LaSalle, Le Meridien Head Back to Court Today

The legal teams went to bat for their clients Friday as LaSalle sought a writ to force a Dallas County justice of the peace to act today on the eviction case. LaSalle's COO Michael Barnello tells GlobeSt.com that the writ wasn't handed out, but Judge Bob Jenevien did schedule a hearing for tomorrow at 9 a.m. in the event that today's case isn't heard or a decision isn't forthcoming in short order.

LaSalle Hotel Properties ordered Le Meridien to check out in January so it could slide in Westin Hotels & Resorts as the operator and property manager for the 407-room Plaza of the Americas hotel and 497-room venue in New Orleans. The New Orleans case will be heard by an arbiter in a closed proceeding.

Le Meridien has been the Dallas hotel's only operator in its 22-year history, The last five years were spent under LaSalle's ownership whereas it's been a six-year relationship in New Orleans. LaSalle owns the Plaza of the Americas hotel component for the mixed-use holding of New York City-based Trizec Properties.

Barnello says Jenevien's decision to hold a hearing Tuesday clearly indicates he is serious about the getting the high-profile case settled in an expeditious manner. Le Meridien is continuing to contest LaSalle's right to terminate its third-party contract despite a May 13 decision upholding the cancellation right. Barnello says the Bethesda, MD-based REIT has never encountered this before. In a previous GlobeSt.com interview, he vowed to press for compensatory damages in the drawn-out divorce with its operator.

LaSalle contends last summer's sale of the London-based chain to Nomura International Plc, a Japanese banking conglomerate, opened the door for the contract cancellation. Le Meridien's portfolio consists of 140 owned and managed luxury hotels in 55 countries. Still headquartered in London, Le Meridien is managed by Terra Firma Capital Partners.