An arbitration panel gave Westchester County a favorable ruling in its dispute with Standard Amusements over Standard’s termination of its contact to manage the Playland Amusement Park. Standard alleged that the county had not completed 70% of the work it was required to perform at Playland in a timely manner and, therefore, had breached the contract. Standard claimed it could immediately cancel the contract as a result of the breach and would not be managing the park for the 2025 season..
The arbitration panel awarded the county a partial summary judgment when it ruled that Standard was not entitled to terminated the management contract as it did, and was required to give the county ample time to cure whatever contract breach Standard was claiming.
Standard told the Business Journal, “Standard Amusements does not comment on ongoing litigation.”
Standard has been seeking millions of dollars from the county as compensation for losses it claims to have incurred as a result of the county allegedly breaching the contract and for payments to which it says it is entitled under the terms of the management contract.
The arbitration panel’s ruling, however, did not deal with specific monetary claims. It did establish that Standard should have given the county time to fix whatever it alleged the county had done wrong and, therefore, was wrong to have terminated the contract as it did.
The arbitration panel found “Standard’s notice of termination dated January 21, 2025, to be invalid and void for failing to acknowledge the County’s right to cure. Standard’s partial motion for summary judgment is accordingly denied.”
Westchester County Executive Ken Jenkins called the panel’s ruling a significant victory for the people of Westchester County.
“The panel affirmed what we’ve said from day one,” Jenkins said. “Standard Amusements had no right to try to tear up a 30-year agreement without giving the county the contractually required opportunity to cure. Their attempted termination was not just wrong — it was legally baseless.”
Jenkins described Standard’s termination of the contract through the letter it sent as “an irresponsible attempt to walk away from their obligations and shift blame onto the county. They ignored the clear language in the contract and their rush to terminate was a direct threat to Playland’s future and to the significant public investment made to restore and preserve our beloved park.”
The county has been running the park this season and brought in an Italian company with amusement park expertise to put into service a limited number of rides while performing needed repairs and maintenance on others.
Jenkins said that the county is moving ahead with a damages claim against Standard Amusements and won’t stop pursuing that until a settlement is reached that is beneficial for the county and its residents.
“While I am county executive, Westchester County will never be bullied, pushed around or manipulated especially over a public asset that exists for the joy of children,” Jenkins said
The arbitration panel consists of attorneys Jonathan Lippman, Shira A. Scheindlin, and Anthony J. Carpinello., all of whom formerly were judges.
