LTC 266-2023 City Obtains Injunction in Nuisance Case Against Illegal Party House City of Miami Beach, Florida v. Stephen Kraus, et. al. Case No. 23-17889 CA 09MIAMI BEACH
OFFICE OF THE CITY ATTORNEY
LTC No. _______ _
LETTER TO COMMISSION
TO: Mayor Dan Gelber and Members of the City Commission
FROM: Rafael A Paz, City Attorney
DATE: June 9, 2023
SUBJECT: City Obtains Injunction in Nuisance Case Against Illegal "Party House"
City of Miami Beach, Florida v. Stephen Kraus, et. al.
Case No. 23-17889 CA 09
On February 1, 2023, the Mayor and City Commission adopted Resolution No. 2023-32475,
sponsored by Commissioner Alex Fernandez, endorsing the efforts of the City Attorney's Office
and Administration to take proactive steps to file lawsuits, wherever appropriate, to enforce the
City's quality-of-life ordinances, including its short-term rental and noise regulations, and
protect residents from repeat offenders who create nuisances.
Yesterday, the City Attorney's Office filed a lawsuit and Emergency Motion for Temporary
Injunction against the owner, owner's agent and tenant of 1776 Bay Drive, asserting that the
property has been used and advertised as an illegal short-term rental and has become a
nuisance "party house," with an egregious record of repeated violations of the City Code -
approximately 45 code violations since 2022 -violations which were all brazenly ignored by
the defendants, accruing hundreds of thousands of dollars in unpaid fines.
While parties raged on at the property, including a birthday celebration with a cake featuring
the City's cease and desist notice on decorative frosting, the City's Code Compliance
Department and City Attorney's Office were quietly amassing the documentary record
necessary to establish that the property is a "public nuisance" and that a Court order was
appropriate to enjoin any further unlawful conduct on the property.
Circuit Judge Pedro Echarte immediately granted the City an emergency hearing, scheduled
for June 9, 2023. Upon review of the complaint and injunction motion, each of the defendants
agreed to stipulate to a consent injunction that protects the City from any further nuisance
conduct and provides for the payment of fines, the total amount of which will approximate
$389,000. A copy of the Court's order is attached hereto.
This matter was handled entirely in-house by members of the City Attorney's Office, including
Rob Rosenwald, Henry Hunnefeld, and Freddi Mack, in close collaboration with the
Administration, including the Code Compliance team (Hernan Cardeno, Tom Curitore, and
Silvia Escobar) and the Miami Beach Police Department.
Thanks to the Mayor and City Commission's advance authorization to file this lawsuit, the
residents in the neighborhood will finally be able to enjoy the peace and quiet they deserve.
RAP/ag
266-2023
Filing# 174967085 E-Filed 06/09 /2023 09:33:36 AM
IN THE CIRCUIT COURT OF THE ELEVENTH JUDICIAL
CIRCUIT IN AND FOR MIAMI-DADE COUNTY, FLORIDA
CASE NO: 2023-017889-CA-01
SECTION: CA09
JUDGE: Pedro P Echarte Jr.
CITY OF MIAMI BEACH
Plaintiff(s)
vs.
STEPHEN KR.AUS et al
Defendant(s)
I ------------
ORDER ON STIPULATIONS TO ENTRY OF CONSENT DECREES
THIS CA USE came before the Court on the parties' Stipulations to Entry of Consent Decrees
(Filing# 174963752 and Filing # 174963324, e-filed 06/09/2023).
THE COURT hereby enters the attached Consent Decrees as an Order of the Court and reserves
jurisdiction to enforce the same.
DONE and ORDERED in Chambers at Miami-Dade County, Florida on this 9th day of June,
2023.
Final Order as to A ll Parties SRS #: 11 (Other)
2023-01.788~6-09-2023 9:1 6 ,,_,,_
2023-017889-CA-0l 06-09-2023 9: 16 AM
Hon. Pedro P Echarte Jr.
CIRCUIT COURT JUDGE
Electronically Signed
THE COURT DISMISSES THIS CASE AGAINST ANY PARTY NOT LISTED IN THlS
FINAL ORDER OR PREVIOUS ORDER(S). THIS CASE IS CLOSED AS TO ALL PARTIES .
Electronically Served:
Freddi Rebecca Mack, freddimack@ miamibeachfl.gov
Case No: 2023-017889-CA-01 Page 1 of2
Freddi Rebecca Mack, sandraperez@miamibeachfl.gov
Freddi Rebecca Mack, merarimotola@miamibeachfl.gov
Freddi Rebecca Mack, freddimack@miamibeachfl.gov
Freddi Rebecca Mack, merarimotola@miarnibeachfl.gov
Freddi Rebecca Mack, sandraperez@miamibeachfl.gov
Gemma Torcivia, gemma@knightlawfl.com
Gemma Torcivia, gtorcivia@tgjustice.com
Henry J Hunnefeld, henryhunnefeld@rniarnibeachfl.gov
Henry J Hunnefeld, sandraperez@miarnibeachfl.gov
Henry J Hunnefeld, merarimotola@miamibeachfl.gov
Jeremy Knight Knight, yirrni@knightlawfl.com
Jeremy Knight Knight, yirrni@knightlawfl.com
Jeremy Knight Knight, yirrni@knightlawfl.com
Philippe Revah, phil@elrolaw.com
Philippe Revah, eservice@elrolaw.com
Robert F. Rosenwald Jr., robertrosenwald@miarnibeachfl.gov
Robert F. Rosenwald Jr.,miriarnrnerino@rniarnibeachfl.gov
Robert F. Rosenwald Jr., robertrosenwald@aim.com
Steven H. Rothstein, stevenrothstein@miamibeachfl.gov
Physically Served:
Case No: 2023-017889-CA-0l Page 2 of2
Filing# 174963324 E-Filed 06/09/2023 09:00:54 AM
CITY OF MIAMI BEACH,
FLORIDA, a Florida municipal
corporation,
Plaintiff,
V.
IN THE CIRCUIT COURT OF THE 11TH
JUDICIAL CIRCUIT IN AND FOR MIAMI-
DADE COUNTY, FLORIDA
GENERAL JURISDICTION DIVISION
CASE NO. 2023-017889-CA-01
STEPHEN KRAUS; THE NIGHTFALL GROUP,
LLC, a foreign limited liability company;
and SCOTT WEISSMAN,
Defendants.
STIPULATION TO ENTRY OF CONSENT DECREE
Plaintiff, the City of Miami Beach, Florida (the "City"), Defendant Stephen Kraus
("Landlord"), and Defendant Scott Weissman ("Tenant") ( collectively, the "Parties")
hereby notify the Court that they have mutually agreed to resolve this matter in its entirety
through stipulation to entry of the attached Consent Decree. The Parties respectfully
request that, pursuant to their stipulation, the Court enter the attached Consent Decree
as an Order of the Court and reserve jurisdiction to enforce the same.
DATED this 9th day of June, 2023.
[remainder of page intentionally left blank]
Respectfully submitted ,
RAFAEL A. PAZ, CITY ATTORNEY
City of Miami Beach
Office of the City Attorney
1700 Convention Center Drive, 4 th Floor
Miami Beach, Florida 33139
Tel. (305) 673-7470
Fax (305) 673 -7002
BY: Robert F. Ro senwald, Jr.
Robert F . Rosenwald , Jr.
Chief Deputy City Attorney
Florida Bar No. 0190039
robertrosenwald@miamibeachfl .gov
Henry J . Hunnefeld
First Assistant City Attorney
Florida Bar No. 343811
henryhunnefeld@miamibeachfl.gov
Freddi R. Mack
Senior Assistant City Attorney
Florida Bar No. 111623
fredd imack@miamibeachfl.gov
Counsel for Plaintiff
BER COW RADELL FERNANDEZ
LARKIN & TAPANES, PLLC
200 S . Biscayne Blvd ., Ste. 300
Miami, Florida 33131
Phone: (305) 37 4-5300
Fax: (305) 377-6222
BY: Michael (Mickey) Marrero
Michael (Mickey) Marrero
Florida Bar No. 561851
mmarrero@brzoninqlaw.com
Counsel for Landlord
2
KNIGHT LAW, P .A.
4624 Hollywood Blvd., Suite 203
Hollywood , FL 33020
Telephone: 786.480 .0045
BY: Gemma Torcivia
Jeremy I. Knight
Florid a Bar No. 1009132
Yirmi@KniqhtLawFL.com
Gemma Torcivia
Florida Bar No. 1009366
Gemma@KnightLawFL.com
Counsel for Tenant
CERTIFICATE OF SERVICE
I HEREBY CERTIFY that on this 9th day of June, 2023, I electronically filed the
foregoing document with the Clerk of the Court using the E-Filing Portal. I also certify
that the foregoing document is being served this day on all counsel of record or pro se
parties that have registered with the Florida Courts E-Filing Portal.
By: ls/Freddi R. Mack
Freddi R. Mack
3
DocuSign Envelope ID: 7EB345FA-7530-4F9F-AF57-9DBOCCD2EB2E
CITY OF MIAMI BEACH,
FLORIDA, a Florida municipal
corporation,
Plaintiff,
V.
IN THE CIRCUIT COURT OF THE 11 TH
JUDICIAL CIRCUIT IN AND FOR MIAMI-
DADE COUNTY, FLORIDA
GENERAL JURISDICTION DIVISION
CASE NO. 2023-017889-CA-01
STEPHEN KRAUS; THE NIGHTFALL GROUP,
LLC, a foreign limited liability company;
and SCOTT WEISSMAN,
Defendants.
CONSENT DECREE
THIS CONSENT DECREE resolves the above-captioned civil action (the
"Lawsuit") brought by the Plaintiff, the City of Miami Beach, Florida (the "City"), against
the Defendants, Stephen Kraus ("Landlord"), The Nightfall Group, LLC ("Agent"), and
Scott Weissman ("Tenant") ( collectively, "Defendants") (together with the City, the
"Parties"), under Sections 823.05 and 60.05 of the Florida Statutes and Sections 46-160
and 142-905(b)(5)(a)(2) of the City of Miami Beach, Florida's Code of Ordinances 1 ("City
Code"). This Consent Decree further resolves all outstanding City fines due and owing
by, and liens against, the Defendants.
Factual Background
1. On June 8, 2023, the City filed its Verified Complaint to Abate Nuisance and
for Temporary and Permanent Injunction ("Complaint"), together with a Verified
Emergency Motion for Temporary Injunction (the "Motion") and a Notice of Supplemental
Evidence, all seeking to enjoin to the Defendants, individually and collectively, from
1 Available at: hltps://library.municode.com/fl/miami beach.
OocuS!gn Envelope ID: 7EB345FA-75304F9F-AF57-9DBDCCD2EB2E
maintaining a public nuisance on the property located at 1776 Bay Drive, Miami Beach,
Florida (the "Subject Property"). The following facts are established by the verified
statements in the Complaint, the Motion and the accompanying exhibits, and the
supplemental evidence.
2. Landlord is the record title owner of the Subject Property. He purchased the
Subject Property on September 11, 2020 for $6.5 million.
3. Agent is a foreign limited liability company authorized to conduct business
In Florida. Al times material to this Lawsuit, Agent has advertised the Subject Property
for short-term rental use, in violation of the City Code.
4. Tenant has leased and resided on the Subject Property since approximately
November 15, 2022, with a total rent of $616,000.00. That averages to roughly
$84,000.00 per month.
5. The Subject Property is located in the single-family residential
neighborhood, zoning district RS-4. Residents of this neighborhood are entitled to the
quality-of-life protections afforded under the City Code.
6. Despite the single-family residential character of the RS-4 district, Tenant
has been using the Subject Property as a "party house," causing frequent and reoccurring
disturbances to neighbors. Landlord has not taken any material action to cease Tenant's
disruptive parties.
7. Prior to the Tenant taking possession of the Subject Property, Landlord
repeatedly rented or offered to rent the Subject Property {also referred to as "Villa Bay,"
"The Bay Villa," or "Villa Valena" in rental advertisements) for short-term rental use, in
violation of the City Code. See City Code§ 142-905(b)(5). While Tenant's current seven-
2
DocuSign Envelope ID: 7EB345FA-7530-4-F9F-AF57-90BDCCD2EB2E
month lease term narrowly escapes characterization as a "short-term rental"-which is a
rental term of less than six months and one day, see id.-the City reasonably believes
that Landlord (including by and through Agent) intends to continue leasing the Subject
Property for short-term rental and/orto a tenant (whether Tenant or some other person(s))
who may use the Prope.rty for nuisance purposes.
8. Since February 8, 2022 alone, Landlord and/or Tenant have been cited with
at least forty-five (45) violations, total, of the City Code based on activities at the Subject
Property and have incurred substantial fines in connection with many of these violations.
For example, on September 30, 2022, Special Magistrate Enrique Zamora imposed a fine
totaling $235,000.00, arising from multiple violations of the City Code's prohibition on
using the Subject Property for short-term rentals. See City Code § 142-905(b )(5). Interest
on this unpaid fine continues to accrue on a daily basis. In addition, there remains
approximately $290,500.00 in City Invoices (i.e., fines imposed by Code Enforcement
which were not subject to an adjudication by the Special Magistrate) due and owing on
the Subject Property, for issues ranging from repeated noise violations to improper
commercial use of the Subject Property, and more.
9. Despite there being hundreds of thousands of dollars due and owing to
the City, and with interest accruing, the substantial fines imposed by Code Enforcement
and the Special Magistrate have not been an adequate deterrent to stop violations of the
City Code.
10. A breakdown of the recent history of City Code violations at the Subject
Property, with reference to specific violation numbers, is detailed in the Complaint and
the Motion and is incorporated by reference as if set forth fully herein.
3 ~
DocuS!gn Envelope ID: 7EB345FA-753D-4F9F-AF57-9DBDCCD2EB2E
11. The Parties agree that it is in their best interest, and the City believes that it
is in the public interest, to resolve this Lawsuit on mutually agreeable terms. Accordingly,
the Parties agree to the entry of this Consent Decree without trial or further adjudication
of any issues of fact or law raised in the City's Complaint in this Lawsuit.
Injunctive Relief
Based on the foregoing, the Parties stipulate, and the Court hereby ORDERS AND
ADJUDGES, as follows:
1. Defendants Stephen Kraus and Scott Weissman ARE ENJOINED and shall
IMMEDIATELY CEASE AND DESIST the conduct, operation or maintenance of
the Subject Property whereby any person on the Property would make, continue
or cause to be made or continued any unreasonably loud, excessive, unnecessary
or unusual noise in violation of City Code § 46-152, including but not limited to
unreasonably loud amplified music (whether or not associated with a party).
2. Defendants Stephen Kraus and Scott Weissman ARE ENJOINED and shall
IMMEDIATELY CEASE AND DESIST the conduct, operation or maintenance of
the Subject Property whereby any person on the Subject Property would use the
Subject Property for commercial purposes in violation of City Code § 142-109,
including but not limited to advertising or selling tickets for admission to any
commercial parties, events, assemblies, or gatherings on the Subject Property.
3. Defendants Stephen Kraus, individually or by and through any and all agents,
including but not limited to Defendant The Nightfall Group, LLC, IS ENJOINED and
shall IMMEDIATELY CEASE AND DESIST the use or advertising for use of the
4
OocuS!gn Envelope ID: 7EB345FA-753D-4F9F-AF57-9DBDCCD2EB2E
Subject Property as a short-term rental in violation of the City Code § 142-
905(b )(5).
4. Defendant Stephen Kraus SHALL REMOVE OR CAUSE TO BE REMOVED, from
any and all webpages, media, or published materials over which he or anyone
acting at his direction (e.g., agents) has control, any postings for the Subject
Property for rental of the Subject Property for any period of less than six months
and one day.
5. Defendant Scott Weissman SHALL VACATE the Subject Property on or before
June 15, 2023, and SHALL NOT thereafter reside at or rent (at any time in the
future) or visit (for a period of three years from entry of this Consent Decree) the
Subject Property.
6. Defendant Stephen Kraus SHALL NOT permit Defendant Scott Weissman to
reside at or rent the Subject Property at any time in the future.
7. Defendant Scott Weissman SHALL NOT host, advertise, or otherwise allow any
parties on the Subject Property prior to vacating the same on or before June 15,
2023.
8. Defendant Scott Weissman SHALL NOT advertise for use or permit the use of the
Subject Property as a short-term rental prior to vacating the same on or before
June 15, 2023.
9. Defendant Stephen Kraus will vet, in a manner to be approved by the City,
prospective tenants for the Subject Property to confirm that such tenants do not
intend to use or advertise for use the Subject Property for short-term rental use or
to hold or permit to occur other nuisance events.
5
OocuSign Envelope ID: 7EB345FA-753D-4F9F-AF57-9DBDCCD2EB2E
1 O. Defendant Scott Weissman SHALL NOT hold any possessory or ownership
interest in any property within the City's territorial jurisdiction for a period of one
year from entry of this Consent Decree.
11. Defendant Scott Weissman SHALL NOT host any commercial parties or events at
any residential property within the City's territorial jurisdiction for a period of three
years from entry of this Consent Decree.
12. Defendant Stephen Kraus's fines due and owing to the City SHALL BE in the
amount of $387,650. Payment in full must be received by the City within 30 days
of entry of this Consent Decree. Upon receipt, the City SHALL RELEASE all claims
of lien against Stephen Kraus.
13. Defendant Scott Weissman's fines due and owing to the City SHALL BE in the
amount of $66,375. Payment in full must be received by the City within 30 days of
entry of this Consent Decree. Upon receipt, the City SHALL RELEASE all claims
of lien against Scott Weissman.
14. Defendant Scott Weissman SHALL accept service of any documents from the City
of Miami Beach via email to scottweissman@qmail.com, copy to Yirmi Knight at
yirmi@kniqhtlawfl.com, in lieu of personal service, for a period of three years from
entry of this Consent Decree.
15. The City may file a motion to enforce this Consent Decree if it believes that the
Consent Decree, or any requirement thereof, has been violated, provided that it
first gives notice of such a violation to the relevant Defendant(s). The Defendant(s)
must respond to such notice as soon as practicable but no later than 14 calendar
days thereafter. Unless otherwise specified in this Decree, the Defendant(s) shall
6
DocuSfgn Envelope JD: 7E8345FA-753D-4F9F-AF57-9DBDCCD2EB2E
produce any requested documents or make them available for inspection or
copying within 30 days of a written request by the City. The Parties shall attempt
in good faith to resolve any dispute relating thereto; if the Parties are unable to
reach a mutually acceptable resolution, the City may seek court enforcement of
compliance with this Consent Decree. Nothing in this procedure shall prevent the
City or any Defendant from promptly bringing an issue before the Court when, in
the moving Party's view, the facts and circumstances require immediate court
attention.
16. Within 45 days after entry of the Consent Decree, the City will dismiss the Lawsuit
with prejudice. The City hereby waives and releases the Defendants from any
claims that were or could have been brought in the Lawsuit or that otherwise
accrued prior to the entry of this Consent Decree. Nothing in this Consent Decree
limits or restricts future Code enforcement efforts by the City in relation to the
Subject Property or the Defendants.
17. Nothing in this Consent Decree discharges, limits, or restricts any causes of action
any Defendant(s) may have against any other Defendant(s).
18. The City shall cause a certified copy of this Consent Decree to be recorded in the
public records of Miami-Dade County, which shall constitute notice to and be
binding upon any subsequent purchasers, lessees, successors in interest, or
assigns of the Defendants or the Subject Property.
19. Each of the Parties to this Consent Decree will bear Its own costs and attorney's
fees associated with this Lawsuit and Consent Decree.
7
DocuSlgn Envelope ID: 7EB345FA-7530-4F9F-AF57-9DBDCCD2EB2E
The signatories represent that they have the authority to bind the respective Parties
identified below to the terms of this Consent Decree.
6/8/2023
Dated: , 2023 -----
1;;:bK~
L7AAA6E7A7085480
STEPHEN KRAUS
SCOTT WEISSMAN
FOR THE CITY OF MIAMI BEACH
Print Name: 12.i;..e.A-2oseY1w.i.ld
Title: CM i c.<=: be f"I'.'{ Ci:h:j ~
DONE AND ORDERED in Chambers in Miami-Dade, Florida, this _ day of
--~2023.
CIRCUIT COURT JUDGE
8
Filing# 174963752 E-Filed 06/09/2023 09:05:39 AM
CITY OF MIAMI BEACH,
FLORIDA, a Florida municipal
corporation,
Plaintiff,
V.
IN THE CIRCUIT COURT OF THE 11TH
JUDICIAL CIRCUIT IN AND FOR MIAMI-
DADE COUNTY, FLORIDA
GENERAL JURISDICTION DIVISION
CASE NO. 2023-017889-CA-01
STEPHEN KRAUS; THE NIGHTFALL GROUP,
LLC, a foreign limited liability company;
and SCOTT WEISSMAN,
Defendants.
STIPULATION TO ENTRY OF CONSENT DECREE
Plaintiff, the City of Miami Beach, Florida (the "City") and Defendant The Nightfall
Group, LLC a/k/a Ultimate Host LLC (collectively, the "Parties") hereby notify the Court
that they have mutually agreed to resolve this matter in its entirety through stipulation to
entry of the attached Consent Decree. The Parties respectfully request that, pursuant to
their stipulation, the Court enter the attached Consent Decree as an Order of the Court
and reserve jurisdiction to enforce the same.
DATED this 9th day of June, 2023.
[remainder of page intentionally left blank]
Respectfully submitted,
RAFAEL A. PAZ, CITY ATTORNEY
City of Miami Beach
Office of the City Attorney
1700 Convention Center Drive, 4th Floor
Miami Beach, Florida 33139
Tel. (305) 673-7470
Fax(305)673-7002
BY: Robert F. Rosenwald, Jr.
Robert F. Rosenwald , Jr.
Chief Deputy City Attorney
Florida Bar No. 0190039
robertrosenwald@miamibeachfl.gov
Henry J. Hunnefeld
First Assistant City Attorney
Florida Bar No. 343811
henryhunnefeld@miamibeachfl.gov
Freddi R. Mack
Senior Assistant City Attorney
Florida Bar No. 111623
freddimack@miamibeachfl.gov
Counsel for Plaintiff
EDELBOIM LIEBERMAN REVAH PLLC
3131 NE 188th St. #1-902
Miami, Florida 33180
Telephone: 305-768-9909
Fax: 305-928-1114
BY: Philippe Revah
Philippe Revah
Florida Bar No. 118393
phil@elrolaw.com
Counsel for The Nightfall Group, LLC a/kla
Ultimate Host LLC
CERTIFICATE OF SERVICE
I HEREBY CERTIFY that on this 9th day of June, 2023 , I electronically filed the
foregoing document with the Clerk of the Court using the E-Filing Portal. I also certify
that the foregoing document is being served this day on all counsel of record or pro se
parties that have registered with the Florida Courts E-Filing Portal.
By: /s/ Freddi R. Mack
Freddi R. Mack
2
OocuSign Envelope ID: 7EB345FA•75304F9F·AF57•9DBDCCD2EB2E
CITY OF MIAMI BEACH,
FLORIDA, a Florida municipal
corporation,
Plaintiff,
V.
IN THE CIRCUIT COURT OF THE 1 FH
JUDICIAL CIRCUIT IN AND FOR MIAMI-
DADE COUNTY, FLORIDA
GENERAL JURISDICTION DIVISION
CASE NO. 2023-017889-CA-01
STEPHEN KRAUS; THE NIGHTFALL GROUP,
LLC, a foreign limited liability company;
and SCOTT WEISSMAN,
Defendants.
CONSENT DECREE BETWEEN CITY OF MIAMI BEACH AND
THE NIGHTFALL GROUP, LLC A/KIA ULTIMATE HOST LLC
THIS CONSENT DECREE resolves the above-captioned civil action (the
"Lawsuit") brought by the Plaintiff, the City of Miami Beach, Florida (the "City"), against
Defendant, The Nightfall Group, LLC a/k/a Ultimate Host LLC ("Agent" or "The Nightfall
Group") (together with the City, the "Parties"), under Sections 823.05 and 60.05 of the
Florida Statutes and Sections 46-160 and 142-905(b )(5)(a)(2) of the City of Miami Beach,
Florida's Code of Ordinances 1 ("City Code"). This Consent Decree further resolves all
outstanding City fines due and owing by, and liens against, Agent.
Factual Background
1. On June 8, 2023, the City filed its Verified Complaint to Abate Nuisance and
for Temporary and Permanent Injunction ("Complaint"), together with a Verified
Emergency Motion for Temporary Injunction (the "Motion") and a Notice of Supplemental
Evidence, all seeking to enjoin the Defendants (as defined in the Complaint), individually
1 Available at: https://library.municode.com/fl/miami beach.
DocuSlgn Envelope ID: 7EB345FA-753 □-4F9F-AF57-90BOCCD2EB2E
and collectively, from maintaining a public nuisance on the property located at 1776 Bay
Drive, Miami Beach, Florida (the "Subject Property"). The following facts are established
by the verified statements in the Complaint, the Motion and the accompanying exhibits,
and the supplemental evidence.
2. Landlord is the record title owner of the Subject Property. He purchased the
Subject Property on September 11, 2020 for $6.5 million.
3. Agent is a foreign limited liability company authorized to conduct business
in Florida. At certain times material to this Lawsuit, Agent has advertised the Subject
Property for short-term rental use, in vlolation of the City Code.
4. Tenant has leased and resided on the Subject Property since approximately
November 15, 2022, with a total rent of $616,000.00. That averages to roughly
$84,000.00 per month.
5. The Subject Property is located in the single-family residential
neighborhood, zoning district RS-4. Residents of this neighborhood are entitled to the
quality-of-life protections afforded under the City Code.
6. Despite the single-family residential character of the RS-4 district, Tenant
has been using the Subject Property as a "party house," causing frequent and reoccurring
disturbances to neighbors. Landlord has not taken any material action to cease Tenant's
disruptive parties.
7. Prior to the Tenant taking possession of the Subject Property, Landlord
repeatedly rented or offered to rent the Subject Property (also referred to as "Villa Bay,"
"The Bay Villa," or "Villa Valena" in rental advertisements) for short-term rental use, in
violation of the City Code. See City Code§ 142-905(b)(5). While Tenant's current seven-
2
OocuSlgn Envelope ID: 7EB345FA-75304F9F-AF57-90BDCCD2EB2E
month lease term narrowly escapes characterization as a "short-term rental"-which is a
rental term of less than six months and one day, see id.-the City reasonably believes
that Landlord intends to continue leasing the Subject Property for short-term rental and/or
to a tenant (whether Tenant or some other person(s)) who may use the Property for
nuisance purposes.
8. Since February 8, 2022 alone, Landlord and/or Tenant have been cited with
at least forty-five (45) violations, total, of the City Code based on activities at the Subject
Property and have incurred substantial fines in connection with many of these violations.
For example, on September 30, 2022, Special Magistrate Enrique Zamora imposed a fine
totaling $235,000.00, arising from multiple violations of the City Code's prohibition on
using the Subject Property for short-term rentals. See City Code§ 142-905(b)(5). Interest
on this unpaid fine continues to accrue on a daily basis. In addition, there remains
approximately $290,500.00 in City Invoices (i.e., fines imposed by Code Enforcement
which were not subject to an adjudication by the Special Magistrate) due and owing on
the Subject Property, for issues ranging from repeated noise violations to improper
commercial use of the Subject Property, and more.
9. Despite there being hundreds of thousands of dollars due and owing to
· the City, and with interest accruing, the substantial fines imposed by Code Enforcement
and the Special Magistrate have not been an adequate deterrent to stop violations of the
City Code.
10. A breakdown of the recent history of City Code violations at the Subject
Property, with reference to specific violation numbers, is detailed in the Complaint and
the Motion and is incorporated by reference as if set forth fully herein.
3
DocuS/gn Envelope ID: 7E8345FA-753D-4F9F-AF57-9DBDCCD2E82E
11. The Parties agree that it is in their best interest, and the City believes that it
is in the public interest, to resolve this Lawsuit on mutually agreeable terms. Accordingly,
the Parties agree to the entry of this Consent Decree without trial or further adjudication
of any issues of fact or law raised in the City's Complaint in this Lawsuit.
12. The Parties agree that entering into this Consent Decree is not an
admission of wrongdoing or fault and shall have no preclusive effect beyond what is set
forth herein.
Injunctive Relief
Based on the foregoing, the Parties stipulate, and the Court hereby ORDERS AND
ADJUDGES, as follows:
1. Defendant The Nightfall Group IS ENJOINED and shall NOT use or advertise for
use of the Subject Property as a short-term rental in violation of the City Code §
142-905(b)(5). The Nightfall Group SHALL REMOVE OR CAUSE TO BE
REMOVED, from any and all webpages, media, or published materials over which
it or anyone acting at its direction has control, any postings for the Subject Property
for rental of the Subject Property for any period of less than six months and one
day, if any such postings presently exist.
2. Defendant The Nightfall Group's fines due and owing to the City SHALL BE in the
amount of $250. Payment in full must be received by the City within 30 days of
entry of this Consent Decree. Upon receipt, the City SHALL RELEASE all claims
of lien against The Nightfall Group.
3. The City may file a motion to enforce this Consent Decree if it believes that the
Consent Decree, or any requirement thereof, has been violated, provided that it
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DocuSign Envelope JO: 7EB345FA-7530-4F9F-AF57~9DBDCCD2EB2E
first gives notice of such a violation to the relevant Defendant(s). The Defendant(s)
must respond to such notice as soon as practicable but no later than 14 calendar
days thereafter. Unless otherwise specified in this Decree, the Defendant(s) shall
produce any requested documents or make them available for inspection or
copying within 30 days of a written request by the City. The Parties shall attempt
in good faith to resolve any dispute relating thereto; if the Parties are unable to
reach a mutually acceptable resolution, the City may seek court enforcement of
compliance with this Consent Decree. Nothing in this procedure shall prevent the
City or any Defendant from promptly bringing an issue before the Court when, in
the moving Party's view, the facts and circumstances require immediate court
attention.
4. Within 45 days after entry of the Consent Decree, the City will dismiss the Lawsuit
with prejudice as to Defendant The Nightfall Group. The City hereby waives and
releases Defendant The Nightfall Group from any claims that were or could have
been brought in the Lawsuit or that otherwise accrued prior to the entry of this
Consent Decree. Nothing in this Consent Decree limits or restricts future Code
enforcement efforts by the City in relation to the Subject Property or the
Defendants.
5. Nothing in this Consent Decree discharges, limits, or restricts any causes of action
any Defendant(s) may have against any other Defendant(s).
6. The City shall cause a certified copy of this Consent Decree to be recorded in the
public records of Miami-Dade County, which shall constitute notice to and be
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DocuSign Envelope ID: 7EB345FA-7530-4F9F-AF57-9DBDCCD2EB2E
binding upon any subsequent purchasers, lessees, successors in interest, or
assigns of the Defendants or the Subject Property.
7. Each of the Parties to this Consent Decree will bear its own costs and attorney's
fees associated with this Lawsuit and Consent Decree.
The signatories represent that they have the authority to bind the respective Parties
identified below to the terms of this Consent Decree.
Dated: 6/8/2023 2023
1+"'"'''~
~~if!E''~!GHTFALL GROUP, LLC
Print Name: Mokhtar Jabl i
Title: CEo ----------
FOR THE CITY OF MIAMI BEACH
Print Name: Ko\:ib'r R.c~wal.d
Title: Outi=-J)e.£'1M Gb! (A,rtcrN>M I -r
DONE AND ORDERED in Chambers in Miami-Dade, Florida, this _ day of
--~ 2023.
CIRCUIT COURT JUDGE
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