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Re: Manhattan Club Lawsuit- First Attorney General Hearing (by Irene S.):

Notes from the TMC first Court Hearing

The Attorney General’s office was represented by two young lawyers and an intern. This first session was mainly the TMC lawyers asking for modifications to the court order against TMC.

So many interested parties turned out the hearing was moved from a small room on the 6th floor to a regular courtroom. TMC had 8 lawyers. The Eichner family had three lawyers of the 8 representing them personally. There were seven TMC owners present. Five other lawyers were also there observing the proceedings. I spoke to two of the lawyers observing. The two I spoke to had clients who were in various stages of trying to end their contracts with the Manhattan Club. Lieberman, the court rep, presiding over the hearing, stated some of the hearing was open to the public but some parts, lawyer conferences, were not. He did say documents from the closed to the public hearing were available for public review.

The TMC lawyers asked for modifications to the AG’s original court order. The TMC attorney said TMC cannot pay their employees, their renovation contractors and their lawyers because their accounts have been frozen. The TMC lawyers said they could not pay 1400 people. The TMC lawyers said they could not meet their payroll of $148,000 per week. The TMC lawyer’s said the court order against TMC was in violation of labor laws. The AG’s office said they would review the request for modification. They adjourned to a lawyer’s only meeting.

TMC owners can make the difference in this case. The Attorney General’s lead attorney is sharp. But, the Attorney General’s office is out-lawyered 2 to 1 by The Manhattan Club. This is how TMC has been able to stop three class action lawsuits and numerous personal suits against them. Already, the TMC lawyers are starting to shower the AG’s office with requests for modifications. Next, will come the flood of legal motions from the TMC lawyers. There is a saying, "The best defense is a good offense."

We, TMC owners, need to supply the AG’s office will all the documentation we owners have.

The TMC lawyers said people don’t want to buy at the Manhattan Club now and owners are calling up refusing to pay their maintenance fees to a scam operation.

Side note: A huge SHRED-IT truck was on West 56th Street outside The Manhattan Club this week.