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Multibank 2009-1 RES-ADC Venture LLC v. Savannah River Club LLC

Fees expended in a prior litigation are not recoverable under O.C.G.A. § 13-6-11.

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Multibank 2009-1 RES-ADC Venture, LLC “Multibank” first filed the underlying complaint for breach of promissory note and guaranty agreements against Savannah River Club, LLC, Gerard M. Koehn, Steven L. Stamm, John Visser, Frank Montagna, Goldridge Group, LLP, and MV Developments collectively “SRC” in the United States District Court for the Northern District of Georgia and later filed a suggestion of lack of jurisdiction in that court. The district court concluded that it lacked subject matter jurisdiction and dismissed the case without prejudice. Multibank refiled its complaint in the Superior Court of Gwinnett County. The Gwinnett County trial court thereafter granted Multibank’s motion for summary judgment on its claims for breach of promissory note and guaranty agreements, dismissed SRC’s counterclaim for setoff recoupment of damages, and denied Multibank’s motion for summary judgment on SRC’s counterclaim for OCGA § 13-6-11 bad faith attorney fees in the federal litigation of the case.

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