
A 12-year lawsuit that could bankrupt the City of Hermosa Beach has been sent back to square one by an appeals court ruling, in what amounts to a split decision for the city.
The $500 million breach-of-contract lawsuit by Macpherson Oil Company had been on hold while a state appeals court considered a long-shot request by city officials to dismiss it altogether.
Courts had previously ruled that the city was guilty of breaching Macpherson’s oil drilling contract, and high stakes were riding on the city’s request: if it was granted, Macpherson’s lawsuit would simply go away…