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Answering Statement and Request for Dismissal by Gainesville ..

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is that “we are heading <strong>for</strong> a possible disastrous economic imp act from the rate increases from<br />

the obligations of the PPA. It has never been<br />

about biomass, or global warming, or anything<br />

other than being stuck in a contract that has turned significantly upside down <strong>for</strong> . . . us.”<br />

10. GRU did not file its Amended Dem<strong>and</strong> with any interest in, or reasonable belief<br />

that it was entitled to, the relief requested in the Amended Dem<strong>and</strong>.<br />

11. Pressuring GREC to renegotiate the terms of the PPA <strong>by</strong> being named a<br />

respondent in an arbitration proceeding is an improper purpose or motive <strong>for</strong> filing an arbitration<br />

dem<strong>and</strong>.<br />

12. GRU knew that it was required to comply with certain notice provisions prior to<br />

filing a claim in arbitration.<br />

13. GRU knew that it failed to comply with the PPA’s notice provisions when it filed<br />

its Amended Dem<strong>and</strong>.<br />

14. GRU knew that its Amended Dem<strong>and</strong>, including its request <strong>for</strong> specific<br />

per<strong>for</strong>mance, was groundless under the terms of the PPA.<br />

15. GRU knew that its Amended Dem<strong>and</strong>, includ ing its naming of entities other than<br />

GREC, was groundless under the terms of the PPA.<br />

16. GRU knew that its Amended Dem<strong>and</strong>, including its assertions that there had been<br />

a “change of control,” was groundless under the terms of the PPA.<br />

17. At the time it filed its Amended Dem<strong>and</strong>, GRU knew that Section 27.3 of the<br />

PPA was not triggered due to the lack of any change of control or potential sale of the Facility.<br />

18. As a direct <strong>and</strong> proximate result of GRU’ s actions in filing the Amended Dem<strong>and</strong><br />

<strong>and</strong> in related dealings with GREC, GREC suffered, <strong>and</strong> continues to suffer, damages in excess<br />

of $50 million.<br />

paragraphs.<br />

Count II: Deceptive <strong>and</strong> Unfair Acts & Practices<br />

In Violation of the Florida Deceptive <strong>and</strong> Unfair Trade Practices Act<br />

19. GREC repeats <strong>and</strong> re-alleges the allega tions contained in all the preceding<br />

A/75508616.1<br />

30

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