The Port Authority of New York and New Jersey has agreed to withdraw its lawsuit against the Bayonne Local Redevelopment Authority. The PA’s suit had challenged the BLRA’s 2007 sale of land to a company called PortsAmerica.
Bayonne had originally agreed to sell the 90 acres of waterfront land to PA for $50 million in 2007. But then, using a technicality, they canceled the agreement to take the more lucrative $90 million from PortsAmerica.
After losing its court case in 2008, the Port Authority appealed the decision to the Appellate Division. The suit has not yet been heard.
Port Authority officials said they are dropping the suit in order to improve relationships with Bayonne. City officials said meetings with Gov. Jon Corzine and others helped heal the wound between Bayonne and PA.
The Superior Court had ruled that Bayonne was within its right to void the original agreement based on a technicality regarding the meeting where the vote was held.