Baylake Bank Files a Claim against Village
April 18, 2007 - Baylake Bank has
filed a claim against the Village of Hobart for unlawful interference in
contractual relations between Baylake Bank and its customers John D. Schweiner,
Carol J. Schweiner, and TCGC, LLC, in relation to financing and recovery of
financing related to Thornberry Creek Golf Course. The claim is based on bad
faith of contract and denial of Civil Rights under federal statute. The claim is
for $12,500,000 money damages as well as demand that the Village of Hobart cease
and desist its unlawful activities.
T.L. Herlache, Chair/CEO of Baylake Bank stated, “We believe the Village of
Hobart has unconscionably, unethically, and illegally interfered with our
ability to recover principal, interest, and costs on the loans involved. We
fully expect to have a decision favorable to Baylake Bank at the conclusion of
this legal action. It is unfortunate that the situation has resulted in legal
action. In my memory Baylake Bank has never sued a municipality, but in our
opinion, the actions of the Village of Hobart left us with no other viable
alternative. We allege that due to their actions we have suffered financial
loss, and for now, we have not requested any punitive damages.”
