Memphis River Parks Partnerships sues Memphis in May for unpaid damage bill

The Memphis River Parks Partnership is suing Memphis in May for damages caused during the festival’s use of Tom Lee Park. Memphis River Parks Partnership – which manages Tom Lee – filed a lawsuit on Friday seeking $675,000 in unpaid damages from Memphis in May.

Memphis in May caused more than $1.4 million in damages during its use of Tom Lee this past spring, the parks group has said. Memphis in May had previously put down a $250,000 damage deposit, with the City of Memphis pledging an additional $500,000 to cover any additional damage costs. That left a bill of roughly $675,000 that Memphis in May was liable for.

A third-party arbiter’s final ruling on the $1.4 million in damages was formalized Aug. 2, and Memphis in May originally had 10 days from that date to pay the balance owed. MRPP extended their deadline to Sept. 4. But with the extended deadline having passed without payment or response from Memphis in May, MRPP filed suit.

MRPP Attorneys Tannera Gibson and Jon Lakey released a statement on the lawsuit Friday afternoon. "Today, we filed suit on behalf of Riverfront Development, Inc., d/b/a Memphis River Parks Partnership, against Memphis in May International Festival, Inc. (MIM). While our client regrets that litigation has proven necessary, MIM has failed to pay for damages caused to Tom Lee Park by the Music and Barbeque festivals run by MIM."

The statement added that "a neutral, third-party arbiter appointed by the City confirms that these damages were caused by the festivals and are owed by MIM under the contract executed by MIM and our client. After extending the deadline for the payment of these damages by MIM and even that extended deadline not being met, our client had no choice but to file the instant action. Moving forward, this matter will be handled through the court system."

Officials with MRPP had spent the last few weeks focusing on the relaunch of Tom Lee Park, which is wrapping up a $61 million renovation. The new Tom Lee officially opened over Labor Day weekend.

Memphis In May has not responded to requests for comment on the lawsuit.

Memphis in May’s use of Tom Lee had become the subject of a long and rancorous battle with the Memphis River Parks Partnership over the last few years. In 2022, Beale Street Music Festival and the World Championship Barbecue Cooking Contest both relocated to the Fairgrounds at Liberty Park due to the ongoing construction at Tom Lee.

Ahead of Memphis in May’s return to Tom Lee in 2023, Memphis in May and MRPP had fought over the amount of a pre-festival damage deposit. Memphis in May had also sought, but failed, to put a cap on its liability for damages to the park. Ultimately, ongoing construction work on the park was halted in April to allow Memphis in May’s signature events to be staged there.

However, according to MRPP officials, the damages to Tom Lee during the festival were “considerable,” with the World Championship Barbecue Cooking Contest having a greater impact on the park than Beale Street Music Festival. Ultimately, an arbiter ruled that Memphis in May was liable for a total of $1.425 million in damages.

More recently, Memphis in May -- which has suffered staggering financial losses over the last four years -- informed its volunteers that its events would not be returning to Tom Lee in the future.

Bob Mehr covers music for The Commercial Appeal. He can be reached at [email protected]

This article originally appeared on Memphis Commercial Appeal: Memphis River Parks Partnership sues Memphis in May