The Martha’s Vineyard Airport Commission has gone to court seeking to freeze the bank accounts of Michael Rotondo.
The Martha’s Vineyard Airport Commission has gone to court seeking to freeze the bank accounts of Airport Mobil gas station owner Michael Rotondo, in anticipation of claiming rent, costs of cleanup, attorney fees and damages “likely far exceeding $450,000,” according to court documents filed in Dukes County superior court.
Depot Corner Inc., the company which won a disputed bid to lease the airport property where Mr. Rotondo has operated a gas station, car wash, and convenience store for the past 20 years, filed a memorandum in support of the airport commission’s legal action, saying it intends to seek additional damages totaling $577,500.
Answering the claims of the airport commission, an attorney for Airport Mobil said despite a court ruling that Mr. Rotondo had breached his lease by operating the business beyond the expiration date, the airport commission has not suffered damages and has made no attempt to mitigate the damages it claims. Mr. Rotondo’s attorney said his client is owed damages because the airport commission interfered with his attempts to negotiate with Depot Corner for sale of the infrastructure.
A hearing on the motions was held July 18 in Boston before the Hon. Mitchell Kaplan, an associate justice of the superior court. Judge Kaplan took the matter under advisement, and the parties are expected back in court for another hearing next week.
The claims and counterclaims stem from an ongoing legal dispute which began this past winter when the airport awarded the lease to Depot Corner, which outbid Airport Mobil (formally known as Airport Fuel Services, or AFS in court documents) in an open bidding process. Mr. Rotondo was unsuccessful in a court challenge claiming the airport commission erred in multiple aspects of the bid process. The airport agreed to let him continue operating the business until May 15, but he is now under a court eviction order to remove all of the buildings and other infrastructure from the lot by July 31. Mr. Rotondo closed the business and began taking down the station on Monday this week, including demolition of the buildings.
“The Martha’s Vineyard Airport Commission (MVAC) is seeking significant monetary damages,” commission attorney David Mackey wrote in the court motion, “likely far exceeding $450,000, from Airport fuel Services (AFS) as a result of AFS’s refusal to cease its business and vacate leased premises controlled by the MVAC despite the fact that its lease has unequivocally expired, and as a result of AFS’s refusal to timely remove the improvements it constructed on the property despite the clear requirement that it do so at the end of its lease.”
In the motion filed July 11 in Dukes County superior court, the airport commission cited four separate incidences where it anticipates seeking monetary damages.
The commission claims it is owed fair rental value of the lot from the time an extension of Mr. Rotondo’s lease expired on May 15, to July 31, a total of $26,325, minus $5,256 that Mr. Rotondo has already paid in rent. The commission based its calculation of fair rental value on the winning bid from the bidding process, $3.49 per square foot, which amounts to $10,530 per month.
Further, the airport commission said it is owed the cost of removing the fuel station infrastructure, estimated at $197,000. The motion was filed before Mr. Rotondo began to decommission the gas station himself.
The airport commission said that according to the terms of the lease it is also entitled to recover attorney fees in the protracted legal dispute.
“In total, the attorneys’ fees and costs the MVAC will incur in enforcing the lease in the summary process [eviction] matter in the district court and the counterclaim in [superior court] will likely exceed $50,000,” Mr. Mackey wrote.
Finally, the commission also asserts a claim of unjust enrichment against Airport Mobil, claiming that Mr. Rotondo made significant profits from the property when he had no legal right to be there. The attorney based the damages on Airport Mobil financial statements.
“Even a conservative estimate is that AFS will generate $175,000 in net profit from May 16 to July 31,” Mr. Mackey wrote in the court document.
In its memorandum in support of the airport commission, Depot Corner used strong language in its attempt to convince the court to freeze Airport Mobil’s bank accounts.
“It’s almost certain,” wrote Depot Corner attorney Marilyn Vukota in her memorandum, “that any AFS assets will disappear when AFS closes its doors and terminates its operations. Because AFS has demonstrated a remarkable capacity to deliberately obstruct the transfer of property it has no legal right to possess, AFS cannot be trusted to retain assets that may be needed to satisfy a future judgment.”
Depot Corner is asking the court to attach $557,500, representing earnings of $7,500 per day for the period when Mr. Rotondo’s lease extension ended on May 15, to July 31.
On Thursday afternoon an excavator was knocking down the cinder block car wash building. The convenience store building interior appeared completely gutted. The lot is surrounded by chain link fence, with large dumpsters either full of or awaiting building debris. Various crews were working on underground infrastructure.
“Excuse me, can I get gas here?” a motorist asked a bystander just outside the fence. When informed the station was closed, she swore and asked where the next nearest station is located.
On one of the fences hangs banner about eight feet long. It says: “Dear customers and friends, we regret the closing of Airport Mobil. Thank you for your business and support these past 20 years.” Mr. Rotondo could not be reached for comment.

Comments
So Mr.Rotondo hired a company
InterestingSo Mr.Rotondo hired a company owned by one of the airport commissioners he is suing to move his stuff out ?
Rotondo sued the Airport
Soup OBRotondo sued the Airport Commission and not the individual commissioners or their families. How else can he do this work if not with the retention of island contractors?
Just to be clear Barnes
Rose WillettJust to be clear Barnes Moving was hired by Shepard Provision's to transport a cooler they purchased from Mr. Rotondo. Barnes was not providing any services for Mr. Rotondo.
Rose Willett
Barnes Moving and Storage
I sure hope that when Depot
Cindy Tisbury, MAI sure hope that when Depot Corner starts it's business where Mike Rotondo had his business for twenty years that everyone will boycott them! This whole thing was done so badly! And why does Mr. Rotondo have to demolish a good building and car wash????? Totally insane!
He didn't have to tear down
BS OBHe didn't have to tear down the building. He made that decision on his own. Why boycott the new owners? They have done nothing wrong. They offered a better bid. They won, he lost. Mr. Rotondo seems to have made some very bad business decisions and now he is paying the price.
Not true, two other firms
Ken Edg.Not true, two other firms offered higher bids. This guy must have stepped on some toes.
You can't have it both ways.
S OBYou can't have it both ways. Someone either buys it or he gets to remove it. It's his stuff and if he wants to take it away that's his right. And btw, that's what the Airport wanted him to do. If the airport wanted a different result they should have worked it out with Rotondo before the bid was issued.
The bid was awarded to Depot
MDThe bid was awarded to Depot Corner for a mere $1,900 a month more over Mr. Rotondo's bid. All this mess and inconvenience to islanders for $1,900 a moth!
How much higher was the
Dollars and SenseHow much higher was the highest bidder over Depot Corner ? I remember hearing someone saying like a million dollars over the 20 years of the lease ?
Lets be clear he tore it down
RichLets be clear he tore it down because the offer to purchase the turn key business was too low end of story
They are really out to get
charlie callahan so boston/edgartownThey are really out to get this guy. The state should INVESTIGATE this airport commission.
And after the lawsuit settles
Willam Barrows Boston/EdgartownAnd after the lawsuit settles the MVC will get a chance to look at the building plans of the new leaseholder. That journey, to build a new gas station, will take months, if not longer. The airport will have rental cars and no place for customers to refuel them upon return. This is a real mess.
Airport property is exempt
BS OBAirport property is exempt from MVC approval.
People need to realize that
John Chivers EdgartownPeople need to realize that the airport commission has allowed three businesses at the airport to adjust their bids to continue staying in business. It is patently unfair that they did not give the same opportunity to Michael Rotundo.
That is exactly the question
Concerned Islander VHThat is exactly the question I've been wondering about these last months. Since he established his business out in the boonies all those years back when there was nothing there he should have been given the opportunity to match the higher bid. Not sure if the MVAC has a mechanism in place to allow for that to happen. He ran a good business and the only car wash with the free wash incentive. It's very sad. Down the road my guess Depot Corner will charge higher prices like they do in Edgartown and not build a new car wash. Time will tell. Islanders are losing out on this one all around.
Well, the question about who
WashAbhored EdgartownWell, the question about who makes a fortune on the high gas prices is now pretty much answered. Owning a gas station on the Island allows you to charge $1/gallon premium and make upwards of a $1 million a year. Islanders gouging Islanders.
Have I not reason to lament
William WordsworthHave I not reason to lament
what Man has made of Man?
...or what islanders have
Michael OB...or what islanders have done to islanders.
What the Commission has done
RC West TisburyWhat the Commission has done here to the businessman is inexcusable. I hope he asks the Attorney General's office to review this entire thing. I think much less of the MV Commission and this smells to be polical in nature. I will NEVER buy gas with the new owner and I won't buy gas at his current location either.
It's the airport commission.
BS obIt's the airport commission. Nothing to do with MVC
Really Dukes County. They own
MDReally Dukes County. They own the land and are sitting back while all this goes on.
The only control the County
FactsThe only control the County Comission should have over the Airport is appointing the commissioners. These Airport people are puppets for the county, whenever the country gets involved things get screwed up. Time to restart the county charter and abolish county government.
This is a loss for the island
Ken Edg.This is a loss for the island. This guy sold gas for your car, did oil changes, washed the car, and you were able to vacuum the sand. Air was also free for tires. The airport comission should be ashamed of themselves. They need to be replaced.
So what if the new gas
Paul Harvey MVSo what if the new gas station can't bury tanks on that site (let's just say it's prohibited) and therefor can not have a gas station on that site? What happens then? We're in the 3rd inning of an overtime thriller.
Now you know the rest of the story.
They don't know the rest of
Inside ManThey don't know the rest of the story yet ! There are bigger issues at the airport that are not being reported in either paper.
Anyone who thinks that Mike
Ted Jochsberger West TisburyAnyone who thinks that Mike Rotondo was treated fairly in this matter is crazy. The bidding process was rigged, the Airport Commission's process was full of errors (which somehow the judge missed) and Depot Corner offered him pennies on the dollar for the equipment. Now that they've destroyed Mike's life, they come after him for his bones. This is disgraceful. Hopefully it will take years, if ever for another business to open on the site. There is a special place in Hell for these people!!
The Airport Commission did
William Edg.The Airport Commission did the residents of Edgartown no favors in this new lease. Of the three gas stations in town there is now just one owner, a mini monopoly. Yuck! A bad deal for residents who will pay who knows how much extra for gas now. The MVC is probably happy since they don't want you to drive a car in the first place!
Yep, it's really hard to
WashAbhored EdgartownYep, it's really hard to drive to Mid Island or any of the stations in OB or VH. The sad part is all of them have gouging us for years. How about one owner who is willing to only make three times the national average .50/gallon? That's someone I would root for.
The airport commission has
Elowe West TisburyThe airport commission has had so many missteps and caused so many lawsuits that it a wonder anyone of them are still allowed to make decisions. The one group that really likes the commission are the lawyers that continue to find work because of all their bad decisions
Thanks to the corrupt Airport
Torey EdgartownThanks to the corrupt Airport Commission, we the people will have to pay up for this monopoly they created. It is such a disgrace!
What a waste!! I may not
Pat W. W. TisburyWhat a waste!! I may not understand the entire background story but....to demolish functioning structures and equipment in these times seems appalling. The station always appeared to be a fine, friendly, well functioning enterprise to me. Good location convenient to many drivers, functioning car wash, available basic services for vehicles, good coffee, snacks, even a clean rest room. staff was friendly and helpful. Sorry to see it go, esp. amidst all this drama.
1. Foolishly sign a lease
Three strikes edg1. Foolishly sign a lease without a renewal provision then become a squatter at expiration.(and now face 2 lawsuits of potential $1million exposure= $577K plus $450K)
2. Refuse a reported offer of $250,000 for depreciated building and end-of-life tanks.
3. Waste a reported $100k + demolishing structures out of spite (which will inconvenience many!) Three strikes. You're out.
I don't think Mike was
Ballgames OBI don't think Mike was playing baseball, but let's work your metaphor. And yes, no matter what he's out of business. MVC and New Owner were playing hardball and trying to gift his assets to the New Owner on the cheap. I'm glad Mike leveled the playing field and left the New Owner with a clean slate. It will be interesting to see how much investment the New Owner puts in and how long it takes.
I can't get passed the flawed
You're out ChilmarkI can't get passed the flawed bidding process. Even if it is true that the owner signed that lease he would have reasonably trusted that the AIRPORT would have followed the laws regarding the bidding and that he would have had a fair chance at being given the lot again. There is clearly something that is being hidden here and needs to be uncovered and people need to be held accountable. The AIRPORT is clearly been heading in a very poor direction.
1. The lawsuit math is
Clarify Edgartown1. The lawsuit math is appalling and a sick money grab from the MVAC. 2. You don't take depreciated value for structures. There is a thing called market value. The town assessed those buildings alone at $588,000, so market value would be even higher. 3. I, like many others, believe Mr. Rotondo was treated unfairly and the MVAC and new owner did not operate in good faith to keep an operating business or structures at that site.
If you or anyone else here
MD OBIf you or anyone else here would take an offer of 40% of your house's assessed tax value - which at even at 100% would be significantly less than it is worth - let me know...I'm buying!!
It isn't a game of baseball
John Chivers EdgartownIt isn't a game of baseball dummy! This is a mans life's work!!! You need to check your facts!!'
I wonder how many of the
DownislanderI wonder how many of the commenters have actually read the lease agreement between Mr Rotundo and the landlord? A lot of assumptions being made here
He isn't in the right and the
Dollars and SenseHe isn't in the right and the airport is not in the right either in terms of the award of the land. Have you read the bid packet or the proposals ? The highest bidder should have gotten it. His letter says he wanted to run a gas station and he wanted to buy the asset from Rotundo.
Even if it is assumed that
Upislander West TisburyEven if it is assumed that all is true about the lease what is known is that the decisions that are made by our public official need to be absolutely in the public s interest and that clearly is NOT the case. Not only are they not, they also hide from the public behind their Boston attorney. We need to demand that all of the decisions made by this board need to be thoroughly reviewed by an unbiased knowledgeable third party.
Between the corruption at the
Gw west tisburyBetween the corruption at the airport and that of the mvhospital, it's a toss up. Both boards need overhaul.
In the end it will be
Arnold Plotkin County of Dukes CountyIn the end it will be difficult to prove any of these decisions were made in the best interest of the Martha's Vineyard Airport or the people of Martha's Vineyard. The Airport Commission & its Management are running amok and should be fully investigated.
An investigation is necessary
John Chivers EdgartownAn investigation is necessary! The airport commission didn't even follow their own rules in the bidding process for the gas station lot.
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