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Minor International Secures Another Win in Its Thai Legal Claim Against Marriott International
Minor International Secures Another Win in Its Thai Legal Claim Against Marriott International
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MINT, through a subsidiary, has filed a legal claim in Thai court against
Marriott International, Inc. (“Marriott”) in relation to the JW Marriott
Phuket Resort & Spa (the “JW Marriott Phuket”) which is owned by MINT
and operated by the Marriott group. MINT’s claim is for damages of THB
570,605,134 and alleges that Marriott has committed numerous serious
offenses under Thai law, including:
actively and openly competing with the JW Marriott Phuket through its
operation of competing Marriott portfolio hotels;
using the facilities of the JW Marriott Phuket to promote Marriott’s
other competing hotels;
misappropriating MINT’s confidential and proprietary information to
promote Marriott’s competing hotels and unlawfully benefit Marriott’s
interests at MINT’s expense;
forcing the JW Marriott Phuket to accept high volumes of low margin
business through Marriott’s loyalty program and operating its loyalty
program in bad faith and against the interests of MINT as hotel owner;
failing to manage the JW Marriott Phuket in a manner that properly
protects and benefits the owner’s interest, including implementing poor
purchasing practices, high staff turnover and making damaging
sales/marketing decisions; and
unduly enriching Marriott at the expense of the hotel and MINT,
through non-transparent license fee arrangements, supplier rebates and
use of monies in the Marriott loyalty program fund.
The Thai court, in its latest decision, once again affirmed MINT’s right to
pursue legal action against Marriott in Thai court and under Thai law. This
most recent court decision is yet another strong assertion by the Thai
courts of their jurisdiction over matters of Thai law, despite Marriott’s
attempts to block Thai hotel owners from holding Marriott accountable for
its actions in Thailand. MINT understands that other Marriott hotel
owners, including in Thailand, are closely monitoring MINT’s legal case.
Indeed, the Thai court’s decision will be highly encouraging to other Thai
hotel owners seeking to ensure that Marriott will be required to answer for
its actions under Thai law and in the Thai courts. We are aware of at least
one other Thai hotel owner that has terminated Marriott’s hotel
management contracts and we expect that others will follow suit shortly.
MINT has also strengthened its legal team through the appointment of
BH2I, a law firm comprised of lawyers with extensive relevant experience,
to act as additional legal counsel on its legal cases against Marriott to
ensure a positive outcome for MINT and other Marriott hotel owners.
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