Coyote Aviation suit is clear for April trial

The suit alleging the City of Redlands illegally seized ownership of Coyote Aviation's hangars at the Redlands Municipal Airport is one step closer to trial.

The case could not be ruled in either party's favor before trial, San Bernardino Superior Judge Nicole Quintana Winter decided March 3. Both Coyote and Redlands had asked Winter to decide the case in their favor. Winter threw out Coyote's claim that Redlands intentionally inflicted emotional distress, but otherwise kept the case intact.

Coyote's attorney, Ricky Shah of Pacheco and Neach, spoke to roughly 60 Coyote Aviation supporters following Winters' hearing.

"We're still in the game. We're strong in the game. The city tried to argue on technical grounds...all the ways you can't sue a city. The judge disagreed," Shah said.

The litigants have the opportunity to negotiate a settlement before trial begins April 1.

The company has already been evicted from the Redlands Municipal Airport, and lost a prior case alleging breach of contract regarding the ground lease. In this case, Coyote claims the city illegally seized control of the 16 hangars which the company built. The hangar complex is valued at $3 million. The city has continued renting out the hangars, and has modified them.

The terms of the lease between the city and the company say that when Coyote Aviation would leave the airport, it would remove all improvements. Redlands claimed that, since the hangars were not demolished, Coyote forfeited ownership.

Coyote did attempt to demolish the hangars—but Redlands would not approve the demolition permit.

According to attorney Jessica Lomakin, who represented the city at the March 3 hearing, the city did not approve Coyote's permit because the city did not recognize Coyote as the property owner. Redlands recognized Redlands to be the owner.

"So the city denied the permit because the city didn't sign it?" Winter asked. "Why did the city, when it had the permit, not the permit?"

Lomakin said that the city had concerns about the legal rights of the sub-tenants who rented the individual hangars. They had concerns that Coyote had improperly sold the hangars to some of them. The city did not want to accidentally infringe on those ownership rights, and open the city up to liability, she said.

On June 26, 2023, City Planner Brian Foote asked city staffer Adriana Lawson to sign the permit request. That same day, Facilities and Community Services Department Assistant Director Tabitha Crocker told Foote to "hold on to the application until the City Attorney has completed a review." It also said the application was incomplete because the property owner did not sign it.

A letter sent July 20, 2023, from Foote to Coyote Aviation, said the permit was denied because it was not signed by a member of the Facilities and Community Services Department. Coyote Aviation owner Gil Brown asked twice that following week to get it signed by former Airport Supervisor Adarian Lawson. Lawson said he was unable to sign it. On July 26, 2023, Brown emailed Crocker, asking when she could sign it.

Assistant City Manager Christopher Boatman replied that, per the City Attorney, they were waiting for a judgment in one of the prior cases between the city and the company.

"We are still waiting for a judgment to be signed by the court, which should clarify the status of the building. Until that time we cannot determine how to proceed with your request," Boatman wrote.