Although the city has sued Ed Knauss, he sold his business' assets but did not transfer the lease in question.
By COLLEEN JENKINS
Published May 18, 2004
CRYSTAL RIVER - City officials are taking legal action to remove a dive shop owner from property the city owns on NW Third Street.
On Thursday, City Attorney David LaCroix filed a civil suit in County Court against Ed Knauss, owner of Inland Dive & Charter Inc. City records show Knauss failed to pay $8,120 owed the city in April.
However, Knauss no longer owns the business operating at 267 NW Third St. Since January, Charlie Slider has run Crystal River Manatee Dive & Tour there.
Problem is, the lease isn't under Slider's name, and the city never approved of Slider setting up shop.
"He has no right to be there," LaCroix said.
In February 2003, the city acquired land at the tip of NW Third Street with intentions of developing a pier and waterfront park. The land, purchased with a state grant, included the building that houses the dive shop.
The city leased the building to previous owner Conklin Investment Properties Inc. of Spring Hill. In turn, Conklin leased the property to Inland Dive and Charter.
LaCroix said Knauss had a difficult time keeping up with the rent. Last year, he got behind on three payments. In November, he reached an agreement with the City Council to come up with the money he owed.
The city got $8,000 in back payments then. Another $6,000 of past-due rent was expected by April 15. Nothing came.
Knauss also owed $2,120 for April's rent. Again, the city didn't see its money, LaCroix said.
The city attorney said Knauss sold Inland Dive and Charter's assets to Slider earlier this year. But he never transferred the lease to Slider, meaning the current business is trespassing on the property, LaCroix said.
"(Slider has) been operating the business on an unlawful sub-lease," the city attorney said.
Knauss could not be reached for comment.
Reached at the dive shop Monday, Slider said he had been paying his rent. When asked whether he planned to move out, Slider responded "nope."
His lawyer, John Clardy of Crystal River, did not return a call for comment.
LaCroix recently notified the dive shop owner that his lease would be terminated unless the previous payments were received. When the city didn't get its money, the city attorney filed the lawsuit to evict the city's tenant.
Knauss has five days after being served with the suit to answer. If he doesn't, LaCroix said, the city will get a default judgment and seek an order to remove the current tenant and be reimbursed for rent and attorney's fees.
The city will then advertise for new tenants. If he wants, Slider could apply for the lease under his own name, LaCroix said.