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Hospitality
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Dana Kravetz
T. 310.299.5500
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Lawyers at M&R have unparalleled experience serving the hospitality industry. They routinely represent hotel, resort and restaurant owners, operators, franchisors, franchisees, developers and financiers in an array of transactional and litigation matters. Indeed, the firm has assembled a vertically integrated, interdisciplinary team of practitioners (the Hospitality Group) that applies a collective fluency in the hospitality space to drive superior results. No matter the practice area – labor and employment, intellectual property, cybersecurity and privacy, commercial and business litigation, real estate, or general corporate law – M&R’s Hospitality Group has the interests of its clients covered.

Toward that end, the firm’s lawyers pride themselves on staying current on the events and trends that shape the hospitality business. They are industry authorities able to help clients navigate the hotel, resort and restaurant landscape, and quite active in the hospitality space, even outside the boardroom and courthouse. The firm is involved in the American Hotel & Lodging Association, California Hotel & Lodging Association, Cornell Institute for Hospitality Labor and Employment Relations, Golden Gate Restaurant Association, Hotel Association of Los Angeles, and New York State Restaurant Association. Also, M&R lawyers frequently speak at national and regional hospitality industry conferences and events (like ALIS Law), and they regularly contribute articles published in prominent hospitality trade magazines and newsletters. In fact, the firm’s Managing Partner sits on the Editorial Board of Hotel Executive.

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Areas Of Expertise

  • Branding, Trademark & Domain Name Disputes

    M&R routinely represents hospitality clients in trademark, copyright and trade secret matters. Likewise, the firm’s attorneys work closely with hotels, resorts and restaurants regarding domestic and foreign branding and brand protection. Toward that end, they are quite adept at drafting impactful cease and desist (C&D) letters as well as conducting oppositions and cancellations before the Trademark Trial & Appeal Board (TTAB). In addition, lawyers at M&R are frequently retained to navigate clients through IP registration and policing, copyright negotiation and litigation, and domain name disputes, which oftentimes require the filing of complaints pursuant to the Uniform-Name Dispute-Resolution Policy (UDRP).

  • Commercial & Business Litigation

    M&R’s commercial and business litigators are highly sought after in the hospitality industry, having represented nearly every four and five-star hotel in California as well as countless top-tier properties in other states and countries. The firm’s lawyers have successfully defended its hotel, resort and restaurant clients base in an array of cases involving contract and vendor disputes, supply and service claims, route and customer infringement matters, and the like.

  • Contract Relations

    When it comes to contract negotiation, drafting, management and litigation, M&R attorneys have their hospitality clients covered. The firm’s practitioners have vast experience with the breadth of contracts that hotel, resort and restaurant owners/operators are party to (from construction and buy-sell agreements to contracts with management and vendors, and everything in between).

  • Corporate Counsel

    M&R’s corporate attorneys routinely advise hospitality clients in connection with their day-to-day business operations. More particularly, the firm’s corporate lawyers provide counsel on everything from entity formation, corporate governance and compliance, and strategic partnerships, to the negotiation of purchase and sale contracts and hotel management agreements (HMAs), mergers and acquisitions and financing, leasing, licensing and regulatory matters.

  • Cyber Security & Data Breach Protection

    It is imperative that those in the hospitality industry implement policies and procedures to safeguard against cyber attacks and effectively respond to data breaches in the unfortunate event they occur. Toward that end, M&R professionals work closely with the firm’s hotel, resort and restaurant clientele to ensure they are protected. In addition, the firm’s lawyers – who continually monitor developments in the ever-evolving field of cybersecurity – provide employee training to significantly reduce exposure to cyber crime and data breaches that can put customer and employee information at risk. M&R attorneys also have a particular expertise when it comes to the California Online Privacy Protection Act. The firm regularly advises its hospitality clients on how to assure compliance, and provides representation in the event of violations.

  • Employee Relations & Litigation

    M&R’s labor and employment professionals negotiate, draft and review a variety of employment-related contracts, including executive employment and separation agreements, non-disclosure agreements, management agreements, partnership agreements, consultant agreements and restrictive covenants. The firm’s lawyers also perform workplace audits, investigations and compliance reviews; create employee handbooks and operational manuals; craft benefits and compensation packages; and conduct an array of employee training sessions. Likewise, M&R attorneys represent hotels, resorts and restaurants in Department of Labor (DOL) and Office of Federal Contract Compliance Programs (OFCCP) audits and actions, as well as labor arbitrations and collective bargaining negotiations. In terms of litigation, the firm has a record of success handling wage and hour matters (including class actions) and wrongful termination, harassment and discrimination cases.

  • Gratuity & Tipping Issues

    As the minimum wage in the hospitality industry reaches new heights, and the U.S. Supreme Court considers weighing in on the permissibility of tip pooling, many hotel, resort and restaurant employers are rethinking compensation models for their employees. In response, labor and employment lawyers at M&R vigilantly track alternative payment programs, and advise regarding cutting-edge compensation structures that benefit management, employees and customers, all the while remaining compliant with state and federal laws.

  • Hotel Sales & Acquisitions

    M&R corporate and real estate attorneys have represented some of the most prominent hotels and resorts in the world in sophisticated and complex sale and acquisition transactions. The firm’s professionals handle everything from pre-transaction planning, strategy, due diligence, negotiation and financing to execution, closing and post-closing activities.

  • Minimum Wage Issues

    While the status of the federal minimum wage remains in flux, states (including California) and municipalities (e.g., Santa Monica, San Francisco, Seattle) have taken unilateral action to increase minimum wages, impacting many industries, hospitality included. Lawyers at M&R understand the ramifications of such wage hikes (both legal and operational) for hotel, resort and restaurant owners/operators, and provide counsel as to how to navigate the changing minimum wage landscape with an emphasis on profit maximization.

  • Real Estate Litigation, Transactions & REITs

    The hospitality industry is particularly vulnerable to real estate disputes resulting in litigation. That being said, the firm’s litigators handle a range of cases involving title insurance, lien and ownership priority, bona fide purchaser/encumbrance status, easement rights, adverse possession and other prescriptive rights, accretion/erosion, leases, rights of first refusal, eminent domain, urban redevelopment and relocation and mechanic’s liens, among others. Likewise, M&R handles real estate transactional matters involving title and leasing, loan transactions and other financing concerns, real estate investment, title insurance claims, lien and ownership priority, easements and mechanic’s lien rights, to name a few. The firm’s attorneys also have specific expertise representing hotel REITs in mergers and acquisitions, structured debt financings, joint ventures and other strategic transactions, along with miscellaneous and associated corporate, tax and partnership matters.

Counseling & Negotiation: M&R attorneys successfully counsel and negotiate on behalf of hospitality clients in contract disputes and general employment matters, including executive compensation, terminations and best employment practices.

Employment/Sexual Assault: Plaintiff was allegedly touched inappropriately by a hotel employee. M&R was retained to defend the global hotel corporation against negligent hiring and premises liability claims arising from the purported incident. Successfully negotiated a resolution after demonstrating that there was no negligence by the client.

Executive Employment Agreements: We routinely prepare executive employment agreements involving industry-specific compensation packages for national hotels and restaurant, food and beverage companies.

Joint Venture: Successfully negotiated joint venture for food and beverage client with one of Hollywood’s historic hotels, leading to opening of a unique food, beverage and recreational concept in California.

Labor Relations: We have defeated several union organizing campaigns, handled labor arbitrations and served as lead labor counsel on strikes and in collective bargaining negotiations for a number of major national and international hotel and restaurant chains.

Landlord-Tenant Dispute: Obtained a favorable resolution of a landlord-tenant dispute between an overstay guest who had obtained tenancy rights and hotel owner/operator.

Litigation: After a child fell from a hotel room window, the family sued the hotel claiming it was the window that caused the fall and not that the parents failed in their supervision. Obtained summary judgment on the client’s behalf. In the same case, secured a court order requiring the out-of-state plaintiffs to post a $75,000 bond as security for defense costs, and the trial court awarded $17,000 in costs to client.

Litigation: Obtained favorable result for hotelier in a case of alleged bed-bugs in a hotel by prevailing on a demurrer to the fraud cause of action and motion to strike punitive damages.

Litigation: Prevailed on numerous ex parte applications on discovery and pre-trial issues and obtained favorable settlement in contentious premises liability litigation concerning injury to a child from falling out a hotel window.

Mergers & Acquisitions: Represented a well-known hotel and gaming corporation in the acquisition and disposition of gaming, hotel and other hospitality properties.

New Market Tax Credits:  Represented developer Full Spectrum of NY, LLC and My Image Studios Inc., in the closing of a $21 million New Markets Tax Credit financing that provided the debt and equity to build a 20,000 square foot African and Hispanic restaurant, production facility and arts and culture center in Harlem, New York. Led a team of multi-disciplinary lawyers (including real estate, banking , tax and finance counsel) in structuring the deal, which included senior and junior debt, sale of tax credits for equity, and additional capital from the investors. Reviewed and coordinated numerous legal documents including loan agreements, corporate reorganizational documents, a building and construction agreement and a tax opinion on the structure of the deal.

Premises Liability for Hoteliers: After prevailing on summary judgment in a case where a hotel restaurant patron was allegedly bit by a spider in an outdoor patio, secured award of nearly all of defendant’s litigation costs.

Property Loss at Hotel: Obtained early settlement by drafting demurrer and motion to strike where the complaint alleged property loss from a hotel room above the recoverable statutory minimum under the applicable California hotel law.

Purchase and Licensing: Represented client in purchase of an alcoholic beverage business and assisted in obtaining licensing and distribution rights.

Purchase of Alcoholic Beverage Business: Represented a client in the purchase of an alcoholic beverage business, which later acquired licensing and distribution rights as a strategy to enhance the brand.

Restaurant Formation: On behalf of owner operators and chef owners, M&R formed and structured numerous restaurant businesses by counseling on structure and financing, securing necessary licensing (alcohol), furniture, fixtures and equipment to start the enterprise. Additionally, M&R was instrumental in negotiating executive compensation, management and consulting, and various forms of brand and intellectual property licensing agreements.

Restaurant Purchase: Represented one of the most prominent restaurateurs in Hungary in the $1.8 million purchase of a Downtown Los Angeles restaurant. Navigated multiple complex issues in closing the transaction, including: restructuring purchase terms to ensure satisfaction of the secured creditors and bulk sales law; obtaining a waiver and amendment of a recapture provision in the lease; and negotiating more favorable terms for the client at closing, including a $500,000 discount on the purchase price.

Restaurant Refinancing: M&R advised restaurateur in securing additional financing to complete restaurant build-out when poor budgeting and design and construction flaws halted project. Successfully recovered funds from consultants through litigation.

Restaurant Sale: Negotiated on behalf of and advised owner of a multi-unit restaurant business through successfully obtaining financing from a private equity fund.

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