Calif. Redevelopment Elimination — Not Yet

Law360, New York (September 15, 2011, 1:54 PM EDT) -- On Aug. 11, 2011, the California Supreme Court issued an order temporarily staying portions of the redevelopment legislation that would eliminate California redevelopment agencies (RDAs). The court modified the order on Aug. 17, 2011, to clarify some ambiguities in the original order (modified order). While the orders have effectively frozen the ability of RDAs to conduct new business, obligations under existing contracts (including owner participation agreements or other agreements entered into prior to the enactment of the legislation) will remain intact.

Further, for the time being, the court's orders stayed the schedule for eliminating RDAs, transferring RDA assets and responsibilities to...

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