Flying Squirrels owner and Diamond District developer settle defamation lawsuit

A defamation lawsuit involving Richmond Flying Squirrels owner Lou DiBella and Diamond District developer Jason Guillot has been settled, according to Richmond BizSense. The settlement was reached following a court-ordered settlement conference with U.S. District Judge David Novak, who required the parties to meet to resolve the dispute.

Attorneys for both sides filed a joint notice of settlement with the federal court in Richmond, requesting a 10-day stay on all deadlines and proceedings to allow the execution of a formal settlement agreement. The parties signed a memorandum of understanding during the conference, signaling an end to the legal battle.

The lawsuit stemmed from allegations by DiBella that Guillot defamed him by claiming DiBella threatened to kill Guillot and his family during a confrontation at the Flying Squirrels' first game at CarMax Park on April 7. Guillot and Thalhimer Realty Partners, leading the Diamond District development beside CarMax Park, denied the allegations, supported by a declaration from Angie Rodgers, director of the Richmond Economic Development Authority.

DiBella had sought tens of millions of dollars in damages from Guillot and Thalhimer. The case had drawn significant local attention since it was filed in late May. The settlement brings closure to a dispute that involved key figures in Richmond's economic development and sports communities.