Resolution Reached in Legal Battle Between San Francisco 49ers and Santa Clara Over Levi’s Stadium Operations
Santa Clara and San Francisco 49ers Settle Legal Disputes Over Levi’s Stadium
After years of legal battles and acrimony, the city of Santa Clara and the San Francisco 49ers have finally settled the last remaining pieces of litigation over the operation of Levi’s Stadium. The disputes, which stemmed from disagreements over public safety costs for NFL games and reimbursements for food buffets, have been resolved with a new settlement agreement.
Announced last week by Santa Clara City Manager Jovan Grogan, the settlement is projected to bring $20 million in revenue to the city’s general fund over the next two years. The agreement addresses key concerns and provides a fair resolution for both parties, according to Grogan.
The Santa Clara City Council voted 5-2 to approve the settlement, with Mayor Lisa Gillmor and Councilmember Kathy Watanabe casting dissenting votes. The settlement includes amendments to the Levi’s Stadium lease, such as a new threshold for public safety costs per game and changes to reimbursement obligations for the 49ers.
The deal also reduces the amount owed by the Stadium Authority to the NFL team and includes a payment of $7.1 million in performance rent. Additionally, the settlement addresses the dispute over who should pay for the cost of food buffets for Stadium Builder’s License holders, with the Stadium Authority now responsible for a fixed cost per game.
While the 49ers praised the settlement as a positive step towards collaboration and partnership with the city, not all council members were in favor. Mayor Gillmor criticized the agreement as a “loan-shark type deal” and raised concerns about the repayment of funds claimed by the team. Councilmember Watanabe also expressed opposition, citing concerns about public safety costs and taxpayer impact.
Overall, the settlement marks a significant milestone in the relationship between Santa Clara and the San Francisco 49ers, bringing an end to years of legal disputes and paving the way for a new phase of cooperation.