Southtrust Bank of Alabama, National Ass'n v. Palms of Terra Ceia Bay Community Development District

LEHAN, Acting Chief Judge.

We reverse the trial court’s denial of the petition for a writ of mandamus filed by Southtrust Bank, as trustee for the owners of bonds issued by the Palms of Terra Ceia Bay Community Development District (“the district”), a community development district formed under chapter 190, Florida Statutes. The petition requests that the writ compel the district through its board to levy ad valorem taxes to produce funds with which to pay the principal and interest on the bonds, which are in default.

The governing bond resolution provides: LEVY OF SPECIAL AD VALOREM TAX. In…