Donald Trump Sued In New Lawsuit Over Failed Project

Looks like the saga of the failed Trump Ocean Resort Baja is far from over. Radar Online has documents that show a new lawsuits has recently been filed by seven investors in the project. The individuals sued not just Donald Trump but his children, Donald Trump Jr. and Ivanka Trump and others saying they were " duped into buying hotel-condominium units that were never built." The plaintiffs have asked for punitive damages of no less than $10 million dollars.

The lawsuit details the many ways that the plaintiffs feel like they were swindled by Trump. They were led to believe that Trump was directly involved when instead it was a licensing deal. The lawsuit produces evidence including newspaper stories to prove that the project was widely known as a Trump project and that Ivanka Trump and Donald J. Trump, Jr. attended key sales events for the project and announced that they would be purchasing units in the project.

What was to be a 526-suite luxury project with a spa, swimming pool, restaurants and shops has instead turned into an abandoned excavation site with six cement pads sitting on it. The lawsuit papers say that Trump and the developer Irongate did not have financing and construction permits approved before the sales and that the site itself had contamination and mold issues. There is also an allegation that certain "favored" buyers were allowed to purchase without a deposit while others including the plaintiffs were forced to tender hefty sums before purchase.

Last year after a first lawsuit in which investors sued Donald Trump and Los Angeles developer Irongate Wilshire over the failure of the Trump Ocean Resort Baja Mexico, Trump filed a lawsuit of his own. His lawsuit accessed Irongate Wilshire's principals of not following through on the plans for the five-star resort which bore his name. At that time Trump claimed that he was "unfairly targeted" by the buyers' lawsuit because he was not a developer of the project but the latest lawsuit does indicate that his family's involvement may have gone deeper than a name.