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Owners strip Marriott flag from Honolulu locale
The owners of the first Edition hotel have taken that Marriott brand off the building, changed the locale’s name to the Modern Honolulu, installed new management and changed its signs and locks, The Wall Street Journal reports. The owners of the Waikiki Edition made those changes over the weekend despite of a contract that allows Marriott to run the hotel as an Edition for 30 years.
Those moves are the latest escalation in a legal battle that began this spring between M Waikiki LLC, the owner of the hotel, and Marriott. M Waikiki claimed in a lawsuit filed in May in New York Supreme Court that Marriott had failed to make the Edition hotel brand a success, resulting in the Waikiki location underperforming relative to its market. That suit also named as a defendant Ian Schrager, Marriott's partner on the Edition hotel brand, alleging that the famed hotelier has been uninvolved in the project. Marriott has since filed a motion to dismiss that case.
In the aftermath of the hotel owner’s most recent moves, Marriott chief operating officer Arne Sorenson released an e-mail statement saying his company “will aggressively and vigorously pursue all remedies against the owner and its partners in this illegal act, which was completely and blatantly in violation of Marriott's contractual agreements,” the Journal reports. William Brewer, an attorney for the Waikiki Edition owners, told the business newspaper that his clients have the legal right to terminate the contract because Marriott is mismanaging the property and causing them to lose money.
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