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LAS VEGAS-The developer of the stalled Fontainebleau resort may appeal the legal ruling that stalled its lawsuit against the would-have-been final-stage lenders for the partially completed multi-billion-dollar development. It may also appeal the ruling that moved the lawsuit from US Bankruptcy Court to US District Court. The project, which sits 70% complete at the north end of the Las Vegas Strip, is in the process of being sold out of Ch. 11 bankruptcy by a court-appointed examiner.

“The court’s orders raise issues of law concerning which there are substantial grounds for difference of opinion,” attorneys for Fontainebleau said in court papers filed Friday, according to the Las Vegas Sun. The attorneys reportedly also stated that if Fontainebleau does appeal, a decision should be made at the earliest possible time because the lawsuit remains “an important part of its efforts to reorganize” and “deferring an appeal until the conclusion of these proceedings would undermine those efforts and, even if successful, would almost certainly come too late to be of any real assistance,” the company said in its filing, according to the article.

District Judge Alan Gold in Miami in late August denied the developer’s motion for summary judgment against the final-stage lenders, saying that to approve it there needed to be no question as to the plaintiff’s argument that the lenders breached their obligation to provide $656 million to complete and open the resort. “Material issues of fact exist as to whether defendants were excused from their obligations under the credit agreement,” he concluded.

For more detail on why the motion for summary judgment was denied in the first place, click here. For the full Sun story, click here.

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