City of Owen to get land back from J&L Bohl Properties

By Cindy Cardinal
Posted 1/7/25

The Owen Common Council held a special meeting on Monday, December 30 to deal with two issues. The first was for the liquor license that was Skunky’s and now belongs to Skunk Hollow. …

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City of Owen to get land back from J&L Bohl Properties

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The Owen Common Council held a special meeting on Monday, December 30 to deal with two issues. The first was for the liquor license that was Skunky’s and now belongs to Skunk Hollow. Alderperson Jason Thornton asked if Skunky’s owner Laken Potocnik really needed to relinquish her license. He quoted from the state statutes 125.04 (12)(b)4 in regard to transfer to a successor owner or assignee, which says “If the business is sold or assigned, the license may be transferred to the successor owner or assignee at no charge if they meet certain requirements. This portion of the statutes refers to person to person transfers in the event of death, bankruptcy or assignment for the benefit of creditors, or disability. Mayor Scott Jalling said that if Potocnik relinquished her license, her lessee Rebecca Swiggum would be required to pay the entire fee for the license. Alderperson Ken Martine suggested moving forward without Potocnik relinquishing her license and no charge until the city got a legal opinion. Jalling and City Clerk Tracy Rau had spoken to the city attorney by phone earlier in the day and been told it was a new business and a new license, therefore required payment of the fee. City Attorney Harold Wolfgram was reached and put on speakerphone to answer questions. Potocnik had requested some stipulations that the attorney said the city couldn’t do, namely guaranteeing that if Swiggum defaulted on her lease, that the license would revert to Potocnik. He said that Potocnik could conditionally surrender the license specifying who the new license would go to. Potocnik said she would still own the building and that if Swiggum were to default on the lease, that without the liquor license the building, which had been a bar since 1905, would have no value. Wolfgram said the city can’t be bound by a private transaction. He said that Swiggum could operate the business under Potocnik’s name or Potocnik could surrender her license. Martine asked if at the end of the year lease that Swiggum decided not to purchase the bar, could she conditionally surrender the license back to Potocnik. Wolfgram said it would be possible to do the process in reverse but it isn’t legally binding in advance, that this council couldn’t bind a future council. The council voted to approve Potocnik’s conditional relinquishment of her liquor license. The council then voted to issue a liquor license to Rebecca Swiggum after she paid the liquor license fee. Thornton abstained. Potocnik was to hold her license until December 31, so she could be open on New Years Eve and Swiggum’s license would take effect on January 1.

The Council then went into closed session for about 15 minutes, with attorney Wolfgram remaining on the phone. The purpose was to discuss litigation related to the Business Park. When they came into open, a motion was approved to approve the settlement of the pending lawsuit with J&L Bohl Properties, LLC, to authorize the city attorney to finalize the settlement along with necessary documents, and to authorize the city attorney and city staff to sign the papers on behalf of the city to execute any documents necessary to transfer the property back to the city.

Attorney Wolfgram signed the Stipulation for Dismissal on December 31, 2024 and Jim Bohl signed it on January 2, 2025. This agreement stipulates that J&L Bohl Properties, LLC warrants and represents that the property is free of liens, etc., that Bohl will give the city a warranty deed transferring the property in the Business Park back to the city (which he has done), the city will dismiss its lawsuit, the Development Agreement from November 2021 is terminated, no hearing is required for dismissal, and that both parties waive the right to costs or attorney fees related to the lawsuit.