by Lisa A. Grimaldi | April 08, 2015
Morgans Hotel Group and the new owners of New York's Mondrian SoHo are feuding over management rights to the 263-room Manhattan hotel, according to Travel Weekly, M&C's sister publication. In a Monday press release, Alex Sapir and Gerard Guez, who acquired the hotel last month out of foreclosure, said the hotel had been rebranded as the Nomo SoHo and was "in the process of transitioning management." The new owners also said the hotel would be represented by Preferred Hotels & Resorts. Morgans said Monday that the rebranding process was both premature and illegal. Last month, Morgans CEO Jason Kalisman said it had filed a lawsuit against the new ownership group to prevent the removal of Morgans' management. Morgans said late Monday afternoon that it was granted a restraining order against the ownership group, which will at least temporarily prevent any change in management.

"Sapir's actions at Mondrian SoHo are highly irresponsible and damaging, and show an utter disregard for the rule of law," Morgans said in a statement. "Morgans Hotel has a right to seek due process in regards to the enforcement of the Mondrian SoHo management contract, and Sapir's forcible attempt to remove Morgans without a court order is illegal and unwarranted. To try and do so in the middle of the night speaks volumes about their character as a business partner." Sapir and Guez acquired the Mondrian SoHo last month for a price that wasn't disclosed, though it was reported at about $200 million.