Danbury To Appeal $16M Judgment, Warns Of ‘Dangerous’ Impact Across CT

DANBURY, CT — Danbury officials say the city will ask the Connecticut Supreme Court to review a recent court decision tied to a multimillion-dollar judgment, warning the ruling could have broad implications for municipalities statewide.

The case stems from a construction project at a Party Depot store on South Street that dates back nearly two decades. The store’s owners built a roughly 30,000-square-foot addition, but later discovered the space could not be used because it did not meet building code requirements.

The owners sued the city and others involved, claiming the project was approved and signed off on despite the issues. A jury later found the city liable and awarded about $16 million in damages.

In a statement, the mayor’s office said the city believes the court should have interpreted state law more narrowly when determining whether a municipality can be held liable for damages.

“The City’s position is that the court was required to interpret the statutes narrowly when considering whether a municipality can be made to pay damages,” Taylor O’Brien, chief of staff to Mayor Roberto Alves, said.

City officials said the decision could set a “dangerous precedent” for towns and cities across Connecticut beyond the specific case.

Danbury faces an approximate $16 million judgment, along with an estimated $1.6 million per year in interest at a 10 percent rate, according to the mayor’s office.

“The City will be asking the Connecticut Supreme Court to review and overturn this,” O’Brien said.

Officials added that the city’s concerns extend beyond Danbury itself.

“We are not only considering our own interests, as we believe this decision is untenable for any city and a threat to any small town,” O’Brien said.