SOHO Arlington LLC v. Ames Center, L.C.

CourtCourt of Appeals of Virginia
DecidedFebruary 11, 2025
Docket1809234
StatusUnpublished

This text of SOHO Arlington LLC v. Ames Center, L.C. (SOHO Arlington LLC v. Ames Center, L.C.) is published on Counsel Stack Legal Research, covering Court of Appeals of Virginia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

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SOHO Arlington LLC v. Ames Center, L.C., (Va. Ct. App. 2025).

Opinion

COURT OF APPEALS OF VIRGINIA UNPUBLISHED

Present: Judges Beales, O’Brien and Fulton Argued at Alexandria, Virginia

SOHO ARLINGTON LLC MEMORANDUM OPINION* BY v. Record No. 1809-23-4 JUDGE MARY GRACE O’BRIEN FEBRUARY 11, 2025 AMES CENTER, L.C.

FROM THE CIRCUIT COURT OF ARLINGTON COUNTY Daniel S. Fiore, II, Judge

Timothy J. McEvoy (Richard G. Cole III; Cameron/McEvoy PLLC, on briefs), for appellant.

Michael W. Robinson (Henry F. Brandenstein; Carly M. Celestino; Venable LLP, on brief), for appellee.

SOHO Arlington LLC (SOHO) appeals a declaratory judgment ruling that Ames Center,

L.C. (Ames) is a third-party beneficiary under SOHO’s land lease and granting Ames the right to

enter SOHO’s property for safety purposes during construction. SOHO challenges the court’s

construction of the lease, its determination of Ames’s rights under the lease, and its finding of a

justiciable controversy. SOHO also assigns error to the court’s refusal to empanel a jury and its

admission of expert testimony. For the following reasons, we affirm.

BACKGROUND

Ames owns a parcel of land directly adjacent to property leased by SOHO on which SOHO

operates a hotel. In 1973, the original owner of the SOHO land leased the property to a

development company, and the lease (the Ground Lease) was ultimately assigned to SOHO in 2018.

* This opinion is not designated for publication. See Code § 17.1-413(A). Ames plans to excavate along the property line between the two lots to construct new buildings on

its land. Ames argues that, to do so, it has a right to enter the SOHO property as a third-party

beneficiary under Section 24.01 of the Ground Lease, which reads as follows:

If any excavation, subsurface construction, remodeling or other building operation (hereinafter collectively referred to as an “Excavation”) shall be made or contemplated to be made for building or other purposes upon property, avenues, streets, alleys, vaults or passageways adjacent to, or nearby the Premises, Tenant, in compliance with all applicable provisions of all Laws and Ordinances, either

(a) shall afford to the person or persons causing or authorized to cause such Excavation the right to enter upon the Premises for the purpose of doing such work as such person or persons shall consider to be necessary to the safety and preservation of any of the foundations, walls or structures of the Building from injury or damage and to support the same by proper foundations, or

(b) shall, at the Tenant’s expense, do or cause to be done all such work as provided in subdivision (a) above.

In July 2018, Ames unsuccessfully tried to reach an agreement with SOHO regarding the

upcoming construction and proposed two “Cooperation Agreements” to allow it to enter SOHO’s

property and airspace. Neither agreement was signed. Ames filed a declaratory judgment action in

December 2019, asking the court to declare it a third-party beneficiary under the Ground Lease with

the right to enter SOHO’s property, as provided by the lease, to facilitate excavation and

construction.

I. Initial Proceedings and First Appeal

In September 2020, Ames moved for partial summary judgment arguing that the Ground

Lease unambiguously gave it third-party beneficiary rights. SOHO contended that there was no

justiciable controversy. The court held that Ames was a third-party beneficiary but found no

justiciable dispute about the scope of Ames’s rights. Both parties appealed.1 In Ames Center, L.C.

1 The Supreme Court granted Ames’s appeal but denied SOHO’s petition. -2- v. SOHO Arlington, LLC (Ames I), 301 Va. 246, 256 (2022), the Supreme Court remanded the case

after holding that the court correctly found that Ames was a third-party beneficiary but erred in

dismissing the issue as non-justiciable.

II. Pre-Trial Motions

A. Jury Demand

Contending that questions of fact required resolution, SOHO filed a demand for a jury trial.

Ames moved to strike the request and argued that the dispute involved a question of law, not fact.

Ames also asserted that Code § 8.01-188 does not provide a separate right to a jury trial for

declaratory judgment suits.2 The court denied the demand.

B. Ambiguity of the Ground Lease

In a pre-trial hearing, SOHO argued that Section 24.01 of the Ground Lease is ambiguous.

Although SOHO argued the provision is ambiguous, it posited that the provision unambiguously

gave Ames a right to work only on “structural elements . . . that can be protected by shoring and

‘proper foundations’” and that the term “building operation” only referred to “activities within the

existing buildings on Ames’[s] property.” According to SOHO, the phrase “in compliance with all

applicable provisions of all Laws and Ordinances” unambiguously meant Ames’s right to enter

must be based on other laws, ordinances, or negotiated easements—“[i]n short, the requisite

authority must be extra-contractual.” SOHO contended that Ames’s efforts to negotiate the

Cooperation Agreements supported this interpretation.

2 Code § 8.01-188 provides:

When a declaration of right or the granting of further relief based thereon shall involve the determination of issues of fact triable by a jury, such issues may be submitted to a jury in the form of interrogatories, with proper instructions by the court, whether a general verdict be required or not. -3- The court found that the lease was unambiguous and ruled that a requirement for

extra-contractual authority would render the provision superfluous. The court concluded that the

lease requires SOHO to allow Ames to enter SOHO’s property “to safeguard and preserve the

foundations, walls or structures” of the hotel for anything ranging from excavation to above-grade

constructions on the Ames property.

C. Motion to Exclude Expert Testimony

SOHO moved in limine to exclude expert testimony. SOHO argued that parts of experts

Michael L. Lenkin and Ketan H. Trivedi’s opinions were untimely disclosed. Trial was scheduled

for June 5, 2023, but was continued to August 21. A January 5 scheduling order required expert

designations by March 7. After the case was continued, the court entered a new scheduling order on

June 5 but crossed out the disclosure deadlines and wrote “moot.” The June 5 order also closed

discovery 30 days before trial, on July 21.

Ames designated Lenkin as an expert in tower cranes and Trivedi as an expert in

underpinning and support design back in November 2020. Ames supplemented the expert

designations on March 7 and July 21, 2023. Initially, Ames proffered that Lenkin would testify to

the safety and efficiency of using tower cranes in urban-setting constructions and that the use of

“two (2) tower cranes . . . is necessary and reasonable . . . and can be done without damage to

[SOHO’s] adjacent hotel building.” The July 21 supplement stated that Lenkin would opine about a

one-tower-crane plan that would “significantly increase the safety of all of the construction activities

along the boundary line and thereby minimize the risk of damage to the hotel.” Ames’s counsel

also disclosed the possibility of a single tower crane in an email to SOHO’s counsel on May 10,

2023, prior to Lenkin’s deposition.

The March 7 disclosure proffered that Trivedi would testify “that depending on . . .

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