Palazzo v. City of Fort Lauderdale

966 So. 2d 497, 2007 WL 3007986
CourtDistrict Court of Appeal of Florida
DecidedOctober 17, 2007
Docket4D06-2130
StatusPublished
Cited by2 cases

This text of 966 So. 2d 497 (Palazzo v. City of Fort Lauderdale) is published on Counsel Stack Legal Research, covering District Court of Appeal of Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Palazzo v. City of Fort Lauderdale, 966 So. 2d 497, 2007 WL 3007986 (Fla. Ct. App. 2007).

Opinion

966 So.2d 497 (2007)

PALAZZO LAS OLAS GROUP LLC, Appellant,
v.
CITY OF FORT LAUDERDALE, Florida, a Florida Municipal Corporation; Fort Lauderdale Community Redevelopment Agency, a Florida entity; Jim Naugle; Dean Trantalis, Christine Teel; and Cindi Hutchinson, Appellees.

No. 4D06-2130.

District Court of Appeal of Florida, Fourth District.

October 17, 2007.

*498 W. Kent Brown, John R. Hargrove and Albert L. Frevola of Gordon Hargrove & James, P.A., Fort Lauderdale, for appellant.

Robert H. Schwartz and Alain E. Boileau of Adorno & Yoss LLP, Fort Lauderdale, for appellees.

STEVENSON, J.

In this appeal, Palazzo Las Olas Group, LLC ("Palazzo") challenges an order dismissing its twelve-count complaint against the City of Fort Lauderdale, the Fort Lauderdale Community Redevelopment Agency ("CRA"), the mayor, and several commissioners, wherein Palazzo sought declaratory and injunctive relief and damages. The trial court dismissed Palazzo's complaint, with prejudice, after concluding that Palazzo's sole remedy was the filing of a petition for certiorari, challenging the City Commission's decision to deny site plan approval of a project that had been the subject of a detailed request for proposals and extensive negotiations and dealings between Palazzo and the City. We disagree that Palazzo's sole remedy lies in certiorari and, having concluded that the allegations of the complaint are at least minimally sufficient to state a cause of action with respect to all counts save VI (mandamus) and XII (specific performance), we affirm in part and reverse in part the order on appeal.

In November 2003, the Fort Lauderdale City Commission ("Commission") denied site plan approval for a redevelopment project on Las Olas Boulevard. Palazzo timely filed a petition for certiorari, challenging the Commission's decision. The petition for certiorari was resolved in favor of the City and no appeal was taken.

Simultaneous with the filing of the petition for certiorari, Palazzo filed a civil complaint. The amended version of that complaint named as defendants the City of Fort Lauderdale, the CRA, Mayor Jim Naugle, and Dean Trantalis, Christine *499 Teel, and Cindi Hutchinson—City Commissioners and members of the CRA. The Amended Complaint is more than fifty pages and alleges in great detail the circumstances surrounding the City's determination to redevelop the Central Beach area, which includes Las Olas Boulevard, and the communications and negotiations between Palazzo and the City regarding the redevelopment.

More specifically, the Amended Complaint alleged the following:

(1) a detailed request for proposals (RFP) for the development of a mixed-use "urban beach village" was issued by the City in 2001;

(2) Palazzo's proposal was accepted by the City in August of 2001;

(3) the language and specificity of the RFP were such that, upon the award of the same to Palazzo and its acceptance, a contract existed between Palazzo and the City for the redevelopment of the Las Olas lot in accordance with the terms of the RFP;

(4) it was "understood" that Palazzo "would require relief from potentially applicable building-dimension or location limitations, and the RFP made it clear that such relief would be forthcoming";

(5) from August 2001 through the fall of 2003, the City and Palazzo spent countless hours addressing the details of the project, with Palazzo making several modifications at the City's request;

(6) in the summer of 2002, the City allowed Palazzo to begin the permitting process;

(7) in fall of 2002, the City approved the lease of a portion of the lot to Palazzo so Palazzo could construct a sales center;

(8) Palazzo constructed the sales center, began marking the residential units, and produced nearly $100 million in pre-sales;

(9) by March 2003, the City's Development Review Commission and the City Planning and Zoning Board had approved Palazzo's site plan;

(10) in late 2002 and early 2003, as a consequence of a changing political climate, the Mayor and two newly-elected commissioners "undertook efforts to derail the Project," including efforts by the Mayor to delay the Commission's vote on the site plan until after the elections;

(11) "[t]he City, the Agency [CRA], the Mayor and certain Commissioners purposely and in bad faith routinely confused and switched their respective roles in accomplishing a grossly improper objective";

(12) in November 2003, a hearing was held and the Commission denied site plan approval for the project;

(13) "[a]lthough from the beginning the City indicated that . . . [certain building] limitations would not apply and that any needed relief would be granted, and although the City ordered Palazzo to design a project that would not comply with such limitations, finally the City turned around and used the same non-compliant features that it ordered to be included in the first place as a basis for attacking the Project"; and

(14) Palazzo "had spent over two years and more than $5,000,000 . . . in good faith reliance on the City's actions."

The complaint asserted twelve causes of action.

Count I sought a declaratory judgment that (1) as a consequence of the City's actions and communications with Palazzo, the City was contractually required to approve the site plan and/or equitably estopped from denying site plan approval and (2) the City's actions in denying site plan approval were void as they were in violation of the Sunshine Law. Additionally, *500 in count I, Palazzo sought an injunction precluding the City from denying it site plan approval. Count II alleged that an enforceable contract had arisen as a consequence of the RFP and the subsequent approvals and negotiations and that the City and CRA had breached the same, seeking specific performance of the contracts and agreements and more than $40 million in damages. Counts III and IV, asserting equitable and promissory estoppel, respectively, alleged justifiable reliance on the City's actions and agreements and sought to estop the City from denying Palazzo site plan approval and damages. Count V sought declaratory and injunctive relief pursuant to section 163.3215, Florida Statutes, which precludes local governments from acting in a manner contrary to their Comprehensive Plan. Count VI sought a writ of mandamus compelling the City to approve Palazzo's site plan and execute the necessary development documents. Counts VII, VIII, and IX, asserted against all defendants, alleged interference with contract, interference with an advantageous business relationship and conspiracy and sought damages. Count X alleged the City's and CRA's actions were sufficient to support the imposition of a contract implied in law and that the City and CRA had been unjustly enriched by Palazzo's sharing of confidential and proprietary information concerning redevelopment of the lot. Count XI sought the imposition of a constructive trust with respect to the "confidential, trade secret, and proprietary information and expertise shared by Palazzo." Finally, count XII sought specific performance of the sales center lease.

The defendants filed a motion to dismiss. Their principal argument was that the Amended Complaint was subject to dismissal in its entirety since the exclusive remedy available to Palazzo, the developer/applicant, was to file a petition for writ of certiorari seeking review of the Commission's denial of site plan approval. Additional arguments in support of dismissal were made with respect to a number of the counts.

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966 So. 2d 497, 2007 WL 3007986, Counsel Stack Legal Research, https://law.counselstack.com/opinion/palazzo-v-city-of-fort-lauderdale-fladistctapp-2007.