Nevada developer ordered to complete land deal
KINGMAN, Ariz. — A Mohave County Superior Court jury in Lake Havasu City has delivered a trial verdict favoring plaintiffs who alleged Nevada developer Jim Rhodes breached his end of a land purchase agreement.
The jury deliberated 40 minutes Tuesday before settling the dispute between the Walnut Creek Estates-McAlister Investments partnership and the Rhodes-held American Land Management Co.
Scott Dunton, a Kingman businessman and member of the plaintiff partnership, cried foul in the spring of 2005, alleging breach of an agreement wherein Rhodes would purchase nearly 6,900 acres in Golden Valley and sell most of it back to Dunton. Claiming Dunton opened escrow to purchase the property in a manner different than was agreed upon, Rhodes refused to complete the deal and kept all of the property.
Plaintiff attorney Doug Gerlach said Judge Randolph Bartlett, following the jury verdict, said that he would order Rhodes’ firm to proceed with the original plan enabling the partnership to acquire roughly 5,200 acres for about $5.35-million.
Gerlach said he was directed to draft a proposed order of judgment including a claim for court costs and attorneys fees.
“All we have ever wanted is our property and our attorney fees,” Dunton said.
Spokeswoman Lisa Urias said Rhodes is disappointed with the trial outcome and is considering an appeal. But Gerlach said he thought an appeal would be a “lost cause.”
“There are any number of different, independent discreet ways that you can rationalize a decision for the plaintiffs,” Gerlach said. He said he’ll be asking for more than $100,000 in attorneys fees and no more than $10,000 in court costs.
The trial loss represents another setback for Rhodes’ development foray into Arizona.
He was granted a stay last week in his 25 month-long quest for approval to operate water and wastewater utilities to serve a master-planned community he plans to build on other land he purchased in Golden Valley.
Administrative Law Judge Dwight Nodes approved the stay after Rhodes’ lawyer, Jeffrey Crockett, said they’d like some time to explore other means of delivering utility services to the project.
