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Appellate court says airport director allowed to terminate lease with St. Louis

ST. LOUIS RECORD

Thursday, November 21, 2024

Appellate court says airport director allowed to terminate lease with St. Louis

State Court
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ST. LOUIS — A Missouri appellate court ruled that language in an ordinance authorized the airport director to terminate a lease with the city of St. Louis.

The court's review of the trial court’s summary judgment was de novo, meaning it assessed the facts without deferring to the lower court's decision.

The court ruled that the language of Ordinance 70909 allowed the director to terminate the lease independently, Judge Michael S. Wright wrote in the Sept. 3 opinion.

Bi-National Gateway Terminal’s argument that the ordinance required multiple city officials to act together was rejected. 

The court also criticized Bi-National’s appellate brief for failing to properly comply with Rule 84.04, which led to the dismissal of Points II-IV, leaving the court to review only the first point. 

Ultimately, the court upheld the trial court’s judgment, affirming the director’s authority under the ordinance.

The appeal centers on whether the Director of Airports for the City of St. Louis had the authority, under Ordinance 70909, to terminate a lease agreement between Bi-National Gateway Terminal LLC and the city.

Bi-National and Ricardo Farias Nicolopulos challenged a trial court’s decision granting summary judgment in favor of the city.

The appellants raised four points on appeal.

In the first, Bi-National argued that the director lacked the authority to unilaterally terminate the lease, as they believed she could not act independently. 

However, the court upheld the trial court’s decision, citing Ordinance 70909, which clearly authorized the director to act on behalf of the City in terminating the lease. 

The court dismissed the appellants’ remaining three points due to noncompliance with Rule 84.04, which governs the proper structure of appellate briefs.

The lease agreements between Bi-National and the city involve a section of St. Louis Lambert International Airport known as the Northern Tract.

After failing to meet certain conditions under the second lease agreement by the set deadline, Bi-National was notified by the director that the lease was void, and the city sought to reclaim the property. 

Bi-National then filed a petition, followed by an amended petition alleging claims including ejectment, trespass, specific performance and tortious interference, the opinion states. 

The court found Ordinance 70909 granted the director the authority to unilaterally terminate the second lease as the plain language permitted the director to "take such actions as may be necessary, beneficial, or appropriate in connection with the consummation of" the second lease.

"Here, there is no dispute it was in the best interest of the City to nullify and void the Second Lease as Appellants were not able to meet the enumerated preconditions for the Second Lease to be considered in effect," Wright wrote.

The trial court dismissed some of the claims and later granted the city’s motions for summary judgment, affirming that the director acted within her legal rights under the ordinance.

"Because we find the Director had the authority, pursuant to Ordinance 70909, to terminate the Second Lease, the City was entitled to judgment as a matter of law on Counts I and II," Wright wrote. "Point I is denied."

The appellant was represented by Joe D. Jacobson.

The respondent was represented by Matthew S. Shorey, Michael A. Garvin, Jeffery T. McPherson and Onalee Yousey.

Attorneys for the parties did not respond to requests for comment.

Missouri Court of Appeals, Eastern District-Division Four case number: ED112575

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