SETAI HOTEL ACQUISITION LLC v. LUXURY RENTALS MIAMI BEACH, INC. et al, No. 1:2016cv21289 - Document 17 (S.D. Fla. 2016)

Court Description: ORDER granting in part and denying in part 10 Motion to Dismiss for Failure to State a Claim. Signed by Judge Federico A. Moreno on 12/9/2016. (mmd)

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SETAI HOTEL ACQUISITION LLC v. LUXURY RENTALS MIAMI BEACH, INC. et al Doc. 17 UNI TED STATES DI STRI COURT FOR THE CT SOUTHERN DI STRI OF FLORI CT DA M im iDi son a vi i Cas Num be 1 21 CI M ORENO e r: 6- 289- V- SETAIHOTEL ACQUI TI SI ONS, LLC, Pl ntf, ai if VS. LUXURY RENTALS M I IBEACH,I C. AM N a KRI NE HALL, nd STI De e nt . f nda s / O R DER G M N TI G I PAR T AN D D ENY I G I PAR T M O TI N TO D I I N N N N O SM SS Pli if SeaiHot Ac stons LLC,i brngi tade a k a t tous i e f r e antf, t el quiii , s i ng r m r nd ori nt re enc c ams agans De e li i t f ndan s Luxur Ren a s M i Bea h,I and Krsi Hal, r al e t t t y tl ami c nc. itne l e sa e br ker t tr nt d outprvae c o s ha e e i t ondomi um sa t Sea Hot l a ntf cli t De e n s ni t he ti e .Pli if a ms he f nda t a e ope a i a s r r tng hadow ho e wihi t hotl a i s doi a e c e f ii diutng,a t l t n he e , nd n o ng r ount re tng, l i nd i rngi on Pl ntf s ta a ks a nf i ng ai if r dem r nd t tous y i t r e i w ih Pl i if s busnes or i l n e f rng t a nt f i s r a i hi wih t c eltons p t he ondom i um uni o r . De e ni t wne s f ndan shave moved t dim is The Co t t o s s. ur fnds t a l ga i a e i uf i e t s a e a c a m f t a m a k vi a i , butt t r i i he le tons r ns fci nt o t t l i or r de r ol tons he o tous i e f r nce c ai i s fci nty pl d. Pli ifm a fl a ame d c pl ntconsse wih nt r e e l m s uf i e l e a ntf y ie n nde om ai it nt t t sO r r hi de . THI CAUSE c beor t Cour uponM otont Dimis( E.10) S ame f e he t i o s s D. . THE COU RT has cons de e t m o i t r pons pe tne pori oft r or i r d he ton, he es e, ri nt tons he ec d, a be ng ot wi e f l a s d i t pr m i e ,i i nd i her s uly dvi e n he e s s t s A DJU D G ED t t t m o i i GR AN TED a t t tade a k cl i s w iho ha he ton s s o he r m r a m , t ut p eu iea dwi la et r tl.I i as rj dc n t e v o eie t s lo h Dockets.Justia.com AD JU D G ED t tt m oto i D EN I a t t t tous i e f e c a m . Pl ntf ha he in s ED s o he ori nt r er nce l i ai i f ma fl a a e y ie n m nded c ompli c itntwih t sor rby De mbe 20, 2016. ant onsse t hi de ce r Ba kg ound c r Pli if Se a Hot lAcq sto LLC, i t owne a ope aorofû-he Se a Ho e 'i antf, t i e uiii n, s he r nd r t ç' f t i t l'n M imiBe c Fl i Def nda Luxur Rent s M im iBea h, l i a r le t t br r ge a a h, orda. e nt y al a c nc. s ea sa e oke a fr t tm a gesprva ey owne pr tes i l y hot l i Sout Fl i , i l ng The im ha na i tl d operi n uxur es n h orda ncudi Se a Re or a Re i nc i M im iBea h. De e ntKrsi Hal mana Luxur Re al t i s t nd sde es n a c f nda itne l ges y nt s M imi Be h, l a ac nc. Pl i ifs c antf ompl nt a lges t De e nt o r t a f l - i e a e ai le he f nda s pe a e uly nt gr t d f ha i dow ho e ' wihi t Se a Ho eli l ng pr di c e ge s r c , hous kee ng s t l' t n he t i t ncudi ovi ng oncir e vies e pi s r c s a gues as it e s r i s Pl ntf c endst s a tvii scountr et diut a e vi e , nd t s sanc e vce . ai if ont he e c i te e f i, l e nd i rnge on Pl ntf ta ma ks Pl ntf s c nfi ai ifs r de r . ai if ompl nt as r ies t tous i e f e e a ai lo as ori nt rer nc nd unf i c ar ompeii cli tton a ms. De e f ndan s have be n ofe i unis f r a t Se a Ho elf r s ve ye r a t e f rng t or ent t he t i t o e n a s nd Pl i ifpur has d t Se aiHot i De e be 201 . De enda smovet dimis ctng ll antf c e he t el n c m r 4 f nt o s s ii s-he De lr ton of Seai Res rs a Resdenc , a is a e e s D e e nt a g t c a ai t o t nd i es' nd t m ndm nt . ' f nda s r ue he De lr to e i ty aut i s t t i owne st ofe t i unis f r ntt ough t r pa t ca ai n xplcil horze he m t r o f r her t or e hr hid- ry r a ag i . D e enda s a gue t D e l r ton die s uni ow ne s t r e t t Se a H ot ent l enc es f nt r he c a a i r ct t r o ef r o he t i el usng is pr r na - t ta i t ope me he r dema k a is r t s ue. Def nda s c e t us t nn oft e nt ont nd hey e he me he hot t ac ur t l de c i t geog a c l a i oft unis be ng ofe ed f r nt whih el o c a ey s rbe he r phi oc ton he t i f r or e , c c tt e af i us oft m a k. onsiut s ar e he r l L e St I. zal anda rd $ s vve a m oton t dim is pli if mus do mor t n m e el sae lgal $ ur i To i o s s , antfs t e ha r y tt e c usons'i t a pl ntfsmus ç l s oncl i , nse d ai if ' t s ege ome s ii f cua bassf t e c usonsor al pecfc a t l i or hos oncl i f ce di m i s loft rc a m s ' Jac s v Belo t T lc mm. 3 2F.d 1 5 ,1 6 ( 1hCi. a s sa hei l i . ' k on . ls u h ee o , 7 3 2 0 2 3 1 t r 2004) W he r i on a moton t dimis a c tmus vi t co ai i t lghtmos . n ulng i o s s , our t ew he mpl nt n he i t 2 f vor bl t t pl ntf and a e t pl ntf s we lpl de f ct as tue. Se St Jos ph' a a e o he ai if cc pt he ai if l- ea d a s r e . e s H os ,I .v H os Cor . o p. nc . p. p fAm. 7 5F.d9 , 5 ( 1hCi.1 8 ) Thstne, o v r d e , 9 2 48 9 3 1 t r 9 6 . i e t h we e, o s n ta py t lg lc n lso s S eAs c o v I a ,1 9 S. .1 37 1 4 ( 0 9 . M o e v r o p l o e a o cu in . e h rp . qb l 2 Ct 9 , 9 9 2 0 ) ro e , dg hiel lconcuso c npr vi t fn wor ofac ai ,he mus bes twl l ega l ins a o de he r me k ompl ntt y t uppore by td fcu l l g to . I a 1 5 . Th s 'ta t lalg to smu tb e u h t riearg t o a ta al ains' d t 9 0 o e 'l cua le ain s e no g o as ih t e ' g r lefa ve t s ultve l velo t as umpton t t a1of t compli ' al ga i a e ei bo he pec a i e n he s i ha l he a nt le tons r s tue. BelAt.Co p.v.Twombl 550 U. 544, 5 5 ( 0 7 . I s r, h c mpan mu tn t r ' l l r ' y, S. 4 2 0 ) n ho t t e o li t s o me ey alegeam ic rl l s onduc ,butmus de onsr t t tt pl ade i e il d t r le . Se I al t t m ta e ha he e r s ntte o ei f e qb , 1 S. .a 1 0. 29 Ct t 95 1 1 A nal i 1. vs s A. Do steDe lr to b rPli t ' cai a dauh rz Dee d ns' ciiis e h ca a in a a nt s l ms n t o ie f n a t a tvte ? The prma y is r i e i t m oton t dimis i whe he ç-'e De l r ton ofSe a i r s ue a s d n he i o s s s t r lh f caai ti Res t a Resde e ' co r di t t al ga i i t c pl nt r quii dimi s l of ors nd i nc s' nta cs he le tons n he om ai e rng s s a Pli ifs ta m a k a t t c am s Alhough t De l r ton wa not at c antf r de r nd or l i . t he c a a i s ta hed t t o he Pl i if s c pl i , t s Cour m a cons de i w ihout conve tng t m oton i t one f a ntf om a nt hi t y i r t t ri he i no or s mmayj d me t Br o v BleCr s & Bl eShed o o ia I c,11 F.d 1 6 ,1 6 u r u g n . o kç . u o s u il fFl rd , n . 6 3 3 4 3 9 ( 1h Ci.1 . 1 t r 997) Bo h sdesa e t De l r ton a l f t r nt lofprva er sde i unisatt t i gr e he c a ai lows or he e a i t e i ntal t he Se a Hot l TheUni Owner a t Hot lOwne ag e d t tUni Owne sc d prva e yr nt ti e. t s nd he e r r e ha t r oul i t l e t ic he r ondo i um s die l t t na s ort ough t r pa t br r . The D e a a i r ds i m ni r cty o e nt hr hid- r y oke s cl r ton ea n r evantpar : el t Iii e t s ntnded t tt Unis ma be us f r ta intand/ hot lr nt l . A s ha he t y ed o r nse or e e a s s h,lasng ofUnis( he t n Cl Unis orpori t rofs lno be uc e i t ot r ha ub t) tons hee hal t s b e tt tea p o lo t eAso ito a d o a y oh rl tto s o h rt a u j c o h p r va f h s cain n / r n t e i ain , t e h n mi e es l pr vi d he ei ...t f egoi a ho i ton f t us ofUnis f r xpr sy o de r n he or ng ut rzai or he e t o r nt l pur e s l r f r s el t r nt l t t publc f ta i nt or hot l e a pos s hal e e ol y o e a s o he i or r ns e e occ nc c upa y onduce by t Uni Owne die ty ort ough r nt lage es or td he t r r cl hr e a nci r lesaebr r . ea tt oke s Exh.A a 1 7,1 Thi pr s on a s r r s t na s t com pl w ih t oc dlr s ado e by t 6. 7. s ovi i l o equie e nt o y t t e ze pr pt d t Hot Uni Owne r r ng m a t y c k-n f Owne s a r i nt, coor na i of he el t r ega di nda or hec i or r nd esde s di ton c r ng prvieg a o he ma tr r as bl ne s ar t a l Owne sa hot lguesst ha gi i l es nd t r te s e ona y ce s y o low r nd e t o be wel i e r t i o a unii d sr t e a ope a i .'1 To t te t Dec a ai as l nt g aed nt te tucur nd r ton ' d. ha nd, he lr ton lo dr csUntOwn r t tith n me b whc t i c n o nu i t b ie tfe i S ie t i es ha l l e a y ih h s o d miim s o e d n iid s ETAI l RESORT & RESI DENCES,A CONDOM I UM . Exh.A a ! 1. NI ' ' t 3. TheDe a a i as dic s ss r cng oft condomi um uniswhiear ntri o clr ton lo s us e e vii he ni t l e e sn pr m ie .I saesasf l : e s s t tt olows ( 1 sr ieis e e o ne e (y rn a tn n)whl i -e ie ei teUnt A)l e vc su s nc u trd b e tl e a t ie nr sd nc n h i Om wrs Uni s l be a es e by t Uni Owne or is t r pa t age .. ' t ha l ddr s d he t r t hid ry nt gn th d srb to a d e c n e o Uni k y mu tb ma a e b a t id a d l e itiu in n x ha g f t e s s e n g d y hr . pa t a nt d a t s ec tand e ns oft Uni Owner ry ppoi e t he ol os xpe e he t . Exh.A !1 1c, 1 1d) I addii t t spr son whih a is t s r c is s i 7.() 7.( . n ton o hi ovii c pple o evie s ue nr i nc t De a a i sa e t t t Hot l Uni Owne , ie. t Pl ntf Se a Hot esde e, he clr ton tt s ha he e t r . he ai if t i el Ac stonsI ,ma çr tmet tme...ha t e l i rght( nott oblgai t quiii nc. y d om i o i f ve he xcusve i but he i ton) o pr de hot l a o t a i nt r nt s vi es i udi but not lm ie t s i t ton a or ovi e nd/ r r ns e e al er c , ncl ng, i t d o, olcia i nd/ pr son oft ho e e ng,pes na s r ies(.. masage pe s tai ng,dy ce ni ovii he uske pi ro l e vc ie, s , ronal r ni r la ng, ec. a orf a be r s r ce t t Condomi t a t Uni Ownes'Exh.A a ! t ) nd/ ood nd veage evi , o he niun nd he t r.' t( 1 3. l i t Pli ifs e usve rghtt pr de t s a 6. t s he antf xcl i i o ovi he e meniis t t i cli s Def nda s te ha t am e nt s d notbe pr vi ngt isr nt lg t . houl o di o t e a uess Bas d on t l e he angua ofpa a a 16. g a i t Pl i i ft te l i r g ' t ge r gr ph 3 r ntng he a nt f he i xc us ve i ht' o pr d t s t a to lho e a enii st guess, he Cour c nnotfnd t tt D e a a i n ovi e he e r dii na t l m te o t t tn i ha he cl r t o p e ld sP an ifscamsa ti j n tr . rcu e litf li t h s u ct e l #. Do st eu eo h S ti r c n ttt n mia ie aru e e h s fte ea ma k o si e o n tv f i s ? u Def nda sm' t tisus o t Se a M a k on iswe ie t de c i t l to of e nt gue ha t e f he t i r t bst o s rbe he ocai n u t a ia e f r nti a pe m isbl f i us tlhe f i us def ns , i es e e f bi a nis val bl or e s r s i e a r e. t- ar e e e n s nc , or ds ta ma k r sr ntt a oprae a des rptvet r f ise l i us a s pr ve o he s r de r egita o ppr i t c i i e m or t xcusve e nd o e nt t r fo a c rtl d s rbn a c r ce itc o t erg o s(rsr c s. 1 t1Stmp Ar,l c v r m c u aey e c iig haa trsi f h i o d o evie l' n ' a ' t n. . US Po tlSe v,45 F.d 1 7 1 4 ( 1h Ci.2 0 )( i to o te ) A d fnd n c n . sa r . 6 3 2 0, 27 1 t r 0 6 ct ins mitd . ee a t a a e t bls a f rus de e e i a def nda de sa ih ai e f ns f e nt monsr t t tisus i ot rt a am a k, i a ta es ha t e s he han s r n de c i i s ns , a i g d f ih. 1 t ne c n us a t r s m a k t t uly t i ntf s rptve e e nd n oo a t d. t o a e no he ' r m hf l o de iy a t rs g no he ' oods or s r c i or r t de c i o c pa e is pr e vies n de o s rbe r om r t odud t t m a k de ' o he r hol r s p o u ' Bd. fs pe vs r o teLo san Sae Unv v S c Ap r l .43 F. u p. d r d d. ' o u r io s f h uii a tt i. . ma k pa e Co , 8 S p 2 6 3 6 2 ( D.La 2 0 ) s eas Ne Kiso teBlc v Ne Ame ia Pu . n . 971F.d 5 , 6 E. . 0 6 ; e lo w d n h o k . w rc b I c, 2 3 2 ( t Ci.1 9 )( p o dn an ws a e ' n mig o ab n Sl Ne Ki so t eBlc ' 0 9h r 9 2 u h l ig e p p rs a n f a d %-he w d n h o k' bec us t ewer nowor a lbl t de et bandot rt nbyisname) a e her e ds vaia e o not he he ha t . Re e ng t a lga i of t s Compl i , t Pli if has not s vi wi he le tons hi ant he antf hown how t he De e ntha us d The Se a ma k be f nda s e t i r yond a f i us Pl i ifsbar al ga i onl sae t t a r e. antf ' e le tons y t t ha De e ntha çc e e a i e son of a fla i a horz ton,s f nda s tr atd n mpr s i f iton, ut i a i pons s p,o c orhi r ooper ton ai wi ( an it wh n i f c,no s c r lto hp e it. W ih u a y fcua e a ls te t Plitf e , n a t h l u h eains i x ss' t o t n a t l x mpe , h ' Com pl i as e t Def nda s us of t Se ai m a k on is w e ie and e s w he e e e a nt s rs e nt ' e he t r t bst l e r xt nds be yond whati t ea ona y ne es a y t i t f 't Set ir sD e enda sr nt The e a e no s ç s bl c s r o den iy' he a oom r f nt e . r r f c ualalega i i t Com pl n des i ng how Def ndan us t m ar be nd a i t at l tons n he ai t crbi e t es he k yo s s he Dee da tsc ne to t d s rb t eg o rphc llc to o t eu t. S h f rCo v I n o fn n ' o tn in o e cie h e g a ia o ai n f h ni c a e . . n c s Mgmt Cor ,797 F.Su 477,481 ( D. C.1 . p. pp. E. N. 992)(i ng fi us docrne a iswhe fndi ar e ti pple n maki us dt de ci ag a cl ton) W heet pladi f lt alegeus ofamak r s e o s rbe eogrphi ocai . r he e ngs ai o l e r be yond t f i us a i t ca ehe e,t pl i iff ist sa e a c am f whi r i c be he a r e, s s he s r he antf a l o tt l i or ch elef an ga td a ds sa wih u prj d c i a p o rae He se v Mf I c v Prprd ,I c, rn e nd imis l t o t eu ie s p r p it. n ly . g. n . . o ie n . 57 F. 603,61 (t Ci.2009) Stv De gn I .v SBR Mkt ,L/ ,91 F.Supp.2d 111 9 3d 3 6h r ; e o si , nc . g. t 9 f 2, 1 2 ( Ne 2 3 . Ac o dn l teCo r d s se wih u p eu ieteta e r cams 1 4 D. v. 01 ) c r igy,h u t imis s t o t rj dc h r d mak li w ih l ve t r - ea i a A m e d Com pl i . t ea o e pl d n n nde a nt C. Do sPl n t sa eacamf rtriu itre e c ? e ait tt l i o o to s nef r n e Unde Fl i lw,apli ifcami t to i eree mus ale ( )t e se r orda a antf li ng orius nt frnce t lge: 1 he xitnce o a b sn s r lto s i () d fn a ts k wld e o t a b i s r lto hp; ( ) f u ie s eain hp; 2 ee d n ' no e g f h t usne s eains i 3 d fn n ' itni n la d u j tta l itre e c wih t a b i s rlto s p;a d ( ) ee da ts n e to a n nusiib e ne frn e t h t usne s eai n hi n 4 da mage t pl ntf a a r ul. Romia- A,I v HSBC Bank USA,N. ,51 F.Supp.2d s o ai if s es t k us nc. . A. 4 l he se nes ea i hi 1 3 , 1 3 ( . Fl.2 7 . Pli if has aleged t exit nce of a busi s r ltons p 3 4 3 9 SD. a 00 ) antf bewe n t Uni Owne sa is f whih r ltons p i go r by t Dec a a i Pli if t e he t r nd tel, c e ai hi s ve ned he l r ton. antf al ge t tt De l r ton i udesapr vii gr ntng Pl i ift e l i rghtt pr de le s ha he c a a i ncl o son a i antf he xc usve i o ovi hot la ta intr t l s r i e t t Se aiand Uni Owne s kncl ng c c i s r i es e nd r nse en a e v c s o he t t r , t udi he k-n e v c , i dal s r ce ,c ir a ma ketng s r i es' Pl ntf ale s t t De e nt kne t iy e vi s once ge nd r i e v c . ai if l ge ha ' f nda s w he c t nt oft Deca ai and ne rhe e s t a ton t i e abr ac by t Uni Owne s on e s he lr ton ve t l s , ook c i o nduc e h he t r, by e our i U ni O wne s t us D ef nda s ç or t a i r nt s vi s s h a c c i nc ag ng t r o e e nt d r ns ent e al er ce uc s he k-n f sr ie ,d iy s r ie ,c n ir e a d mak tng s r ie i ta o Plitf ' Plitf as e vc s al e vc s o ceg n r ei evc s nse d f an io. anif lo ' a lgest Uni Owne sus De e nt t Pli ifsdeti e t pr de t e s r i s The le he t r ed f nda s o antf rm nt o ovi hos e vce . Cour fndst e al ga i s fc e t sae ac am f t tousi e f r nc t i hes le tons ufi i nt o t t l i or ori nt re e e. ( DON E AN D ORD ERED i Cha be s a M i m i Fl i , t s n m r t a , orda hi of D e em be c r 201 6. ep' . , FED l A .. CO , NO UNI SYXTES DI TRI J TED S CT UDGE Co e f ni hed t pi s ur s o: Cou e o Rec d ns l f or

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