Tribe Wants to End Deal with Casino Developers
The Seminole Tribe wants a judge to break what it calls an "illegal and unconscionable" contract with the developers of the Seminole Hard Rock Hotel & Casino complexes, saying the deal negotiated by its leaders could cost tribe members $2 billion.
The filing in Broward Circuit Court said developer Power Plant Entertainment has been paid more than $310 million in the two years since the tribe opened new casinos in Hollywood and Tampa. The tribe contends that Power Plant stands to make more than $2 billion over the first 10 years of the contract for "doing absolutely nothing. "Since the Hollywood Hard Rock opened in May 2004, Power Plant has "provided no services to the tribe," the lawsuit said. Alan J. Kluger, the tribe's attorney, said tribal gaming nationally has expanded rapidly in the past five years, and along with it laws and understanding of Indian agreements with developers.
While the deal seems one-sided "in hindsight," it may have appeared reasonable at the time, he said. "The tribal leadership isn't taking this action because it is being greedy, but because it has a fiduciary duty to its members," Kluger said, adding the tribe will keep making payments of $18 million a month during the lawsuit. "Obviously, $1. 7 billion or $2 billion is not reasonable. "
May 24, 2006
Posted By Susan Torres
Staff Editor, CasinoGamblingWeb.com
Previous Page | Internet Gambling | Top Online Casinos | Submit News!