Taylor Shellfish sues Washington DNR over geoduck lease

By

James Wright, Senior Editor

Published on
February 23, 2009

Taylor Shellfish Farms of Shelton, Wash., on Monday filed a lawsuit against the Washington Department of Natural Resources for what it claims is a breach of contract regarding a lease to farm geoducks on state lands.

Washington Public Lands Commissioner Peter Goldmark earlier this month refused to sign a previously negotiated lease agreement that would have allowed Taylor Shellfish to grow geoducks (large burrowing clams, Panopea abrupta) on tidelands in Totten Inlet. Taylor has farmed shellfish in the area since 1969, but a recent survey indicated that Washington's largest shellfish grower was inadvertently trespassing on state-owned lands.

According to Taylor Shellfish spokesman Bill Dewey, the tidelands in question contain about 300,000 geoducks, some of which are ready to harvest now and others that won't be ready for five years, as well as 240,000 oysters.

On 12 January, Taylor signed a five-year lease agreement to farm shellfish on the tidelands with Doug Southerland, the former commissioner who left office the following day. Goldmark says the public was "shut out" of the approval process, a claim the company denies.

Taylor had agreed to forfeit its ownership claims to the property if DNR decided to lease 21 acres to Taylor for five years to harvest shellfish already planted on the land. According to the agreement, Taylor, which donated more than USD 3,500 (EUR 2,700) to Sutherland's failed re-election campaign, would not have to pay fines without the five-year lease.

In addition, Taylor agreed to pay USD 480,838 (EUR 377,772) in back rent plus leasehold excise tax, interest and USD 53,241 (EUR 41,829) of staff time reimbursement totaling USD 629,762 (EUR 494,565); pay USD 200,000 (EUR 157,064) to the Geoduck Aquaculture Research Account for Washington Sea Grant to conduct research of geoduck farming practices at the site bringing the total to USD 829,762 (EUR 651,574); and pay an estimated USD 500,000 (EUR 392,627) in additional rent over the course of the next five years.

Taylor Shellfish filed its suit on Monday in Thurston County Superior Court to assert its quiet title claim of ownership of the disputed property. The legal process of determining ownership of the property will likely take at least a year, according to Dewey.

Taylor Shellfish claims Goldmark's decision to not honor the agreement constitutes breach of contract and violates Washington's SEPA (State Environmental Policy Act) law that requires public input be considered in the decision to lease state property to Taylor Shellfish. Taylor is joined in the suit by Helen Senff, who owns property in Totten Inlet that she leases to the company.

Taylor Shellfish is also seeking unspecified damages because it has been restricted from planting or harvesting its crops.

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