Apartment buyer suing Casden over refusal to pay judgment. (Investments & Finance).REAL estate mogul Alan Casden Alan I. Casden (born 1945) is a self-made real estate billionaire who lives in Beverly Hills, California. He is an accounting graduate of what is now the Leventhal School of Accounting at the University of Southern California. Mr. , known for hardball hard·ball n. 1. Baseball. 2. Informal The use of any means, however ruthless, to attain an objective. hardball Noun US & Canad 1. legal tangles with competitors and partners alike, faces another challenge, this time from the real estate investment trust that bought out his apartment empire. Denver-based real estate investment trust Apartment Investment & Management Co. (Aimco) filed suit May 13 demanding that Casden pay his agreed-upon share of a $120 million judgment arising from a 1998 real estate consolidation. Aimco wants Casden to "comply" with an agreement to indemnify To compensate for loss or damage; to provide security for financial reimbursement to an individual in case of a specified loss incurred by the person. Insurance companies indemnify their policyholders against damage caused by such things as fire, theft, and flooding, which its real estate syndication division, National Partnership Investments Corp. (Napico) from liabilities arising from the suit, which was already raging when Aimco purchased Napico from Casden last year. In the four-year-long lawsuit, plaintiffs claimed 18,000 limited partners in eight Napico-run tax shelters tax shelter: see tax exemption. lost more than 80 percent of their investments when Casden merged 98 properties into a real estate investment trust he controlled. Last November, the plaintiffs won a judgment against Casden, Napico and three other defendants, including Napico founder Charles Boxenbaum and Casden's older brother Henry, who is separately suing Casden over a severance disagreement. In April, a judge reduced it from $184 million to $120 million. Aimco filed its lawsuit after former investors in Real Estate Associates LP said on May 12 that they would seek to place Napico under receivership receivership In law, state of being in the hands of a receiver, a person appointed by the court to administer, conserve, rehabilitate, or liquidate the assets of an insolvent corporation for the protection or relief of creditors. after it allegedly failed to post a $90 million appeal bond. That suit was filed on May 15. In its complaint, Aimco alleges that Casden agreed to indemnify Napico from liabilities in the investors' case as part of the 2002 sale. But when the company asked Casden to reassure that he would hold it "harmless" from the verdict, Casden "did not provide the requested assurances." Meanwhile Napico has to fight off the plaintiffs, who are seeking the receivership in order to force Casden to make good on his promise. According to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. Nicholas Chimicles, an attorney for the plaintiffs, the defendants announced they would post a $30.7 million bond on one of the counts, but failed, "without explanation," to post bond on Napico's behalf as required by the agreement. A spokesman for Casden did not return calls. Casden is still tied up in a lawsuit with his older brother Henry, the former president of Casden's real estate company, who is suing to recover part of his severance and at least $225,000 in unpaid dividends Unpaid dividend A dividend declared by the directors of a corporation that has not yet been paid. unpaid dividend 1. A declared dividend that has not yet been paid. 2. See passed dividend. . Meanwhile, Casden is also being sued by rival real estate investor A real estate investor is someone who actively or passively invests in real estate. An active investor may buy a property, make repairs and/or improvements to the property, and sell it later for a profit. Ira Smedra over a still-moribund Westwood apartment project. |
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