Business owner suing commissioner

Milwaukie developer claims defamation over e-mail Jim Bernard sent

By Matthew Graham

The Clackamas Review, Dec 1, 2009

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A Milwaukie business owner and downtown developer has filed a defamation lawsuit against former Milwaukie mayor and current County Commissioner Jim Bernard, claiming that remarks Bernard made caused him emotional distress and caused him to lose business.

Ed Parecki owns the Spring Creek Coffee House at 10600 SE McLoughlin Blvd. and last year redeveloped the old bank building at Main and Monroe streets. He fought the city over fees it charges developers, requiring them to pay for things such as sidewalk improvements or to install benches in front of their properties.

In the lawsuit, Parecki claims that Bernard called him a “liar” in a March 31 e-mail that was sent to Ed Zumwalt, a long-time and active city resident, and copied to numerous city officials including neighborhood association chairs, the city manager and the city finance director.

Parecki claims the message, which he called “libelous” in his suit, has caused him to be the subject of “ridicule and diminished the esteem, respect, goodwill and confidence” in him to the recipients of the e-mail. He also claims it has cost him potential tenants – the Main Monroe building has sat vacant since its makeover.

Bernard declined to comment on the suit.

“I’m not supposed to talk to anybody about it,” he said. “My lawyers are working on it.”

Parecki and his attorney, Andrew Teitelman, also declined to comment on the suit.

Parecki is seeking $100,000 in damages, claiming the loss of a tenant cost him $25,000; the rest is for “non-economic damages” related to “emotional distress” allegedly caused by the e-mail.