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Published: July 16, 2008
DADE CITY - A judge's ruling Tuesday endangered the claims of 41 nudists who sued Caliente Resorts last year over what they say were bait-and-switch sales tactics.
The ruling means three plaintiffs who attended an April mediation and signed a settlement agreement are now bound by its terms. The other 38 now face a contempt hearing for failing to show up at the mediation.
They must appear before Circuit Judge Wayne Cobb and explain why they didn't attend the mediation and tell Cobb why he shouldn't enforce the settlement.
Enforcing the terms of the settlement would amount to a victory for the Land O' Lakes nudist club.
The plaintiffs sued Caliente, saying they signed agreements to buy property after they were told the lots would cost roughly $50,000. The property had not yet been platted by the county, so they agreed to rent the lots until they were available to buy. But by the time the land became available, the prices jumped to roughly $100,000, the complaint states.
The club has maintained the signed agreements contained no stated selling price. Instead, buyers were told what the lots would have cost had they been available for sale when they signed their agreements.
Months passed before the land was platted. In the meantime, the Pasco County real estate market boomed. Prices doubled, club officials have said.
Cobb sent the case to mediation this year. According to arguments made in court Tuesday, the parties spent a grueling day in April attempting to hash out a settlement. John Lakin, attorney for the plaintiffs, attended the mediation with three plaintiffs who were authorized to act on behalf of the entire group "without further consultation."
By day's end, the three plaintiffs and club officials signed an agreement saying the claims would be dismissed if the club reduced the plaintiffs' club membership dues by 40 percent for five years and reduced their rents $100 during the same period.
In court Tuesday, Lakin argued the agreement was contingent on the consent of the other 38 plaintiffs, who later rejected the terms.
But Cobb ruled the three plaintiffs' signatures bound them to the terms, regardless of whether the others accepted them. Cobb also said the other 38 should have appeared at the mediation and now could be forced to accept the terms, too.
"That's exactly why they should have been there - to settle this case," Cobb said.
Lakin told Cobb he plans to appeal the ruling to the 2nd District Court of Appeal.
No date has been set for the contempt hearing. Getting all of the plaintiffs into town for the hearing could be problem. Some live as far away as Canada.
Reporter Todd Leskanic can be reached at (352) 521-3156 or tleskanic@tampatrib.com.
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