Downtown’s largest hotel sues again over COVID cancellation

she dends southconventionlobby 0068 scaled

A convention space within the Sheraton Denver Downtown Hotel. (Courtesy Sheraton Denver Downtown)

For a second time in 10 months, the Sheraton Denver Downtown is suing a former client for canceling an event at downtown’s largest hotel as a result of the pandemic.

The cases raise unanswered legal questions about whether COVID-19 was an “act of God” that rendered such contracts moot. A similar case, brought by the Gaylord Rockies Resort & Convention Center in the fall, was settled before it could answer those questions.

On July 8, the 1,238-room Sheraton sued WSP, an international engineering firm with 73,000 employees in 50 countries. WSP agreed to hold an event Jan 17-20, 2022, take up 875 rooms and spend $80,000 on food and drinks, according to the hotel’s lawsuit.

“WSP is unable to comment on active litigation,” spokeswoman Lydia Steinberg said.

The Sheraton acknowledges that its contract with WSP contains an acts of God provision.

“The performance of this agreement is subject to termination without liability upon the occurrence of any circumstance beyond the control of either party, such as acts of God, war, acts of terrorism, government regulations, disasters, strikes, civil disorder or curtailment of transportation facilities,” that provision states, according to the hotel’s lawsuit.

But the provision doesn’t apply, according to the Sheraton, because the omicron variant of COVID did not prohibit WSP from holding its event in downtown Denver and WSP did not cancel that event within 10 days of learning about omicron, the hotel explains.

The Sheraton is seeking $104,000 from WSP. Its lawsuit is in Denver District Court.

Meanwhile, a three-day jury trial is scheduled for Aug. 18-20 in the hotel’s lawsuit against Mobile Electronics Specialists of America, a group of car radio and audio dealers. The Sheraton is seeking $270,000 from the trade group for canceling an event in early March 2020.

In both cases, the hotel’s lawyer is Steven Rudner of Rudner Law Offices in Dallas, Texas.

she dends southconventionlobby 0068 scaled

A convention space within the Sheraton Denver Downtown Hotel. (Courtesy Sheraton Denver Downtown)

For a second time in 10 months, the Sheraton Denver Downtown is suing a former client for canceling an event at downtown’s largest hotel as a result of the pandemic.

The cases raise unanswered legal questions about whether COVID-19 was an “act of God” that rendered such contracts moot. A similar case, brought by the Gaylord Rockies Resort & Convention Center in the fall, was settled before it could answer those questions.

On July 8, the 1,238-room Sheraton sued WSP, an international engineering firm with 73,000 employees in 50 countries. WSP agreed to hold an event Jan 17-20, 2022, take up 875 rooms and spend $80,000 on food and drinks, according to the hotel’s lawsuit.

“WSP is unable to comment on active litigation,” spokeswoman Lydia Steinberg said.

The Sheraton acknowledges that its contract with WSP contains an acts of God provision.

“The performance of this agreement is subject to termination without liability upon the occurrence of any circumstance beyond the control of either party, such as acts of God, war, acts of terrorism, government regulations, disasters, strikes, civil disorder or curtailment of transportation facilities,” that provision states, according to the hotel’s lawsuit.

But the provision doesn’t apply, according to the Sheraton, because the omicron variant of COVID did not prohibit WSP from holding its event in downtown Denver and WSP did not cancel that event within 10 days of learning about omicron, the hotel explains.

The Sheraton is seeking $104,000 from WSP. Its lawsuit is in Denver District Court.

Meanwhile, a three-day jury trial is scheduled for Aug. 18-20 in the hotel’s lawsuit against Mobile Electronics Specialists of America, a group of car radio and audio dealers. The Sheraton is seeking $270,000 from the trade group for canceling an event in early March 2020.

In both cases, the hotel’s lawyer is Steven Rudner of Rudner Law Offices in Dallas, Texas.

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