City of St. Louis Wins Partial Victory in Court Battle With Paul McKee’s Bank

By on April 18, 2019

From St. Louis Post-Dispatch:  The city of St. Louis won a partial victory Tuesday in its ongoing legal battle with developer Paul McKee’s primary lender, Bank of Washington, but a lawyer for the bank signaled that won’t stop its litigation.

In a 14-page ruling, St. Louis County Circuit Judge Michael Burton said the bank could not ask a court to partially undo a contract it had entered into with a city economic development agency as part of the effort to assemble 99 acres for the National Geospatial-Intelligence Agency.

That decision effectively negates the bank’s efforts to reinstate its claims on the land north of downtown that has since been transferred to the mapping intelligence agency for its $1.7 billion western headquarters.

The judge also dismissed Bank of Washington’s accusations of fraud, negligent misrepresentation and unjust enrichment against the Land Clearance for Redevelopment Authority.

However, the ruling did not dismiss the bank’s claims of fraud and negligent misrepresentation against an affiliated entity, the LCRA Holding Corporation, which the city’s economic development arm used to assemble land for the NGA.

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