Owensboro Executive Inn Legal Battle
By: Import User
Updated: July 16, 2007
OWENSBOROS EXECUTIVE INN IS CAUGHT IN THE MIDDLE OF A MULTI-MILLION DOLLAR LAWSUIT. A FIRE THAT SHUT DOWN TWO WINGS OF OWENSBOROS EXECUTIVE INN LAST SEPTEMBER, HAS SPARKED A LEGAL SHOWDOWN ALMOST A YEAR LATER. ITS THE HOTEL MANAGEMENT AND ITS INSURANCE COMPANY, VERSUS THE HOTELS MORTGAGE HOLDER, MARSHALL INVESTMENTS. THE MORTGAGE COMPANY IS DIGGING IN HEELS ITS AND REFUSING TO SIGN OFF ON A MORE THAN FIVE MILLION DOLLAR INSURANCE SETTLEMENT, WHICH STEMS FROM THE FIRE. LAWYERS FOR MARSHALL SAY THE MORTGAGE COMPANY WAS NEVER GIVEN A CHANCE TO REVIEW THE SETTLEMENT. DOCUMENTS THEY SAY THE HOTEL AND INSURANCE COMPANY AGREED TO WITHOUT THEIR INPUT. THE HOTEL HAS ASKED A COURT TO ORDER THE ACCEPTANCE OF THE SETTLEMENT, BUT A JUDGE HAS GRANTED THE MORTGAGE COMPANY SIX MORE WEEKS TO REVIEW THE DOCUMENTS. THE HOTEL NEEDS THE SETTLEMENT MONEY TO MAKE REPAIRS, AND IN THE MEANTIME THE MORTGAGE COMPANY SAYS THE HOTEL HAS FALLEN BEHIND ON PAYMENTS. AND WHILE POSSIBLE FORECLOSURE PROCEEDINGS MAY BE IN THE FUTURE, MARSHALL WANTS AN OUTSIDE "RECEIVER" TO HANDLE THE HOTELS OPERATIONS. ALTHOUGH BOTH SIDES HAD A CHANCE TO PLEAD THEIR CASE...THE COURT MADE NO RULINGS TODAY. BOTH SIDES WILL BE BACK IN COURT IN LATE AUGUST.
