF YOUR CAPS LOCK.
Don't Threaten. Threats of harming another person will not be tolerated.
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Share with Us. We'd love to hear eyewitness accounts, the history behind an article.