Hamptons Marina’s Illegal Tax Claims Against Town Will Proceed

Bloomberg Tax News
A federal court ruled that a lawsuit alleging Southampton, N.Y. charged excessive fees for marina improvements can largely proceed.

Summary

A proposed class action lawsuit against the town of Southampton, New York, concerning exorbitant fees for marina improvements will proceed, following a ruling by Judge Nusrat J. Choudhury of the US District Court for the Eastern District of New York. The lawsuit, brought by marina and bar owner 31 Alanson Lane LLC, challenges the town’s requirement of a $35,280 dimensional fee based on the square footage of dock improvements. The judge denied the town’s motion to dismiss the marina’s federal and state takings and due process claims, allowing most of the lawsuit to move forward. The case centers on whether the fees charged by the town constituted an illegal taking of property or a violation of due process.

(Source:Bloomberg Tax News)

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