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Waikiki Edition Hotel owner files lawsuit
Law firm Bickel and Brewer has confirmed that M Waikiki LLC - the owner of the Waikiki Edition Hotel in Honolulu, Hawaii - has filed a lawsuit against Marriott and Ian Schrager.
The action relates to claims that the 353-room hotel had been a "failure" on the grounds of gross mis-management and Marriott's inability to successfully launch the Edition brand. At the launch of the Edition brand in 2007, it had been anticipated that nine properties would have opened in the first year. However, there are currently just two Edition hotels worldwide.
M Waikiki LLC is now seeking tens of millions of dollars worth of damages, as well as the removal of Marriott from a management agreement for the Waikiki Edition Hotel. William A Brewer III of Bickel and Brewer said: "We believe that promises made in connection with the launch of Edition were broken - leaving our client with significant damages which have been further compounded by Marriott's inability to effectively manage this property."
The claim against Ian Schrager alleges that he was not involved with the development of the Waikiki Edition Hotel project - despite contractual obligations to the contrary. Schrager had been working in partnership with Marriott to roll out the Edition brand, but the lawsuit claims he has "abandoned" the plans in favour of launching his own venture.
"We believe defendants abandoned our clients - and their promise to do all that was necessary to make Edition a viable competitor in the 'lifestyle' hotel marketplace," added Brewer.
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