The lawsuit, filed in February by Caledonia Village (Caledonia) resident Daniel Hintz and his real estate development company, Hintz Real Estate Development Co. accuses Foxconn and the city of breaching the contract. Since 2017, the Village of Mount Pleasant in Racine County has spent millions of dollars on upfront investments, including: infrastructure and land acquisition for the project.
According to Wisconsin Public Radio, Hinds withdrew his tell last Friday, and Stuart Chanen, an attorney representing him, said, “After filing the lawsuit, the plaintiffs were exposed to some information and assistance – -that they were previously unaware of, which convinced them that now was not a good Time to intervene. The ongoing discussions (between the parties) may be beneficial to the village and the county, and filing a lawsuit at this time may be counterproductive”
Charnen said, “There is no prejudice from dropping the lawsuit, so the plaintiffs have reserved their right to refile if (Foxconn and the city) do not make progress.”
Foxconn representatives, for their part, said in a statement that they would not comment on current or past legal cases based on company policy. The statement said, “Foxconn will continue to meet its financial obligations under the Local Development Agreement and is proud to be the largest taxpayer in the Village of Mount Pleasant in Racine County.”
Meanwhile, Racine County and the Village of Mount Pleasant also issued a statement saying they are pleased that the case was resolved quickly and that both governments look forward to “continued progress and cooperation on the Wisconsin Valley Science and Technology Park.
Racine County and the Village of Mount Pleasant created a tax-increment financing district for the development in 2017 to pay for a $764 million investment to support the Foxconn project. That public investment was later increased all the way to $911 million.
The state’s Republican leaders also signed a $3 billion tax credit agreement with Foxconn to create jobs.
Foxconn representatives said they are optimistic about the progress of the original contract amendment with the state.
“In response to unforeseen market conditions three years ago, Foxconn formally entered into a partnership with WEDC (Wisconsin Economic Development Corporation) in August 2020, hoping to reduce taxpayer liability in exchange for the flexibility to incentivize future business growth and job creation in Wisconsin.” Foxconn said in a Feb. 24 statement.
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