This week the Borgata Hotel & Casino won another court ruling against its host city Atlantic City, as a judge ruled that the city failed to uphold an agreement to pay the casino $88.2 million in overpaid property taxes.
Despite the ruling, Judge Julio Mendez ordered the casino and city to continue negotiating to find a resolution as to how the overpayment will be remitted, as Atlantic City has said outright paying the due bill would force them into bankruptcy. Judge Mendez is also overseeing a separate case between the two parties in which Atlantic City owes the Borgata $62 million in tax overage payments. In his ruling, Mendez said that Atlantic City can stop making $150,000 in monthly payments which were being put toward the debt.
The ruling by the court will put off any bankruptcy decision that the city is staring at, as they also are being compelled by the US government to issue a payment toward their education system in order to pay teachers and administrative costs.
In his ruling Mendez wrote, "The parties have been and continue to be open to negotiations for a global resolution of all the tax years."
Casino Listings will update this story as more developments arise.