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Gibson/Oberlin Update

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Yesterday, we reviewed the ramifications of Oberlin College’s courthouse loss to Gibson Bakery, to the tune of some $36 million. With which, it appears, Oberlin is loathe to part.


So during the appeals process, the clock continues to tick on the award, to the tune of $4,000 a day.


As we noted, this could very easily lead the college to an even more dire financial situation, and the Gibson’s are (also understandably) concerned about there being anything left to collect.

In such cases, one is required to post a bond to ‘insure’ against that eventuality, but Oberlin officials requested to be relieved of that burden.

Turns out, Judge Judge John Miraldi was having none of that:

After considering the Parties respective briefs, the attached exhibits, and applicable precedent the Court hereby orders that the judgment is stayed, as of the date of this entry, subject to the following conditions … Within seven (7) days, Defendants shall post a bond in the amount of $36,367,711.56.”

Failure to comply would trigger the required payment of the total award.

Of course now comes the ‘fun’ part: actually securing said bond. As we noted yesterday, this will likely require Oberlin to put some (all?) of its endowment, and perhaps other physical assets, “on the line.”

One almost feels sorry for its erstwhile students.

Original content copyright © InsureBlog


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