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This article was published 12 year(s) and 6 month(s) ago

Lynn taxi companies want medallions back

cstevens

February 20, 2013 by cstevens

LYNN – Two years ago Tom’s Taxi and Garcia’s Taxi were forced to give up a total of 10 taxi medallions with no compensation and now they want them back.”My guys were deprived of their property,” said attorney Samuel Vitali, who represents both taxi companies. “The real question is why didn’t they want to pay. They want to be in the taxi business but they want to do it for free.”The state Appeals Court last week reversed a 2011 Massachusetts Superior Court decision that compelled both Tom’s and Garcia’s to hand over five licenses each. The argument in 2011 was that the companies could not sit on licenses they were not using particularly in light of the fact that Union Taxi was seeking medallions but the city had none to offer.However, when the court ordered Tom’s and Garcia’s to transfer the medallions to Union, Union was not required to pay anything to the taxi companies or the city.”They probably spent $300,000 to $400,000 over the last 10 or 20 years getting their medallions that (the courts) took without due process,” he said.Vitali also noted that one of his clients had a medallion for sale at the time Union filed its lawsuit but Union Taxi did not want to pay the asking price, which was $17,500.When the ruling was handed down Union Taxi officials said they were not concerned, instead they were confident they would be allowed to keep the medallions. City Solicitor James Lamanna said it might prove true that Union Taxi will be allowed to keep the medallions but it won’t be for free.Lamanna said Vitale could petition the Superior Court to have the medallions returned or it could give the taxi company an option to purchase the medallions. Vitali said he doesn’t know what the asking price would be per license but he suspects it will be at least $17,000.According to City Clerk Mary Audley if the city had medallions available the cost would be $500 apiece up front and $100 to renew each year. But, like liquor licenses, medallions can be sold on the open market by the holder for whatever the market will bear.Lamanna said Union Taxi officials could also appeal the decision to the Supreme Judicial Court, but that would be expensive and the SJC might not take the case. The SJC tends to take cases that are novel and this one doesn’t appear to be unique but it could happen, he said.Vitale said it seemed a clear cut case that didn’t even warrant a full fledged decision.”It was dismissed,” he said.Lamanna said however it is worked out it will likely cost Union something because, “At the end of the day (Tom’s and Garcia’s) have the right to have the medallions back.”Chris Stevens can be reached at [email protected].

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