South Central Farmers Feeding Families v. City of Los Angeles
Plaintiffs South Central Farmers Feeding Families and its individual members appeal a judgment entered in favor of defendants Libaw-Horowitz Investment Company (LHIC), the City of Los Angeles (City), and other defendants. Plaintiffs lawsuit, a taxpayer claim for waste under Civil Procedure section 526a, challenged the Citys sale of a 14-acre property (the LANCER property) to LHIC. In exchange for the property, the City received $5.05 million, a 0.3-acre sewer easement (which prevented the property owner from building on the land above the easement); donation of 2.6 acres for a public park; a $500,000 cap on the Citys environmental liability and cleanup costs for the site; and creation of 200 jobs from development of the site. This comprised valid and adequate consideration for the Citys sale of the LANCER property to LHIC, and provides a basis for affirming the trial courts judgment that no waste of City property occurred. Court affirm the judgment for defendants.
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