Clark Atlanta University has filed a lawsuit against the city of Atlanta claiming the school has long-standing property rights over a portion of land the city recently bought from Morris Brown College.
The suit, filed Sept. 5 in Fulton County Superior Court, claims that the sale to the city triggered a provision in a decades-old agreement with Morris Brown that requires the property to revert to Clark Atlanta if it is no longer used for educational purposes.
In June, a federal bankruptcy court judge approved the $14.6 million sale of most of Morris Brown’s land interests to Invest Atlanta, the city’s economic development authority, and Friendship Baptist Church. The financially struggling college had filed for bankruptcy in 2012 and was facing about $30 million in debts. The deal was finalized Aug. 29.
Clark Atlanta University objected to the sale, citing the existing agreement between the schools. Despite approving the sale, the bankruptcy judge said Clark Atlanta could pursue litigation in state court to determine its interests in the disputed land. Read Full