Wednesday, January 16, 2008

WPRF vs George Loewenstein Federal case

As you may be aware, WPRF filed a law suit in the 15th. Judicial Circuit Court, Palm Beach County, against UCO President George Loewenstein, on the grounds of Failure to make Rental payments and Tortious Interference with other Lessees Rental Payments due on the Rec. facilities lease. George Loewenstein had the case moved to the United States District Court Southern District of Florida, The Federal Bench, before Judges Hopkins and Hurley. The Case Number is; 07-81063-CIV-DTKH. This case can be fully researched on the PACER Federal Courts Filing system.
On January 16th. 2008, Judge Hurley Found that the Federal Court has no Juris Diction in this case and Remanded it back to the State Court; of particularly ominous import is that George Loewenstein was found liable for Attorneys fees incurred. One can only shudder at the thought that should the Arbitration in progress fail, and if we find "ourselves" back in front of this Judge on the larger matter of the Clubhouse case; how might this judge find???
Please advise if there are any questions, as I have examined all the documents in the case which is now closed!
Dave

12 comments:

Mike said...

I'm assuming the UCO Directors have Errors and Ommission insurance that will cover the legal expenses George has exposed himself to.

UCO President said...

Hi Mike,
Yes, there is D & O Insurance. However there is a difference between what the Attorneys for President Loewenstein are charging, and what the Insurance Coverage will pay. In short, any expenses in excess of that covered by Insurance will be paid for by all Unit owners in CV. This was voted on at a Delegate Assembly meeting.
Dave

Mike said...

Hi Dave, I'm wondering if George got a legal opinion before he took UCO into the breach. I would like to see the legal opinion if he did and if he didn't, IMPEACH.

elaineb said...

R. Tennyson, our CV lawyer for many years, spoke forcefully at town meetings that sending money to the Court was perfectly proper, he quoted precedents. We would not have gone along with this otherwise. We were additionally persuaded because he was so much on George’s side even tho’ he was always thought of as Levy’s man as well as the UCO lawyer.

Mike said...

"He was thought of as Levy's Man", why in the world didn't UCO get rid of him long ago? I personally have nothing against Lcvy , he is a business man that wants to make as much money for himself as possible. The UCO boards that gave Levy his sweetheart deals should all be hung. Maybe George should look into sueing Tennyson for malpractice.

Ken said...

Of course, there is also a deductible on the D&O Insurance that would have to be met. Is that the same as the D&O Insurance that the Associations have and even that varies?

Ed Black said...

It makes you wonder, just who decided this course of action?

Should we continue to permit the DEFENDANT AND HIS LEGAL TEAM to add to our costs in light of the poor judgment we have just seen? Our money spent accomplishing WHAT?

Just how much did THIS legal maneuvering, actually COST US?

Shouldn’t the costs be presented to the Delegate Assembly for approval, prior to spending our money?

Arbitration Costs - OUR Costs as yet unknown and NOT FUNDED
Suit against Mr. Loewenstein - OUR Costs as yet unknown and NOT FUNDED

The budget was approved in October, and still there is no budget item for either of the above ARBITRATION/LEGAL COSTS.

Only the Delegate Assembly has the authority to approve these expenses and still has Not budgeted any funding…….WHY?

Perhaps they are fearful we would cut-off funding if we knew just how much this will cost us!

franko said...

wow now i see why we have over 300 condos for sale in CV it is not CV it is uco past that has screwed us and this George keep your big mouth shut and let the attorney work this out and if WE all that live in CV do not like what WE are getting out of this mess than WE should all speak up about this wow it cost more and more and more to live in CV it is crazy i think we all need a new hobby this stuff makes me so MAD

Mike said...

Didn't the delegates initially approve 250k for the arbitration and then later another 150k. The cost of George's defense has not been presented as of yet . To my knowledge.

Mike said...

Hi Franko, I think there is about 700 condos for sale. I couls be wrong though.

Maboo said...

I was at that delegates meeting that voted to pay the 20% legal fees for G.L. I obstained on that vote because I don't think it is right that the delegates should make up their minds for the entire assoc. They should be able to go back and discuss this with their condo unit owners then go back and vote with the unit owners decision as to what the vote should be, and not the opinion and vote of just one person (the delegate) We should all be able to have a say. I have know idea what can be done about this, but i sure hope something can be done in the future

bob marshall said...

I believe that most if not all of the above to be true and that is enough to upset most of us.

HOWEVER, when one reads the Judges position carefully it becomes even more troubling.

The reason given for the transfer from State to Federal Court was something called diversity. The claim made was that the building is owned by the Corporation housed in New York or perhaps Delaware.

The judge first ruled that diversity does not exist because the claim is between George and WPRF and the other corporation is not involved.

Then the judge further ruled and I quote "Moreover, there is a clearer, independent reason why this case must be remanded, although it was not raised by either party. A defendant sued in the state courts of his home state cannot remove to federal court on the basis of diversity,even if the parties are diverse."

My goodness, one might think that for $300 bucks an hour "our" attorney would have known that.

So the saga goes on and we continue to pay.

Oh yes, speaking of paying, I further quote "Putting aside the dispute about whether the parties are diverse, defendant knew that he was a citizen of Florida, and knew or should have known that removal on diversity grounds is not appropriate where a Florida citizen is sued in Florida state court. Therefore, the court will grant the plaintiff's (WPRF) request for attorney's fees and costs."

The judge gives WPRF 20 days to submit their billing statements.

I can only suppose that when those are received from the judge, whatever the amount it will be chalanged by "our" attorney at $300 per hour.

Seems like good work if you can get it!

Is this village really going to allow this person to be President for another two years?