Evelyn Greenstone Kammet (Miami, FL) (Condominium D&O) This federal action centered on unit owner allegations that the condominium’s Board Members engaged in a pattern of racketeering including the laundering of money through the Association’s commercial units (i.e. tiki bar, restaurant, beach club and hotel operation), embezzlement, and misappropriation of Association funds and insurance proceeds. Plaintiffs also alleged the Defendant Board Members diverted Association funds to their own personal business entities, improperly expanded privately run commercial operations onto the common areas (i.e. enlarged outdoor facilities, concession rentals of beach umbrellas and lounge chairs), and improperly assumed control of the valet operation and parking areas for commercial unit use, among other allegations.
After the filing of Plaintiffs’ Amended Complaint, Ms. Greenstone Kammet obtained a Final Order of Dismissal with Prejudice on the basis that Plaintiffs’ claims were barred by the execution of a prior settlement agreement between the parties and the pendency of two state court actions to enforce said settlement agreement. Because the specific claims asserted by Plaintiff were the subject of the settlement agreement and previous lawsuits, the federal court agreed that Plaintiffs’ claims were barred by the doctrine of collateral estoppel and claim preclusion, and thus dismissed the action with prejudice.