The Washington Supreme Court held last week that former Des Moines City Councilman Gary Petersen had no conflict of interest in owning Pete's Towing while serving on the council.
"I am glad the courts have finally vindicated me," Petersen declared after receiving the news. This "completely [discredits] the attacks on my honor and integrity."
The Supreme Court's ruling ended years of litigation, which at one time attempted to have Petersen removed from the council.
Shortly before Petersen's first council meeting in 2002, then-City Manager Bob Olander and then-City Attorney Gary McLean advised him that, as a councilman, he would have a conflict of interest as owner of Pete's Towing.
Pete's Towing provides towing and impound services for the Des Moines Police Department and other city agencies.
When Petersen refused both to resign from the council and to divest himself of the business, a small group of citizens filed suit in King County Superior Court. They asked the court to find him in a conflict of interest under state laws governing elected local officials, and to remove him from office.
But Petersen insisted he had done nothing wrong by running for office, and had no conflict of interest in serving as an elected council member while owning the business even if it provided a service for the city.
The trial court determined that Petersen did have a conflict of interest. However, the judge noted that state law and case law both were vague on this point and encouraged him to appeal.
In 2005, the state Court of Appeals reversed the superior court ruling and upheld Petersen on all counts. The mandate issued by the Supreme Court agrees with the findings of the appellate court.
By siding with Petersen, the state's highest court has established case law that will help direct the activities of business owners who hold elected public office in the future.
"Gary's willingness to persevere on behalf of himself and other business owners throughout Washington has resulted in significant and important new case law," said Scott Missall, Petersen's attorney. "The court's decision upholds the intent of [state law] to encourage business owners to run for elected office. It's been a hard-fought battle, but worth it because justice prevailed in this case."