City loses lawsuit against Olsen

District Judge James Wheelis dismissed the City of Libby’s complaint filed over City Council member Allen Olsen’s residency status.

According to court documents, Wheelis dismissed the complaint using evidence, testimony and former court decisions — Umland v. National Cas. Co (2003), Accord, McCone County Federal Credit Union v. Gribble (2009), State v. Britton (2001), Myers v. Dee (2011), and Burchett v. Mastec North America, Inc. (2004).

In court documents, Wheelis asserted that since Olsen maintained a residence within Libby  city limits at least 60 days before the election for his seat on the City Council and did not abandon his residency, he was legally residing in a property to defend his seat on the City Council.

The Tuesday bench trial was the final legal presentation of evidence, witnesses and statements for a lawsuit the City of Libby had filed against Olsen last year when he was running for mayor against incumbent Doug Roll. 

Olsen lost the election to Roll by 14 votes. Olsen blamed the loss on the city’s complaint against him. 

The trial signaled the peak of a conflict that has brewed for years: whether or not Allen Olsen technically lives and resides within city boundaries, a basic qualification and requirement to hold a public position such as a city council membership. 

Wheelis noted in the documents that the city did not sustain the burden of proof under its complaint about Olsen’s residency.  

As for Olsen’s attorneys fees, which Olsen had requested throughout the length of the trial, Wheelis determined in his ruling that whether the fees will be awarded would be assessed only after resolution of Olsen’s counterclaim, which contested the city’s intentions in bringing up the residency in the first place. 

Wheelis noted that the city had no basis to pursue the action against Olsen and his residency, and that the court would defer ruling of whether attorney’s fees would be award after the counterclaims are resolved because the evidence brought forward on the complaint did not demonstrate malice.

Dec. 11 is the next hearing for Olsen’s counterclaim.