Date: 07-31-2010

Case Style: Corey Airport Services v. City of Atlanta, Clear Channel and Barbara Fouch

Case Number: 1:04-cv-03243-CAP

Judge: Charles A. Pannell, Jr.

Court: United States District Court for the Northern District of Georgia (Fulton County)

Plaintiff's Attorney: Mairen Kelly, Mathew Simpson, Fisher & Phillips, Atlanta, Georgia

Jeff Harris and Darren Penn, Harris, Penn & Lowry, L.L.P., Atlanta, Georgia

Defendant's Attorney: Cari DawsonErica Fenby, Mike Kenny, Ryan Lewis, Wade Walker Pearson, Chris Riley, John Sensing, Alston & Bird, L.L.P., Atlanta, Georgia


Mary Bates, John Harbin, Christine Hopkinson, Ray Persons, King & Spalding, L.L.P., Atlanta, Georgia and Damon Whitaker, Bryan Cave, L.L.P., Atlanta, Georgia for Clear Channel Airports of Georgia, Inc.


Julius Lunsford, Jud Simmons, Ed Wasmuth, Smith Gambrell & Russell, Atlanta, Georgia for Barbara Fouch

Description: Corey Airport Services sued the City of Atlanta, Clear Channel and Barbara Fouch on civil conspiracy theories claiming that defendant conspired to deprive Corey of its equal protection rights while bidding for the advertising contract at Hartsfield-Jackson Atlanta International Airport in 2002.

The case, which was filed in 2004, concerned how the City of Atlanta procures contracts for advertising at the world's busiest airport. Clear Channel and Fouch were first awarded the contract in 1980. Until 1997, the contract stipulated that the City receive 50% of airport advertising revenues. The contract expired, but Clear Channel and Fouch maintained the advertising concession on a month-to-month basis from that point forward. Until 2007, they were paying the 1980 rental rate of 50% of revenue.

Plaintiff claimed that corrupt conduct on the part of the defendants:

* The advertising concession was maintained by Clear Channel and Fouch in a "holdover" agreement, ensuring they retained the City's lucrative contract, barring other contenders from bidding, while not paying the full rental fees stipulated in the holdover agreement. The reduced payment resulted in a $15.6 million loss of revenue for the City – money the City never attempted to collect.

* The percentage of rental revenue promised by Corey, if awarded the 2002 contract, was significantly higher than Clear Channel and would have netted more income for the City, yet the concession was awarded to Clear Channel and Fouch.

* Hand-written notes were produced during trial proving Clear Channel and Fouch had access to the numbers submitted by Corey, allowing them the opportunity to adjust their bid accordingly.

* In a taped deposition, former airport general manager Angela Gittens testified that Mayor Bill Campbell instructed her not to bid the airport advertising contract because he didn't want to hurt his "friend," Barbara Fouch.

* Evidence showed that Fouch maintained an airport contract slush fund used to influence City elected officials and decision-makers during the procurement process.

Outcome: Plaintiff's verdict for $8.5 million in compensatory damage against all defendants and $8.5 million in punitive damages against Clear Channel and $500,000 in punitive damages against Fouch. Total Verdict: $17.5 million.

Plaintiff's Experts: Brett Katzman; Jerry Humphries

Defendant's Experts: Chelton Tanger

Comments: Corey (plaintiff's) attorney of record and handling all aspects of this case since inception in 2004, and through trial has been Mairen C. Kelly of Fisher and Phillips LLP in Atlanta GA. In order to assemble evidence and get Corey's case to this recent trial, Ms. Kelly handled years of discovery, including scores of fact and expert depositions. She prevailed over multiple Motions to Dismiss, Motions to Strike Experts, and Motions to Compel defendant's production of evidence. Plaintiff defeated approximately 12 Motions for Summary Judgment filed by the City, Clear Channel and Individual Defendants. Plaintiff, represented by Ms. Kelly also obtained favorable rulings on a host of Motions on Limini allowing evidence crucial to proving the Corey case.