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Excerpt:
City of Alameda officials are claiming a victory after a federal judge decided to limit the lawsuit that SunCal Companies has filed over Alameda Point to cover just whether the terms of their former exclusive negotiating agreement prevent SunCal recovering damages.
Judge Charles Breyer said he had "a serious concern" with the legal viability of SunCal's claims for $100 million in lost profits, but would not rule on it until discovery was complete, according to city officials.
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In soundly rejecting Measure BSunCal's ballot measure to redevelop Alameda Point. It was defeated by a vote of 85 to 15 percent on February 2, 2010. on Feb. 2, Alameda voters sent the developer SunCal a clear message. Guy Span of The San Francisco Examiner put it very well. "What SunCal did not expect is that the poorly funded opposition ($50,000) could overcome the million dollar mailers, happy talk, TV commercials and glossy plans they put before the voters," Span stated. "Only 15,000 voters showed up at the polls but 85 percent of them told SunCal, the developer, to take a hike."
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The company seeking to redevelop the former Navy base here is seeking more than $100 million in damages against the city of Alameda because it says local officials acted in bad faith in a bid to sideline its efforts so they could redevelop the site on their own.
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Suncal Cos. is suing the City of Alameda, seeking $100 million in damages after the city dumped the firm as master developer of Alameda Point, a former naval air station.
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After threatening legal action if the city decided to part ways, developer SunCal filed a complaint against Alameda for breach of contract and a violation of the Constitutional contract clause over the Alameda Point development.
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Alameda’s city attorney is denying SunCal’s claim that the city violated a contract offering the developer exclusive rights to negotiate a deal to develop Alameda Point. The Southern California developer sued the city Wednesday in federal court in an effort to force the city to bring them back to the negotiating table.
COMPLAINT FOR:
1) BREACH OF CONTRACT;
2) VIOLATION OF THE
CONTRACT CLAUSE OF
UNITED STATES
CONSTITUTION;
3) INJUNCTIVE RELIEF/SPECIFIC
PERFORMANCE; AND
4) DECLARATORY RELIEF
DEMAND FOR JURY TRIAL
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SunCal Companies is suing the city in an effort to be reinstated as developer for Alameda Point.
In a suit filed Wednesday in a state court in Santa Ana, the Southern California developer claims the city violated the exclusive agreement it signed to negotiate a development deal with SunCal by blocking its efforts to meet the terms of the agreement.
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Representatives for SunCal Companies say the Southern California developer has sued the city for breach of contract. They want to be able to continue their efforts to develop Alameda Point.
They’re saying the city negotiated with SunCal in good faith until 2009, when Ann Marie Gallant was promoted to interim city manager. They’re accusing Gallant and unnamed others of seeking to get rid of SunCal to take over the Alameda Point redevelopment project.
[Story includes copy of the complaint]