Following an eight-year legal battle, an investment consultant who played a key role in the development of Las Vegas City Hall and Bonneville Transit Terminal was won a $2.6 million judgment against Las Vegas Land Partners, LLC.
In 2006, Las Vegas Land Partners enlisted the help of Russell L. “Rusty” Nype to find a development partner for city hall and the transit terminal property, which bordered Clark Avenue and Garces Avenue on the north and south, and Casino Center Boulevard and Main Street on the east and west.
Nype brought in Cleveland-based Forest City Enterprises Inc. to develop a new home for city government as well as take a sizeable stake in the redevelopment of downtown Las Vegas. One block became the site of City Hall, while the Regional Transportation Commission built its Bonneville Transit Terminal on another.
Las Vegas Land Partners refused to pay Nype because they claimed that he needed to be licensed as a real estate salesman or broker. Clark County District Judge Rob Israel originally agreed, ruling in 2011 that the project had morphed into a straight property sale, requiring Nype to hold a Nevada real estate license.
However, in October 2013, the Nevada Supreme Court overturned this ruling, sending the case back to the district court to determine whether Nype could be compensated as a consultant for his efforts on behalf of Las Vegas Land Partners.
Based on the evidence shown during the trial, Israel ruled April 10 that damages amounted to $5.2 million but reduced the award to Nype by 50 percent, attributing some of the work to another company with which Nype was associated.
Joshua Reisman, Nype’s trial counsel, estimated that, due to seven years of pre-judgment interest, the judgment in Nype’s favor will amount to approximately $3.6 million.
“I’m so happy for Rusty that he is finally being recognized for the invaluable services he performed for both Las Vegas Land Partners and downtown Las Vegas,” Reisman said in a statement. “Hopefully this nightmare for him is actually at an end, and he can move on to other projects.”
