BIG RAPIDS, Mich. (Michigan News Source) – In a significant legal development, U.S. District Judge Jane Beckering has issued a preliminary injunction compelling Green Charter Township to adhere to a development agreement with Gotion Inc., a Chinese-linked manufacturer of battery parts for electric vehicles. The ruling, made last Friday, mandates compliance from the township board, which had previously attempted to halt the project.
Background of the dispute.
The conflict centers around a $2.4 billion state-subsidized and Whitmer-administration supported facility that Gotion plans to build near Big Rapids. This project promises to generate approximately 2,350 jobs and includes substantial state tax incentives totaling $715 million. However, the project has faced staunch opposition from the local community and newly elected township officials.
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In March, Gotion filed a lawsuit against the township after the newly elected board rescinded a resolution supporting the extension of water services from Big Rapids to the development site. The resolution was a crucial part of the development agreement signed by the previous board, which was recalled by voters due to many reasons including concerns over the project’s environmental impact and the influence of the Chinese-based company.
The previous township board was replaced following a recall driven by these concerns. The new board, under Green Charter Township Supervisor Jason Kruse’s leadership, rescinded support for the water extension, arguing that the original agreement was not properly executed and contained illusory promises that overstepped the township’s legislative authority.
Judge Beckering’s ruling.
Judge Beckering, a Democrat appointed by former Michigan Governor Jennifer Granholm to be a Michigan Court of Appeals judge and then by President Biden as a district court judge, ruled that Green Charter Township must comply with the terms of the development agreement while the lawsuit is ongoing.
She emphasized that the enforcement of contractual obligations serves the public interest, countering the township board’s claims that rescinding support for the water extension was in the public interest. Beckering further found that the previous board acted within its authority to finalize and execute the contract with Gotion.
Gotion’s project, which includes plans for substantial water usage requiring up to 715,000 gallons per day, remains contingent on the cooperation of local authorities for necessary permits and approvals. The township board’s future actions, including potential appeals and ongoing zoning reviews, will play a crucial role in determining the project’s progress.
The judge noted that Gotion would suffer irreparable harm if the township continued to delay the project. The significant monetary investments and coordinated construction efforts already undertaken by Gotion qualify as “irreparable injury” under the precedent of the Sixth Circuit U.S. Court of Appeals.
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Judge Bickering wrote, ”The significant monetary and contractual harms Gotion would suffer if the project, an extensive undertaking with coordinated construction processes, were to continue to be delayed qualify as irreparable injury under Sixth Circuit precedent.”
Response from Gotion and the township.
Gotion’s Vice President of North American Manufacturing, Chuck Thelen, expressed satisfaction with the ruling and a willingness to work with the township to advance the project. Meanwhile, Kruse indicated that the township was still reviewing the decision and had not yet determined whether to appeal the order. “We’re just disappointed at this time,” Kruse said.
Moving forward.
Judge Beckering’s injunction marks a critical juncture in the dispute, and ensures that Gotion can proceed with its development plans – for now.
This case highlights the tension between local governance and large-scale industrial development that is taking place all across the state, especially when external factors such as environmental concerns and international business ties come into play.
As the litigation continues, the focus remains on how Green Charter Township and Gotion will navigate their contractual obligations and the broader implications for community trust and development – especially in light of the Democrats’ push for electric vehicles.
Opponent of Gotion speaks out.
Michigan News Source reached out to former Ambassador Joseph Cella with the Michigan-China Economic and Security Review Group (MCESRG) for comment and he responded, “Working with government and business elites moving fast and in secret in this ‘deal’ with PRC-based and CCOP- tied Gotion, the now recalled Green Township Board of Trustees ruptured the consent of the governed.”
He added, “With this ruling, it seems the consent of the governed has been ruptured yet again. Substantive questions revolve around this ruling and we hope Green Township will seek redress with this judge, and, if necessary, through the appeals process. What PRC-based and CCP-tied Gotion is involved with here is a subnational incursion and influence operation. Gotion continues to pull out the maneuverings of unrestricted warfare, including using our judicial process to crush local opposition and get the answers they demand.”
Impartiality? Was the judge able to render an un-biased view as a Democrat?
When questioned by Republican Tennessee Senator Marsha Blackburn in 2021 while Beckering was a judicial nominee to become a district judge, Blackburn said, “You have a history of donating to Democrat candidates exclusively. You were a maxed out donor to President Biden’s presidential campaign. You were also the Michigan Democratic Party’s nominee to the Michigan Supreme Court.”
Blackburn continued to say, “So as a judge, it is your responsibility to fairly administer the law regardless of your own political or social views. So how are the American people to be assured that you are going to separate your political and judicial views?”
Beckering answered that she didn’t see it as a conflict of interest and said that the Advisory Opinion 16 from the Judicial Tenure Commission, a group tasked with looking into judicial misconduct, “has expressly stated that it’s (donations) not an appearance of impropriety.”
In response to questions from Senator Chuck Grassley during questioning on the record, Beckering said, “I absolutely still believe that courts should not be used as a political tool of the majority. The judiciary is our nonpartisan branch of government. Judicial activism is inappropriate and should never be used to further a partisan agenda.”
