ocean tower lawsuit outcome

0000043094 00000 n 54 0 obj <>stream Some Federal Courts Post Audio Recordings Online, Service and Research at the Frontier of Media Law, DMLP Announcement: Live Chat Session on Tax-Exempt Journalism (UPDATED), A New Approach to Helping Journalism Non-Profits at the IRS. Additionally, even if the court accepted plaintiffs interpretation, plaintiff does not adequately justify imposition of such an extreme remedy as entry of default. I don't know whose 2 signatures were on the Raba report, but i would never hire these guys to be geotechs on my projects. 0000008359 00000 n Filed: April 28, 2023 as 2:2019cv06106. 0000006977 00000 n 0000007669 00000 n The declaration of John M. Pierce in support of the motion states defendants counsel will promptly provide this application to the State Bar of California. Declaration of John M. Pierce, 3. It Is the Second Consecutive Year the Hotel Was Recognized by the Awards. 0000103877 00000 n The court sustained defendants demurrer to the first cause of action on the grounds that it was based on the same primary right as the original action and overruled the demurrer to the second and third causes of action. %PDF-1.5 % 4. Thus, the bank could not sell us the unit. 41 0 obj <>/Filter/FlateDecode/ID[<9AE8F4DA070C105AF9C84CF8D5A2177A><816DFA2E18CBA5439B6EC8283FD421D2>]/Index[33 22]/Info 32 0 R/Length 60/Prev 39087/Root 34 0 R/Size 55/Type/XRef/W[1 2 1]>>stream Ocean Towers Housing Corp., the owner of an apartment building in Santa Monica, California filed a defamation lawsuit against one of its tenants Richard Stone, who accused the company of breaching its fiduciary duty to its shareholders. endstream endobj startxref WHEREAS, U.S. Bank, N.A., as Trustee of the Thornburg Mortgage Securities Trust 2007-2 ("USB") and Ocean Towers Housing Corporation ("OTHC") entered into a Settlement Agreement and Release ("Agreement") dated January 8, 2020 for the purpose of resolving by compromise settlement all claims, liabilities, and disputes between them relating to . . We use cookies to personalise content and ads, to provide social media features and to analyse our traffic. During the forensic investigation, Walter P Moore performed a detailed evaluation and used computer modeling to analyze causation of failure, as well as predict future failure of structural elements. Court: Third Circuit New Jersey US District Court for the District of New Jersey. When the agreements were executed, the units were subject to liens in favor of the HOAs lenders. On November 4, 2008, after several engineering studies had discovered that the work needed to fix the building would prevent the project from becoming economically viable, the development was officially cancelled and purchasers were released from their unit purchase agreements. The prior demurrer ruling does not require denial of this motion. When a party properly requests affirmative relief by demurrer or answer or by motion to dismiss, stay or transfer on the grounds of exclusive concurrent jurisdiction, the second court loses jurisdiction over the subject matter and cannot issue rulings on the merits. Section 128.7 does not apply to disclosures and discovery requests, responses, objections, and motions. Cal. endstream endobj 34 0 obj <> endobj 35 0 obj <> endobj 36 0 obj <>stream Joe Orlando was his henchman. According to filings in the Heyman Densmore,;Roger P. Heyman; James K.T. If you do not agree with these terms, then do not use our website and/or services. A trial court reportedly dismissed the lawsuit. 0000305624 00000 n Ocean Tower condominium was expected to be the highest structure of luxury living in the Rio Grande but instead dubbed the leaning tower of South Padre because parts of it have sunk almost 16 inches, cracking beams and columns. He straight out explained to us that the above was the reason that we were not getting approved. Public Records Policy. 0000005493 00000 n Mr. Eggenberger fulfilled the requirements of CRC 9.40 and the application. Finally, one place to get all the court documents we need. In August 2009, while the divorce remained pending, the Ocean Tower Lawsuit settled. [10] At 9am on December 13, 2009, the building was imploded by Controlled Demolition, Inc. By the time it fell the building weighed 55,000 short tons (50,000t) and is reported to be the tallest and largest reinforced concrete structure ever imploded. 1. if(typeof ez_ad_units != 'undefined'){ez_ad_units.push([[580,400],'smobserved_com-medrectangle-3','ezslot_5',155,'0','0'])};__ez_fad_position('div-gpt-ad-smobserved_com-medrectangle-3-0'); The lawsuit alleges that Spahi, who now owns a controlling interest and 40 units in the property, misappropriated $11 million out of $50 million FEMA paid Ocean Towers to make repairs after the 1994 Northridge earthquake. Other parties who were brought into this litigation include parties involved in the design and construction of the Millennium Tower, the Transit Center, and two other nearby projectsthe Sales Force Tower and a project at 350 Mission. This action involves plaintiffs contractual rights, while the 2015 action concerns plaintiffs right to be free from fraudulent/disloyal conduct by directors. The Retro-style Diner Will Open Shop Back Up on Wilshire Boulevard and Expand Into the Old Vienna Bakery Space. I remember when I started blogging a few months ago; I would put in a lot of effort into writing good quality articles, post them on my blog and somehow expect the comments to start pouring in. "there is sufficient evidence to show misappropriation of funds," she said. By signing and filing a pleading or motion, an attorney certifies the filing is not being presented primarily for an improper purpose, and that [t]he denials of factual contentions are warranted on the evidence[. Spahi previously demurred to the First Amended Complaint on the grounds that it was based on the same primary right as the 2015 action. The current action initially contained causes of action for (1) rescission of the purchase agreements, (2) breach of indemnification agreement and (3) judicial foreclosure. If the conditions for exclusive concurrent jurisdiction exist, the issuance of a stay order is a matter of right. People ex rel Garamendi v. American Autoplan, Inc. (1993) 20 Cal.App.4th 760, 772. Preliminary evaluation showed that the tower's core had sunk 14 to 16 inches (360 to 410mm), while the attached parking lot had shifted less than half that distance. 0000134847 00000 n Ct. San Francisco Cty., Cal. However, on March 17, a three-judge panel in the California Court of Appeals Second Appellate District reversed the trial court dismissal, allowing Spahi to move forward with his claim. Los Angeles County Superior Courts | Property | ge9O^Vr|9o+tE@sDkth%U&8ViY?=eI(ekTj17Z78]/b,?u:N}(kaYC9fh31]2zg()M July 10, 2008 - 5:40PM. 2021-06-25, California Courts Of Appeal | Other | Since section 128.7(g) explicitly exempts discovery responses from its scope, a request for sanctions for such conduct is not well taken. Hawaii Ocean Plaza rendering. The two cases do involve different defendants, different causes of action and different primary rights. The motion is GRANTED. 0000003831 00000 n Nonetheless, they arise out of the same subject matter purchase agreements entered by Spahis alleged alter egos and seek the same damages the costs incurred by the HOA in defending against the US Bank litigation. 0000007695 00000 n Ocean Towers provides financial statements every year to show ALL distribution of fund. Baidu's Political Censorship is Protected by First Amendment, but Raises Broader Issues, Hear Ye, Hear Ye! [3] It continued for two years with much of the main structure completed until differential settlement saw parts of the building sink by over 14 inches (360mm). . . Though alter ego liability is alleged in both claims, those allegations are distinct from the primary right central to each claim. Id. Copyright 2023. *******0918, Plaintiffs Ex Parte Application for Appointment of Receiver. Island spokesman Dan Quandt described the event as "a very good short-term economic boost for South Padre Island". The language does not affirmatively state any of the identified categories exists but is a broad denial that neither defendant nor anyone associated with defendant harmed plaintiff. Zachary however was later dismissed from the lawsuit. Type: Other Statutes Personal Injury: Health Care/Pharmaceutical Personal Injury Product Liability. Nope! Traffic, ITS, and Transportation Planning. The judge's order authorized Calvillo to take "charge and posses- TAHER SPAHI, ET AL. She did not make any such comments about misappropriation of funds. To read this as a knowing misrepresentation under ;128.7 would require a narrow, counterintuitive reading. 8. But if you're a newcomer to our beautiful island you need to know that it is illegal to wear a necktie on South Padre Island. Ocean Tower SPI was an unfinished, 31-story condominium in South Padre Island, Cameron County, Texas, United States, that was imploded when it was deemed unsafe to remain standing. Both surviving causes of action arise out of an alleged contract breach. As a result, Spahi claimed loss of rental income and an inability to sell one of his units for $2.2 million. The remaining causes of action are not based on the alleged scheme but on defendants failure to indemnify plaintiff as required under the purchase agreements. The court also explicitly rejected the "interest" privilege, which Stone argued had not been addressed in the trial court. "Prestige property at 201 Ocean Ave. has completed three years of litigation". [3] The building was designed to withstand extreme winds with three massively reinforced core walls. 0000262322 00000 n ;128.7(c) provides that sanctions shall be limited to what is sufficient to deter repetition of the conduct or comparable conduct by others. According to the buildings website, Spahis father, John, serves on the Ocean Towers board of directors as secretary. 0000210630 00000 n 0000003246 00000 n 0000230961 00000 n C4D~5}5?&R o*@RA?CJ$^S[sn 1ka8Yg/{Q~=Lx(:s>M\7?W Kt (the original action) pending in Dept. The court sustained to the extent the HOA sought relief for Spahis alleged sham sales but overruled to the extent the action sought to enforce indemnification provisions in the sale agreements. trailer <<62DD41D1A9AC4D93B41AD3F841D72D45>]/Prev 870850>> startxref 0 %%EOF 124 0 obj <>stream VS KB VISION FOUNDATION, ET AL. Plaintiff adequately alleges alter ego liability, allowing this cause of action to proceed against Spahi. 0000009967 00000 n An attorney who files papers violating these requirements is subject to sanctions, including dismissal. SMart (Santa Monica Architects for a Responsible Tomorrow) Last week's column was Part 1. . The original action was converted to a direct action by the HOA in 2019. Breach of Contract; and 3. Plant Insulation Co. v. Fibreboard Corp. (1990) 224 Cal.App.3d 781. In 2006 construction began on the 31-story condo building known at the "Ocean Tower" . Proc. He was a walking threatening lawsuit machine. However, different primary rights are at stake here versus the other action. The Ocean Tower project was developed by Coastal Constructors Southwest Ventures, a subsidiary of Zachry Construction. Plaintiffs sued the tower's developer and adjacent property owners, including Jones Day's client, TJPA. Moreover, the Isens were aware of the harm to the Spahis that would result from the false statements and intended to cause such harm, the appellate court ruling stated about Spahis lawsuit. Under the doctrine of exclusive concurrent jurisdiction, a court has jurisdiction over a case even if a prior ongoing case concerns the same subject matter until a party files a proper motion to stay the second action or a separate pleading requesting relief. The hi-rise included a 4-level parking garage immediately adjacent and connected to it. Plaintiff argues the rule only applies when different superior courts have jurisdiction over the cases in question. Cancellation and Refund Policy, Privacy Policy, and According to the appellate courts ruling, Spahi believed representatives of Isen Investments attempted to exploit his financial difficulties to obtain his Ocean Tower units at artificially depressed prices., Specifically, Spahi alleged Isen Investments informed prospective buyers and tenants both him and his family were thieves, crooks and swindlers.. 05/15/2009 - According to the case summary (search "BC359619"), the case was dismissed by the plaintiff without prejudice. Proc. Nonetheless, they arise out of the same subject matter purchase agreements entered by Spahis alleged alter egos and seek the same damages the costs incurred by the HOA in defending against the US Bank litigation. Case No. The 5AC contains several new allegations related to stolen units, which are nearly identical to claims in the current action. 0000007824 00000 n Breach of Contract; and 3. another department of the same court to interfere with the exercise of the power of the department to which the proceeding has been so assigned[. Palisades News. SUSTAINED as to the first cause of action without leave to amend but OVERRULED as to the second and third causes of action. Objection - AMENDED OBJECTIONS TO PLAINTIFF'S NOTICE OF DEPOSITION OF PERSON MOST QUALIFIED AT DEFENDANT WINDSOR OCEAN, INC. I also question the length to diameter ratio, it is pretty slender (95/1.33 = 71). ] Mycogen Corp. v. Monsanto Co. (2002) 28 Cal.4th 888, 891. The second lawsuit, filed by 1 Source Towers, argues that the city's denial of a cell tower at 1800 Harden Blvd. Welcome to the website of the Digital Media Law Project. The HOA alleges it has paid millions of dollars in litigation initiated against it by US Bank because of these sales and seeks indemnification from Spahi and his alter egos. In 2015, an HOA shareholder filed a derivative complaint against Spahi and his alleged alter egos and co-conspirators. Code of Civ. They reassured them "Your unit will be delivered, and the building will be stronger and safer than ever", stating that completion of the construction would be delayed by "6 to 9 months". I would love to see the calculations by Raba-Kistner and by the structural engineer to find out the root cause of the flawed design (errors and omissions anyone). 33 0 obj <> endobj Based on the investigation findings, the tower was imploded before construction completion. A motion for sanctions brought for an improper purpose shall itself be subject to a motion for sanctions. Cal. Calvillo immediately took control of the Ocean Tower settlement proceeds and placed them in a "Receivership Account" at Inter National Bank. The parties subsequently drafted, negotiated and executed a series of settlement documents. The Miami-based developer, led by president and CEO Edgardo Defortuna, built the 51-story beachfront tower at 17121 Collins Ave. as part . Falk v. Childrens Hospital Los Angeles (2015) 237 Cal.App.4th 1454, 1469 fn. Relief Based on Rescission; 2. Copyright 2023. He never had to pay the fees! The judge appointed attorney David Calvillo as receiver over the couple's community prop-erty. He argues a significant risk of contradictory rulings in the two actions and that a stay will not conflict with the courts prior demurrer ruling because the demurrer ruling was based on the primary right doctrine, whereas this motion seeks to apply the broader exclusive concurrent jurisdiction doctrine. Walk to the Third Street Promenade and all the best that Santa Monica has to offer," says one real estate agents website, which lists available units at 2.5 million dollars and upif(typeof ez_ad_units != 'undefined'){ez_ad_units.push([[250,250],'smobserved_com-medrectangle-4','ezslot_8',119,'0','0'])};__ez_fad_position('div-gpt-ad-smobserved_com-medrectangle-4-0');if(typeof ez_ad_units != 'undefined'){ez_ad_units.push([[250,250],'smobserved_com-medrectangle-4','ezslot_9',119,'0','1'])};__ez_fad_position('div-gpt-ad-smobserved_com-medrectangle-4-0_1'); .medrectangle-4-multi-119{border:none !important;display:block !important;float:none !important;line-height:0px;margin-bottom:15px !important;margin-left:auto !important;margin-right:auto !important;margin-top:15px !important;max-width:100% !important;min-height:250px;min-width:250px;padding:0;text-align:center !important;}. 0000074857 00000 n Further, the court found that Stone may have had malice in publishing the disputed statement. has not been finally disposed of . The Superior Court denied the motion, finding that the statement constituted defamation per se and that there was evidence suggesting Stone's statements were false. O of this court, alleging John Spahi engaged in a scheme to fraudulently transfer title of various units in the complex to himself through sales to alter egos. Judicial Foreclosure; Filed by Ocean Towers Housing Corporation (Plaintiff); Ocean Towers Housing Corporation (Plaintiff), Notice of Case Reassignment and Order for Plaintiff to Give Notice; Filed by Clerk, Civil Case Cover Sheet; Filed by Ocean Towers Housing Corporation (Plaintiff), Complaint; Filed by Ocean Towers Housing Corporation (Plaintiff), Summons (on Complaint); Filed by Ocean Towers Housing Corporation (Plaintiff), Notice of Case Assignment - Unlimited Civil Case; Filed by Clerk, Notice of Case Management Conference; Filed by Clerk. Plaintiff may amend to allege the date of the alleged repudiation. DUE TO THE ONGOING COVID-19 PANDEMIC, PARTIES AND COUNSEL ARE STRONGLY ENCOURAGED TO AVOID IN-PERSON APPEARANCES AND TO APPEAR VIA COURT CALL WHENEVER POSSIBLE. When courts apply sanctions, they are generally to be imposed in an incremental approach, with terminating sanctions being the last resort. Dept. OCEAN TOWERS HOUSING CORPORATION VS SEIF ASCAR AS THE TRUSTEE OF THE WINDSOR PROPERTY TRUST, ET AL. Subscribe to our newsletter to receive the latest news and events in Santa Monica and the surrounding areas! DENIED. I'm happy to discuss the receivership motion in detail, but please issue a retraction of this article as none of it is true. And anyone who challenges him is immediately sued," she said.". . Rel Garamendi v. American Autoplan, Inc. (1993) 20 Cal.App.4th 760, 774. SMart (Santa Monica Architects for a Responsible Tomorrow) Last weeks column was Part 1. We attempted to purchase a foreclosed unit that was precious owned by John Spahi. Transbay Joint Powers Authority (TJPA), et al. Under the transaction test from Plant Insulation, exclusive concurrent jurisdiction applies. ocean tower lawsuit outcome. The purchase agreements contained indemnification provisions, under which buyers would agree to indemnify the HOA against lender lawsuits arising out of the liens. Ocean Tower Failure Analysis South Padre Island Texas Ocean Tower condominium was expected to be the highest structure of luxury living in the Rio Grande but instead dubbed the 'leaning tower of South Padre' because parts of it have sunk almost 16 inches, cracking beams and columns. We are looking for contributing authors with expertise in media law, intellectual property, First Amendment, and other related fields to join us as guest bloggers. The use of expandable clay, which compresses when weight is applied to it, compounded the issue and allowed the parking garage to remain relatively unsettled compared to the tower itself. 0000010806 00000 n In June 2008, Domit filed a lawsuit to recover damages from the failed Ocean Tower develop-ment project in which one of his companies was involved. Spahi v. Superior Court of Los Angeles County et al. Nov. 27, 2013 10:43 AM PT. ;128.7. Case law states exclusive concurrent jurisdiction applies to conflicting adjudications of the same subject-matter by different departments of one court. Glade v. Glade (1995) 38 Cal.App.4th 1441, 1449. If you are interested, please contact us for more details. The two cases are being heard by different departments within a single superior court. The original action was converted to a direct action by the HOA in 2019. In 2015 Ocean Towers Housing Corporation (HOA) shareholder Michael Reach filed a derivative complaint, case no. https://www.smobserved.com/story/2018/06/24/news/judge-will-appoint-receiver-over-ocean-towers-co-op-apartments-in-santa-monica/3500.html. In the meantime, Spahi broke into the unit and illegally started renting it for thousands of dollars while he filed another false lawsuit against the bank who legally owned the unit. it is beyond the jurisdictional authority of. This is not well-taken. Plaintiff seeks to enforce those indemnification provisions and recover legal fees. Ocean Tower accuses the firms of fraud and/or gross negligence and is seeking $125 million in damages. Omar Spahi, who owns units in Ocean Towers near the intersection of Ocean Avenue and San Vicente Boulevard filed a lawsuit in 2010 against Isen Investments, Inc., alleging the firm had manipulated the market of his luxury apartments by defaming him. It was nicknamed "Faulty Towers" and "The Leaning Tower of South Padre Island". Additionally, Spahi argues the statute of limitations bars the first and third causes of action. The HOA moves for an order striking Windsors answer and entering default. The matter at hand is whether or not Ocean Towers had the right to pay attorney fees to protect its board of directors. The HOA could seek to enforce the purchase agreements, even if plaintiff did not allege defendants misused their positions as HOA directors. . and the proceeding . will keep Verizon from solving a "significant gap in its coverage," triggering . According to the Spahis, the Isens intended to induce other parties, including prospective buyers and tenants, not to deal with the Spahis. 0000010410 00000 n DEAN ZANDER VS OCEAN TOWERS HOUSING CORPORATION, A CALIFORNIA CORPORATION, ET AL. The court recognized that Stone might have qualified for the privilege if he had made his statements in a letter to another interested party, but it determined that posting a statement on the Internet does not prove the required intent to reach a specific interested party.

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