Posts Tagged Golf course
Cordillera Update from the Eagle County Times: Alpine Bank – Backs Off in ongoing Cordillera Litigation
December 11, 2011 by eaglecountytimes
by Paul Drake and Della Street
…in a surprise move for some observers…local Alpine Bank ‘rescinded without prejudice’ their legal request for a ‘Limited Receiver at the Eagle County District Courthouse late last week.
As reported last week by the ECT (Click Here) Alpine Bank filed in District Court for a ‘limited receiver’ to be appointed by the Judge…because Alpine’s Note to the Cordillera Golf Club, LLC (read:Wilhelm Family Partnership) was behind in monthly payments due Alpine, according to Court documents.
Late this past week (presumably because Alpine was paid? and Alpine’s loan to the CGC, LLC – is now current?) Alpine backed off their request – from the week before (Click Here) to read the recently filed Court document.
There are still many more ‘unknowns’ in this case than ‘knowns’. Presumably, based on the fact that there isn’t a ‘limited receiver’ appointed by the Court – the Cordillera Golf Club, LLC can legally send their Annual Membership Dues notices to current members and expect to be paid in full during the January 2012 time frame.
It is a well documented fact – that last year at roughly this time – David Wilhelm (owner of the CGC, LLC) made promises (via emails) to existing members – that if they paid their dues on time and in full ALL Cordillera Golf Courses would open at the beginning of the Golf Season (2011) in Cordillera (Click Here from June 12th 2011).
Because of changing financial conditions at the CGC, LLC Mr. Wilhelm did not (as promised) open all the Golf Courses last year – a fact – that is now being litigated against David Wilhelm in a separate legal action – from Alpine Bank’s action.
Insiders at Cordillera believe it’s going to be some time before all these lawsuits are resolved. The ECT folks think so too.
December 4, 2011 by eaglecountytimes
by Paul Drake and Della Street – Sunday, December 4th 2011
Local Alpine Bank – files in District Court against Cordillera Golf Club, LLC (read:WFP, Wilhelm Family Partnership et al).
Recent public record Court Filings show that the owners of the Cordillera Golf Club took out a Note with Alpine Bank for $13.7 Million on 26JUN2009. This loan from Alpine Bank was a performing loan right up until, October 26th 2011, when CGC, LLC failed to make the monthly payment due Alpine on that date.
Court documents show – per the loan agreement Alpine wasted no time notifying the borrower of their obligations and notifying borrower of what Alpine’s legal remedies are per their signed 26JUN2009 loan agreement.
Since the CGC, LLC has since failed to pay…on November 25th 2011 Alpine filed in District Court with a legal request to put the Cordillera Golf Courses in (limited receivership) as is Alpine’s right per their agreement Court documents show. Alpine’s loan to CGC, LLC was secured in part by the condition and existence of all Cordillera Golf Courses…not to mention the annual membership dues paid by Golf Course members.
As of December 4th 2011, the District Court Judge – Thomas Moorhead has not ruled on Alpine’s request for limited receivership.
What we also know…Last month (in a separate/different civil case – 2011CV552) the Cordillera Golf Club membership litigation was Granted “Class Action” status by District Court Judge Fred Gannett for a lawsuit against the Wilhelm Family Partnership, who are the current owners of record for all Cordillera Golf Courses.
Further, the legal request filed by WFP to remove the individual lawsuit against (son Patrick Wilhelm) was denied by Judge Gannett as well. Bottom line, the WFP and it’s owners continue to be sued individually.
What else do we know? Traditionally, the Cordillera Golf Course would send out it’s annual membership dues bill that was due no later than January.
What we don’t know (yet)…is plenty
Will the WFP and it’s owner David Wilhelm file for Bankruptcy protection? Don’t know yet.
Will the District Court Judge grant Alpine’s request for Limited Receivership? Don’t know yet.
Will Alpine Bank – file – in order to start Foreclosure on all Cordillera Golf Courses currently owned by the WFP? Don’t know yet.
Last years Cordillera Golf Course membership dues paid in January was ~$8 Million dollars in total.
What possible legal claim could the WFP make – should Judge Moorhead rule and grant a Limited Receivership? Legal Claim that is, that the Annual Golf Course membership dues be paid to the WFP as opposed to the Receiver should one be appointed by Judge Moorhead?
BREAKING NEWS Sunday, December 4th 2011 – Plaintiffs – Cordillera Golf Course membership (et al) file in District Court to have a “Contempt Citation” Issued against Wilhelm Family Partnership, LLC and against David Wilhelm personally. (Click Here)
On June 24th 2011, District Court Judge Fred Gannett entered a TRO (temporary restraining order) that further defined “what” the Owner (WFP) could spend Cordillera Golf Course Membership dues on (Click Here). In short, exclusively for the care and maintenance of the Cordillera Golf Courses and Club Houses. According to the (just filed) District Court Documents, Plaintiff’s claim WFP has ‘violated’ that TRO issued last June by District Court Judge Fred Gannett.
In their filing the Plaintiffs document several instances they claim have constituted a violation of that TRO, where the WFP has spent thousands on items and personal compensation not allowed (they claim) under Judge Gannett’s TRO.
We’ll all have to wait and see what happens next.
Vail, CO Colorado
When Club at Cordillera owner Wilhelm and the Wilhelm Family Partnership refused to open three of Cordillera’s four golf courses this summer, he breached his contract with club members, according to a lawsuit filed last week in District Court.
The lawsuit says, in effect, that Wilhelm took up to $8 million this year to run golf courses, then announced he’d keep the money but not open the courses.
“After … he had collected the annual dues for 2011, David Wilhelm announced in an email to club members that he would not open all the golf courses but would close three of the four golf courses and their associated clubhouses,” the lawsuit said.
Cordillera’s membership plan calls for access to four golf courses and facilities.
And that is where Wilhelm could end up on the hook for up to $100 million in membership deposits, as well as the $8 million in this year’s dues.
“If he has materially breached all of those membership agreements, and the club no longer exists as we have known it, we want our membership deposits back,” said Cheryl Foley, the lead plaintiff in the lawsuit filed last week.
In their lawsuit, the plaintiffs produced emails in which Wilhelm promised that, “We will open and provide members access to all four golf courses, clubhouses and related facilities in 2011.”
They produced an email in which Wilhelm said, “We understand this has been a concern for many of you and we trust that this will allay any fears or reservation you may have.”
But in May, Wilhelm slapped a $96.5 million lawsuit on Cordillera’s property owners associations, the Cordillera Transition Corporation and several individual property owners. Wilhelm asserted that they were conspiring to squeeze him out of the Club at Cordillera.
The next day, Wilhelm announced he would not open two of Cordillera’s four golf courses. The maintenance crews, dozens of people, were all fired that morning.
“He promised everyone in an email that if we paid our dues he’d open the courses, but then he just changed his mind, which just doesn’t seem nice,” Foley said.
Dozens of jobs were lost – both permanent and seasonal – and families were devastated when Wilhelm refused to open the golf courses, Foley said.
The Cordillera Metro District’s bond ratings were lowered in the wake of all this, which will make it more costly for them to borrow money.
“This is not right,” Foley said. “It’s unfair and it’s someone in a position of power exercising that power over people who cannot fight back.”
“If we can all do our little part to help them, then that’s what we’re going to do,” Foley said.
The property owners, led by Foley, an Edwards local, and four other Cordillera residents, won a victory last week when District Court Judge Fred Gannett issued a three-phase ruling on their behalf:
• Wilhelm is banned from spending membership dues money on anything except “the necessary maintenance and operation of the Club’s four golf courses and related facilities.”
• A certified public accountant will audit Wilhelm’s books every month.
• The property owners and plaintiffs get to approve the accountant.
“Cordillera Club members obtained a temporary injunction requiring the appointment of an independent accountant acceptable to the members to monitor the expenditure of funds from the dues account, and to perform an accounting,” said Brett Heckman, their attorney.
The lawsuit is filed not only by the five named plaintiffs, but also “on behalf of all others similarly situated,” which leaves open the possibility of a class action lawsuit against Wilhelm.
“It’s something we are continuing to discuss. It’s our intention to protect everyone who paid their dues and their membership deposits,” Foley said.
Staff Writer Randy Wyrick can be reached at 970-748-2935 or firstname.lastname@example.org.