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Lowe v. City of Hot Springs

Supreme Court of South Dakota

January 28, 2015

NICK J. LOWE, and CROELL REDI-MIX, Inc., an Iowa corporation, Plaintiffs and Appellants,
v.
CITY OF HOT SPRINGS, a South Dakota municipal corporation and PETE LIEN & SONS, INC., a South Dakota corporation, Defendants and Appellees

Considered on Briefs: January 12, 2015.

As Corrected April 20, 2015.

APPEAL FROM THE CIRCUIT COURT OF THE SEVENTH JUDICIAL CIRCUIT FALL RIVER COUNTY, SOUTH DAKOTA. THE HONORABLE ROBERT A. MANDEL Judge.

Affirmed.

THOMAS E. BRADY of Brady & Pluimer, PC, Spearfish, South Dakota, Attorneys for plaintiffs and appellants.

DONALD P. KNUDSEN of Gunderson, Palmer, Nelson & Ashmore, LLP, Rapid City, South Dakota, Attorneys for defendant and appellee City of Hot Springs.

LARRY M. VON WALD, JESSICA L. LARSON of Beardsley, Jensen & Von Wald, LLC, Rapid City, South Dakota, Attorneys for defendant and appellees Pete Lien & Sons, Inc.

ZINTER, Justice. GILBERTSON, Chief Justice, and SEVERSON and WILBUR, Justices, and KONENKAMP, Retired Justice, concur. KERN, Justice, not having been a member of the Court at the time this action was assigned to the Court, did not participate.

OPINION

Page 613

ZINTER, Justice

[ΒΆ1] The City of Hot Springs (the City) requested proposals from private entities interested in using real property that belonged to the City. Pete Lien & Sons, Inc. (Lien) and Croell Redi-Mix (Croell) both submitted proposals to lease the property on various terms and conditions. Lien's proposal was accepted, and a final agreement was negotiated. Croell subsequently sued to require the City to reject all proposals and restart the process. Croell contended that the City failed to adhere to the statutory requirements that municipalities must follow in contracting for the procurement of services. Lien and the City contended that service procurement statutes did not apply because the City was leasing its real property. The

Page 614

circuit court granted summary judgment to Lien and the City, and Croell ...


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