City Council

2. CONFERENCE WITH LEGAL COUNSEL—ANTICIPATED\nLITIGATION Significant exposure to litigation pursuant to Government\nCode Section 54956.9(d)(2) & (e)(5) Two (2) potential cases. There is\nsignificant exposure to litigation against the City based on a threat of\nlitigation made outside of a noticed meeting, which is based on the following\nfacts for each case:\n(A) On August 14, 2023, a nonprofit interest group named Foundation for\nIndividual Rights and Expression (“FIRE”) transmitted correspondence to\nthe City alleging that Laguna Beach Municipal Code § 11.60.040, entitled\n“Special Regulations for the Forest Avenue Promenade,” is an\nunconstitutional restriction on speech under the First Amendment. FIRE’s\ncorrespondence is on file with the City Clerk’s Office for review.\n(B) The property owner of 337 Hawthorne Road, Michael Ray, and as also\ncommunicated from his attorney, Larry Nokes, have made threats of\nlitigation against the City as conveyed to City Attorney Megan Garibaldi in\nand around May and October of 2024 relating to the property’s prior\nerroneous placement on the City’s Historic Register, on the basis that such\nplacement constituted slander of title or other property-related harm.