Developer Can't Recover Special Damages In $112M Loan Row

Law360, New York (September 19, 2012, 8:37 PM EDT) -- A New York federal judge on Tuesday trimmed claims in a contract fight over a $112 million loan to develop an Arizona hotel, saying the developer can't recover special damages related to the lender's decision to pull funding when it suspected an inability to pay.

U.S. District Judge Laura T. Swain granted lender iStar RC Paradise Valley LLC's motion for partial summary judgment, finding that the intentional breach alleged by Five Star Development Resort Communities LLC is not enough to trigger an exception to a clause...
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