US Bank's Fraud Claims Tossed From $100M Guaranty Row
By David McAfee
Law360, Los Angeles (November 12, 2013, 9:00 PM ET) -- A New York state judge on Friday granted a motion from Lightstone Holdings LLC and others to dismiss “newly minted” fraud allegations brought by U.S. Bank National Association in a long-running dispute over a $100 million guaranty connected with the purchase of formerly bankrupt Extended Stay Hotels LLC.
In February, a New York appeals court restored U.S. Bank’s claims against Lightstone over a guaranty the real estate company allegedly owes in connection with a $4.1 billion loan contract for its purchase of Extended Stay. A lower...