Court Rules For Caruso

With this ruling, the Caruso lawsuit returns to Los Angeles Superior Court for a trial date to be set, according to Caruso's attorney, Henry Shields of Irell & Manella. Caruso's lawsuit stems from a long-running battle between the L.A.-based developer and General Growth over Caruso's plans to build a retail, housing and entertainment development called Americana at Brand across the street from General Growth's Glendale Galleria regional mall.

The Glendale City Council approved Caruso's project in April 2004, after which General Growth supported a referendum for a city-wide election on the project. Voters approved the Caruso project in September 2004.

Caruso's lawsuit claims that during the two companies' campaigns on the referendum, General Growth intimidated tenants that were exploring leasing at the Americana at Brand, interfered with Caruso's business and employed unfair business practices. The Americana at Brand project is a $264.2 million mixed-use development set on 15.5 acres that includes a two-acre park surrounded by a pedestrian promenade, fountains and outdoor seating and gathering places.

It will feature 475,000 sf for retail, restaurants and entertainment, along with 338 residential units. Caruso says the lawsuit over his project has national implications because it "has the potential to be a landmark, precedent setting case for the retail industry."

General Growth officials could not immediately be reached for comment, but the company in the past has cited its policy of not commenting on pending legislation. The California Court of Appeals ruling came in the second appellate district in Los Angeles. The panel included Justice Vaino Spencer and Justice Miriam Vogel, with Justice Frances Rothschild writing the opinion.