Steptoe Delivers Victory for LAX Enterprises in Breach of Contract Counterclaim Against United Commercial Development Corporation

LOS ANGELES – LAX Enterprises, LP relied upon Steptoe & Johnson LLP to deliver a jury verdict in its favor in a breach of contract cross-complaint that also sought declaratory relief against United Commercial Development Corp. (UCDC) – a Texas corporation.  The original lawsuit arose out of the purchase of a $14 million building owned by LAX Enterprises that UCDC planned to convert into condominiums and/or apartments.  While UCDC claimed LAX misrepresented facts regarding the property and enjoyed unjust enrichment as a result, after hearing all the evidence the jury quickly delivered a verdict in LAX Enterprises’ favor, finding that LAX did not misrepresent any fact and all UCDC’s claims were unsubstantiated.

“Our Steptoe trial team did a superb job of explaining the evidence to the jury so they were able to see that UCDC’s claims had no merit, and that the company not only breached its agreement but also damaged the property,” said Michael Rahimi, the president of LAX’s general partner.

UCDC claimed the broker’s sales brochure specified that the property included access to 254 parking spaces by agreement with the owner of an adjacent facility.  It further claimed that based on this information, the company and its representative, Elias Nunley, invested $500,000 in time and money performing inspections and evaluations on the premises – funds they would not have invested had they known that only 50 parking spaces would be available.  They also claimed damages for an additional $11 million for loss of profit and expected benefit from development of the property.

Steptoe’s trial team included Seong Kim, a partner and Dylan Ruga, an associate in the firm’s Century City office.  Kim notes, ”The jury was quick to understand the critical facts in this case and not get waylaid by UCDC’s claims of misrepresentation in order to try to back out of the sale.”  Kim continued:  “We are glad to have been able to provide complete vindication to our clients.”

About Steptoe & Johnson LLP
With more than 450 attorneys, Steptoe & Johnson LLP provides counsel and representation in a wide range of legal fields. In more than 60 years of practice, the firm has gained a national and international reputation for vigorous representation of clients before governmental agencies, successful advocacy in litigation and arbitration, and creative and practical advice in guiding business transactions. The firm has offices in Washington, New York, Chicago, Phoenix, Los Angeles, Century City, London, and Brussels.