Trump Waikiki buyers sue developer - Austin Business Journal:

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The lawsuit, filed in 1st Circuit Court in Honolulu, alleges that Los Angelesx developer claimed in a 2006 presx released that the New York real estate mogul was a but that the fine print noted that Trump had merelhy licensed his name in a deal that could be terminatefd or revoked atany time. “These people were investing in aRolls Royce. They were told it coul d magically turn intoa Ford,” said attorney Warrebn Price, who filed the lawsuit on behalf of the who include six Hawaii couples, two doctorz from San Diego, the head of a Californiz meat exporting business and a professionapl basketball player from New Orleans.
Priced plans to amend the complaint within the next two weeks to included buyersfrom Japan, he said. A spokesman for Irongate issueds a written statement saying the developer would pursue its own claim againstthe buyers. All 464 units of the 38-story hotel-condominium tower at the Diamond Head end of Fort DeRussuy sold in one day inNovember 2006. About half of the buyers are from the balance arefrom Hawaii, the Mainland and othert countries. The buyers of the 11 unite had placed deposits of 20 percent on everythiny from studios pricedat $500,00p0 to three-bedroom suites priced at severapl million dollars. The project is nearing completion.
The sales contract did say that the Trumpl namewas licensed, but it did not outlinre the details of the licensing Price said. However, it did say that if the license was terminateedor revoked, that all references to Trumop would be removed from the “Our position is not that they committee fraud,” Price said. “There are a host of very materia facts, material because the name changed from the Trump International tothe ‘Branxd X’ hotel.” The lawsuit comes just as a big deadlind looms for buyers. On Wednesday, buyers have to pay the balanc of the purchase price in full in preparationb fora Sept. 1 closing.
“Thew final payment is due on Wednesday, and thesw people are not going to make anymore payments,” said a former Hawaii attorney general. “They’ve alreadgy put 20 percent down.” The buyers filed on Monday because they are at risk of losingg theirdown payments, and also face a greated risk of being sued by Irongatse for the full purchase In March, dozens of buyers at a planned Trump condo resort in Baja Californiaz filed a lawsuit with similar allegationa regarding the use of Trump’s name, the Los Angeles Timeds reported.
Trump sued Irongate a month later charging the developet with failing to build the project afte r he had licensed his according tothe newspaper. That litigatiohn began to worry the Hawaii Price said. “People beganh to wonder what happens if theree is a disintegration of the relationshilp between Irongate and and what could happen with the Price said.