Cary Ichter Leads Team in over $300 Million in Bond Validations

Since November 2, 2010, when the Georgia Supreme Court issued its decision in the Sherman v. Fulton County Board of Tax Assessors, and Sherman and like-minded opponents declared victory in their efforts to stop bond validations in sale leaseback transactions in Fulton County, the Development Authority of Fulton County has advocated bond validations before the Superior Court of Fulton County on six (6) occasions.  On each of those occasions the Development Authority has prevailed, and on each occasion the bonds have been validated.  Also, on each occasion, Cary Ichter of Ichter Thomas, LLC has been lead litigation counsel. 

In spite of vigorous opposition, the opponents of validation have not prevailed in any contested validation proceedings since the Sherman decision was issued.  In that time, the Superior Court of Fulton County has approved bond transaction in the aggregate valued in excess of $300 million.

“The position of the Development Authority and the various parties to these bond transactions has been consistent since the issuance of the Sherman decision,” according to Cary Ichter.  “The structure of the transactions we have advocated introduces tax efficiencies that naturally flow from the selected structure.  The taxable leasehold is valued for ad valorem tax purposes based upon the fair market value of the leasehold interest, and all or nearly all of that value resides in the reversion at the end of the lease term.  Therefore, a valuation of the leasehold interest based upon the net present value of the reversionary interest is entirely appropriate and legal.”

Mr. Ichter concluded, “During these difficult economic times, we are particularly gratified to be assisting the Development Authority in bringing jobs and economic development to Fulton County.  It is good to know that your work is helping others who might otherwise be struggling.” 

For more information regarding Ichter Thomas, LLC, the work the firm does in the area of bond validation litigation, representation of municipal governments, or the firm’s general commercial litigation practice, call Cary Ichter at Ichter Thomas, LLC. If Cary is not available, please speak to Jim Thomas or Renee Huskey. You can also reach Cary by email at cichter@ichterthomas.com.

Tagged as: bond validations, bonds, governments, litigation, municipal