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$48M Mar Lago Verdict, Insurers Avoid Payout

$48M Mar Lago Verdict, Insurers Avoid Payout

AC

Angad Chatha

Angad Chatha is a law graduate from Amritsar, Punjab, with over two years of experience in legal research and analysis. He has developed a strong niche in working with expert witnesses, providing critical support in preparing legal research and case studies. Known for his analytical mindset and attention to detail, Angad consistently delivers thorough and well-grounded insights that enhance case summaries. His commitment to accuracy and a deep understanding of legal frameworks make him a valuable asset in complex legal sector.

5 min read
$48M Mar Lago Verdict, Insurers Avoid Payout

Case background: facts in the backdrop of the incident

Lynette R. Jividen leased Unit 1422 at Mar Lago Village in Plantation, Florida. She signed her first lease on January 15, 2016, and renewed it on December 17, 2017. ML Casa V, L.P., doing business as Mar Lago, owned the property. ZRS Management LLC managed the complex. EDS Advisors, Inc., doing business as Florida Contractors, Inc., performed roof work. The unit sat at 300 Commodore Drive, Apartment 1422. Soon after, water intruded through the roof and structure. Mold then grew within the ceilings, walls, and attic. Conditions inside the unit changed markedly. The living space transformed into an environment with abnormal moisture and microbial growth.

Roof leaks existed in 2015, before Jividen moved in. Defendants knew of leaks in Unit 1422 and neighboring units. They did not disclose this history to her. They used cosmetic fixes instead of full remediation. Leaks continued through ceilings and walls. On April 24, 2017, she reported new leaks and falling drywall. Two days later, staff said many buildings leaked and repairs would come later. Patchwork repairs went untested. Moisture reached attic wood and drywall. Mold proliferated. On June 15, 2017, management asked her to stay in a hotel without expense support. On June 27, 2017, she ordered mold testing. The report showed very toxic mold indoors. After Hurricane Irma, defendants focused on insurance. Yet leaks and mold predated the storm. Limited remediation occurred in October 2017. A roof replacement followed in late December 2018.

Injury: Plaintiff’s injuries and their impact

Jividen inhaled contaminated indoor air over many months. She experienced illness soon after exposure. Medical testing linked her condition to mold and microbial chemicals. Symptoms affected immunity and respiration. She also reported fatigue and discomfort. Because risks persisted, she spent time away from the unit. Daily functioning and comfort declined. The exposure created lasting health concerns and uncertainty.

Damages

The unit became unfit for human habitation. Furniture, clothing, and personal items were contaminated. She lost use of the dwelling and property. She incurred moving expenses and other out-of-pocket costs. She paid for environmental testing and expert evaluations. She required medical care and related expenses. Future treatment and medical monitoring remained likely. She reported pain, suffering, and mental anguish. Loss of enjoyment of life continued. Claimed damages exceeded $15,000, exclusive of interest, costs, and attorney’s fees.

Key Arguments and Proceedings

  • Plaintiff(s): Alarcon Jesus

  • Counsel for Plaintiff: Isabel Shiganian

  • Defendant(s): 10th Street Property LLC | City of Los Angeles

  • Counsel for Defendants: Kevin Clifford Anderson | Craig Joel Mariam

Claims

Count I alleged negligence against ZRS Management LLC. ZRS managed maintenance and repairs, failed to warn of defects, and performed inadequate work. Count II alleged gross negligence against ZRS. ZRS leased the unit despite known leaks and risks, showing willful disregard. Count III alleged negligence against Mar Lago Village. The owner failed to disclose hazards or repair defects, causing exposure and loss. Count IV alleged gross negligence against Mar Lago Village. The owner covered visible mold, rented the unit, and ignored professional remediation. Count V alleged negligence against EDS Advisors, Inc., d/b/a Florida Contractors, Inc. The contractor performed deficient roof repairs, failed to stop leaks, and contributed to unsafe occupancy. Plaintiff requested compensatory and punitive damages, costs, and a jury trial.

Defense

In their response to Counts I and II of the complaint, defendants ML Casa V, L.P. and ZRS Management LLC issued a general denial of most allegations, admitting only limited jurisdictional facts, their ownership and management roles for the Mar Lago property, the plaintiff’s lease agreements, and certain duties required by law. They disputed liability for the plaintiff’s injuries and damages, contending that they maintained reasonable portions of the premises and lacked knowledge of many of the plaintiff’s alleged conditions and health issues.

The defendants raised multiple affirmative defenses, asserting comparative negligence, assumption of risk, and failure to mitigate damages. They argued that third parties, not under their control, were responsible for the alleged harm, and claimed the plaintiff breached lease provisions, including requirements for personal liability insurance, prompt written notice of leaks or mold, and granting access for repairs. They maintained that any recovery should be reduced by benefits already received and sought attorney’s fees under the lease.

Jury Verdict

On April 29, 2021, in Case No. CACE-18-011479, the court entered a verdict in favor of plaintiff Lynette R. Jividen against the defendants, awarding $48,257,922 in total damages. This substantial award reflected compensation for her alleged personal injuries, property damage, and related losses stemming from hazardous conditions at the Mar Lago apartment complex. The judgment marked a complete win for the plaintiff, rejecting the defendants’ denials and affirmative defenses.

In May 2023, the court allowed FCCI Insurance Company and National Trust Insurance Company to intervene and pursue their motion to vacate the $48.26 million judgment against their insured, EDS Advisors Inc. This followed Judge Levenson’s March 2023 summary judgment in a related coverage case (CACE 21-009950), ruling the insurers had no coverage obligation. Proceedings were stayed pending Lynette Jividen’s appeal. On January 9, 2025, the Fourth DCA affirmed the summary judgment in full, confirming the insurers owed no coverage. Consequently, the insurers withdrew their April 27, 2022, motion to vacate the judgment as moot.

Court Documents

Complaint

Verdict

About the Author

AC

Angad Chatha

Angad Chatha is a law graduate from Amritsar, Punjab, with over two years of experience in legal research and analysis. He has developed a strong niche in working with expert witnesses, providing critical support in preparing legal research and case studies. Known for his analytical mindset and attention to detail, Angad consistently delivers thorough and well-grounded insights that enhance case summaries. His commitment to accuracy and a deep understanding of legal frameworks make him a valuable asset in complex legal sector.