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Judge Issues Key Ruling in Homestead Case
Posted on: 05 Jul 2024
Following a two-week trial in May, Whatcom County Superior Judge David Freeman rendered an oral ruling in the Hillius v. 18 Paradise, LLP on July 3, 2024. The decision comes at the end of a hard-fought legal battle that has embroiled the Homestead Farms community in Lynden, Washington for nearly 4 years. The judge’s decision addressed numerous claims and counterclaims of the various parties, including the decision to invalidate certain decision made by MJ Management, LLC the management company that provided management and maintenance services to the homeowners at Homestead. At the time of his oral ruling, the judge recognized that there would likely be continued litigation following his decision. Despite the wide-ranging issues addressed in the ruling, there remain several issues unresolved by the decision, including the formation of an HOA, which the Plaintiffs had sought. In particular, the decision to invalidate the increase in joint maintenance fees that were to fund years of deferred maintenance will likely have a significant impact on the Homestead community. MJ Management is currently evaluating its options with respect to an appeal of the decision. A hearing is scheduled for Friday, July 25, 2024 at 2:30 PM for entry of final orders in connection with the trial, as well as entry of judgment on attorneys fees that are to be paid by the Plaintiffs and their counsel. Readers can find additional information, updates, and insights at the Homestead case website. For media questions, interviews, or any other needs, please contact [email protected].
Court of Appeals Rules in Favor of Activist Route Consultant and Against FedEx Ground
Posted on: 15 Apr 2024
On April 1, 2024, the Court of Appeals for the Sixth Circuit affirmed the District Court’s ruling, denying FedEx Ground’s claims that Route Consultant Inc. have published false or misleading statements about FedEx Ground (“FXG”) Route Consultant Inc. provides consultancy and brokerage services that are led by Spencer Patton, who was also a contractor for FedEx Ground, who owned several independent services providers (“ISPs”) with FXG. In August 2022, Route Consultant Inc. went on a promotional campaign, in which Patton criticized FedEx Ground, among others, for not addressing the fuel and wages prices increased. This, according to Patton, results in the struggle of many FedEx Ground contractors, who are small business owners that struggle due to the price increase. FedEx Ground claimed that Route Consultant made false or misleading statements during its campaign and that the campaign premised on a “fictionalized crisis” between FedEx Ground and its network of contracted service providers. The Court of Appeals agreed with the District Court that FXG failed to plausibly allege that Route Consultant made a single false or misleading statement. This is one of the cases that Possinger Law Group is currently following closely, and the ruling is significant. It is definitely a case to watch. For more information about this case: PR Newswire: Route Consultant Prevails in Logistics Legal Battle With FedEx Ground: Court of Appeals Decision United States Court of Appeals Decision Please Note: Possinger Law Group PLLC did not represent any of the parties involved in the above case. Possinger Law Group is a boutique law firm dedicated to elite levels of service to small and medium sized businesses and the individuals that own them. Possinger Law Group has been legal counsel for FedEx Ground contractors and advised law firms representing contractors against FedEx Ground. When faced with serious problems, clients have reached out to Possinger Law Group to be a trusted advisor and advocate to be a guide through high conflict situations and complex legal challenges. In litigation matters, Possinger Law Group works with its clients to effectively resolve disputes, and when necessary, by being fiercely aggressive in litigation.
MJ Management Wins Major Victory in Homestead Golf Course Lawsuit
Posted on: 22 Mar 2024
BELLINGHAM, WASHINGTON On Thursday, March 21, 2024, Whatcom County Superior Court Judge, David Freeman, entered a decision in the case of Hillius, et al. v. 18 Paradise, LLP, et al. that has fundamentally changed the direction of the case. The decision dismisses the class action plaintiffs’ claims for violations of the Consumer Protection Act (“CPA”) against the Defendants. The court’s decision dismisses a number of parties as defendants and eliminates the plaintiffs’ most significant legal claims in a case that has dragged on in Whatcom County Superior Court for nearly four years. Through its decision, the court dismissed MJ Management, Mick O’Bryan, and Josh Williams as defendants. Defendant, 18 Paradise, LLP remains a defendant, but only limited claims remain against it. Most significantly, MJ Management and 18 Paradise remain as counterclaim plaintiffs with legal claims against the homeowners of the Homestead Farms community for years of unpaid joint maintenance fees. On Friday, March 22, 2024, MJ Management filed its motion for certification of a defendant class against the Homestead Farms homeowners, with a hearing date currently scheduled for Friday, April 5, 2024, before Judge Freeman. This decision constitutes a significant turn of events in this case that has affected the lives of Homestead Farms homeowners in Lynden, Washington for nearly four years. “The plaintiffs have now become the defendants in this case, and we will be moving forward to collect the amounts the homeowners owe our client [MJ Management],” stated attorney Jeffrey Possinger, regarding his client’s counterclaim. “This is a significant win for the defendants, one that has completely changed the momentum of this case,” stated attorney Reid Meyers, one of the attorneys working on behalf of MJ Management. “All of the plaintiffs’ money claims have now been dismissed,” said Meyers, noting that that the plaintiff’s remaining claims are essentially to determine different legal rights between 18 Paradise and the homeowners of Homestead Farms. “The plaintiffs’ financial incentives were eliminated by this decision,” said Meyers. Final orders with respect to the court’s ruling will be presented to Judge Freeman for entry in an upcoming hearing. Trial remains scheduled to begin in late April 2024. A copy of Judge Freeman’s decision is available below. Readers can find additional information, updates, and insights at our case website. For media questions, interviews, or any other needs, please contact [email protected].
NY FedEx Contractor Declares Second Bankruptcy in Seven Months
Posted on: 01 Mar 2024
CBS Trucking Inc., of Newburgh, NY, filed a Chapter 11 Petition in U.S. Bankruptcy Court, Poughkeepsie on February 7, 2024. This comes shortly after CBS initially filed for Chapter 11 bankruptcy protection in June 2023. CBS intention in its petition is to successfully reorganize its debts and emerge as a profitable residential package delivery service. According to CBS, it experienced a decrease in revenue after it lost one of its FedEx contracts in 2021. This resulted in a default on a $1,163,000 loan issued in 2020 and backed by the U.S. Small Business Administration. It is not uncommon for FedEx Ground contractors to face severe financial consequences in connection with their business relationship with FedEx Ground. FedEx contractors are advised to seek competent and knowledgeable legal representation to guide them in any legal dispute with FedEx Ground. For more information about this case: Westfair Business Journal: Newburgh FedEx contractor declares bankruptcy again Please Note: Possinger Law Group PLLC did not represent any of the parties involved in the above case. Possinger Law Group is a boutique law firm dedicated to elite levels of service to small and medium sized businesses and the individuals that own them. Possinger Law Group has been legal counsel for FedEx Ground contractors and advised law firms representing contractors against FedEx Ground. When faced with serious problems, clients have reached out to Possinger Law Group to be a trusted advisor and advocate to be a guide through high conflict situations and complex legal challenges. In litigation matters, Possinger Law Group works with its clients to effectively resolve disputes, and when necessary, by being fiercely aggressive in litigation.
MJ Management Seeks Defendant Class Action Counterclaim in Ongoing Homestead Community Litigation
Posted on: 31 Oct 2023
BELLINGHAM, WASHINGTON A major change is expected in the Homestead Farms Golf Course litigation, should a recent filing in the case be granted by the court. On October 23, 2023, attorneys for Defendant MJ Management, LLC filed a motion requesting a change to MJ Management’s pleadings. This request includes an amended counterclaim for a Defendant Class Action to prosecute additional claims against the approximate 600 individual parcel owners in the Homestead Planned Residential Community, a golf course community located in Lynden, Washington. A Defendant Class Action has been described by some legal commentators as a “unicorn” in the world of class action litigation as they are particularly uncommon, but the attorneys for MJ Management believe that this is an appropriate action for the case that has now been raging in Whatcom County Superior Court for over three and a half years. “There is no question that this is an uncommon legal theory,” says attorney Jeffrey Possinger, one of the attorneys representing MJ Management and other defendants. “But it has been used effectively in other jurisdictions around the United States, and it appears that this may be the first time a Defendant Class Action has been brought in Washington State.” The attorneys for MJ Management believe that this is the most effective way to collect the past due assessments that MJ Management alleges it is owed by the various homeowners in the community who have not paid the Joint Maintenance Fees since 2020, when the litigation began. In 2020, the monthly fee was raised to $93 per month from the $36 per month that had previously been charged to the homeowners. The attorneys for MJ Management believe that the alternative, which would require bringing over 600 separate collection lawsuits against the various homeowners, would be inefficient and expensive, and a Defendant Class Action is a more effective means of both collecting the maintenance fees that are owed, as well as equitably distributing the attorney’s fees and other costs of collection across the appropriate 600 class members. The hearing for the Defendant’s motion has been set for Friday, December 8, 2023, before Superior Court Judge David Freeman, who is presiding over the case. A jury trial is set to begin on April 30, 2024. Readers can find additional information, updates, and insights at our case website. For media questions, interviews, or any other needs, please contact [email protected].