- September 14, 2026
Following in the footsteps of Avalon Park, the City of Daytona Beach has voluntarily dismissed its circuit court complaint against the City of Ormond Beach.
Daytona filed a notice of voluntary dismissal on Aug. 24, a little over two weeks after Avalon Park Daytona Beach dismissed its portion of the state lawsuit. Originally filed in December 2024, the lawsuit by Avalon Park — which seeks to construct over 8,800 homes west of I-95 near the city limits of Ormond Beach — revolved around which municipality would provide utilities to the development.
City Attorney Randy Hayes informed the commission of the latest development in the litigation during the City Commission meeting on Tuesday, Aug. 25.
"That case was scheduled to go to trial Sept. 14, and the evidence did not look good for them," Hayes said.
In the now-dismissed lawsuit, Avalon Park had asked the court to declare Ormond Beach unable to provide utilities and grant them the right to obtain water and wastewater services from Daytona. In a news release earlier this month, Avalon Park Group President and CEO Beat Kahli said the dismissal came after weeks of collaboration toward a solution.
A federal lawsuit filed in March, however, is still active. On Aug. 5, Avalon Park Daytona asked the U.S. District Court Middle District of Florida to deny Ormond Beach's motion to dismiss the federal lawsuit, which alleges a federal takings claim and states the city's regulatory actions aim to prevent any development of Avalon Park.
Avalon Park did not sue Daytona Beach in federal court, Hayes said.
"We will be filing a motion to recover our costs in the state one, and going to digest this for a couple days, and then I need to do some further analysis and we'll come back to you and give you some of what our thoughts are, and some potential options," Hayes said to the commission. "I don't think this is the end of dealing with these folks for a while, but we've got to give a lot of credit to our litigation counsel and our staff because they put a lot of time and effort and resources into getting us into a position to be successful."