Published: Thursday, Jun. 25, 2009
Former owner of Atascadero Unocal gas station sues Caltrans over Hwy. 41-101 project
He says he wasn’t properly compensated when Caltrans took his El Camino Real land for the Highway 101-41 interchange project
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closeA former Atascadero business owner is suing the state alleging that he was not paid money he was due for closing his business to make way for construction.
Richard Minkel, who owned the Unocal gas station and Circle K on El Camino Real, filed a civil lawsuit against the state Department of Transportation on May 1 accusing it of not paying him required compensation, according to the lawsuit.
Minkel claims that on May 6, 2006, Caltrans took over his property as part of a $32 million Highway 101-41 interchange construction project without properly compensating him, without authority by a court order and without complying with state eminent domain laws, according to the lawsuit. He also argued that the state forced his business to close six months earlier than other businesses affected by the same project.
The new bridge and onramp structure are expected to ease congestion at what is now a maze of converging lanes and abrupt traffic lights. The gas station is one of three businesses that closed for the expansion.
Minkel said in the complaint that he would have continued operating the businesses for another 13 years had the state not forced him to close for construction, and as a result has lost a $222,000 investment, more than $60,000 in income and profit and $43,000 in inventory.
Caltrans has paid some money for the loss of business goodwill, but it has refused to pay for additional alleged damages and has offered $52,000 for business equipment, according to the lawsuit.
Caltrans spokesman Jim Shivers said in a statement Wednesday that Minkel “has received a settlement from Caltrans for the loss of business which he would have sustained. This settlement was made in good faith on our part.”
“We have offered additional compensation for the equipment which was located inside his business,” Shivers said in the statement. “He has not yet responded to this offer.”
Neither Minkel nor his attorney returned repeated phone calls.
The case is expected to return to court Sept. 8, court officials said.
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