SAN BERNARDINO, Calif. (Jan. 13, 2005) -- The U.S. Ninth Circuit Court of Appeals dismissed a lawsuit against the city that sought damages from its former bed tax because the attorney failed to file the proper paperwork, said City Attorney James F. Penman.

"In short, the city won the case," said Robert L. Simmons, senior assistant city attorney.

A lawsuit seeking damages for the city's earlier transient bed tax which was deemed illegal in 1998 has been ongoing since 1991, when hotel operator Pravin D. Patel and others sued the city.

Patel did not return calls for comment Monday.

The city took the tax to the voters, who overwhelmingly approved the tax.

Penman said that he understands attorneys for Patel will attempt to ask for the dismissal to be set aside, essentially reviving their case. A new lawsuit cannot be filed because the statute of limitations has passed, he said.

"Right now I'd rather be in our position than theirs," Penman said. But, he said, "I'm sure there'll be other rounds, maybe not in this battle, but the bottom line is that the quality hotels and motels support these transient lodging tax. It's the rundown motels that usually oppose it and fight it, and don't want to pay the tax."

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