Foundry Lawsuit Fast-Tracked as HOA Seeks to Extend Long-Running Transient Rental Licenses
Judge assigns streamlined track as homeowners association challenges expiration of 20-year settlement with Key West.
A Monroe County judge has placed a lawsuit filed by the Foundry Homeowners’ Association, Inc. at Truman Annex on a streamlined civil track, accelerating the procedural timetable in a dispute over the extension of transient rental licenses the association has held for roughly two decades under a court-approved settlement that expired late last year.
Court docket entries show the case is assigned to Tim Koenig of the 16th Judicial Circuit and is governed by a Civil Case Management Order (Streamlined Track), a designation typically reserved for cases involving limited parties and narrowly defined legal issues.
The underlying 142-page complaint was electronically filed Dec. 22, 2025, according to court records. As of this Monday morning, however, the filing itself has not been released by the Monroe County Clerk of Court, preventing public review of the association’s specific claims, legal theories, and supporting exhibits. The streamlined case management order also has not been made publicly available.
According to the civil cover sheet filed with the court, the lawsuit seeks both monetary damages and nonmonetary declaratory or injunctive relief, with the amount in controversy listed as in excess of $100,000. The case asserts a single cause of action, is not a class action, and does not request a jury trial, the filing shows.
The association did not seek assignment to the circuit’s Complex Business Court, indicating the dispute is not being presented as unusually complex under administrative rules.
The lawsuit names the City of Key West as defendant and centers on the Foundry’s effort to preserve transient rental licenses authorized under a prior settlement that remained in effect for approximately 20 years.
That settlement expired on Dec. 22, 2025, court records indicate.
Docket entries further show that summonses have been signed for review for both the City of Key West and Mayor Danise Henriquez, but have not yet been issued, meaning formal service of the lawsuit has not begun.
The homeowners association contends the long-standing licenses should continue, citing reliance on the settlement and the duration of the approvals. City officials have previously maintained that once the agreement expired, the properties became subject to current zoning and licensing regulations governing transient rentals.
Placement on the streamlined track does not reflect any ruling on the merits of the case. Under Florida procedural rules, streamlined cases are expected to proceed more quickly than standard civil actions, with tighter discovery limits and an emphasis on early resolution.
The lawsuit unfolds as Key West continues to face heightened scrutiny over transient rentals, enforcement practices, and the broader impact of short-term lodging on housing availability and neighborhood character.
A jury trial was not requested, and the case remains in its early procedural stages.
This is an evolving story. Watch this space.