Morgans Hotel Group Management moved to terminate its hotel management agreement with Baha Mar and has sought a temporary restraining order over an alleged "retaliatory" attempt by the resort to gain access to $10 million that it claims Baha Mar was not entitled to.
In court documents filed in the New York State Supreme Court obtained by Guardian Business, which list Morgans Hotel Group Management as the petitioner in the matter and Baha Mar and Deutsche Bank Trust Company Americas as respondents, it is said that Morgans Management notified Baha Mar on March 26, 2014 that its 20-year hotel management agreement (HMA) with Baha Mar "would terminate effective 30 days later".
This came after Baha Mar was allegedly unable to fulfill what was required of it under the agreement.
These requirements of Baha Mar included obtaining a "non-disturbance agreement", which would have ensured that in the event of a default or foreclosure under the Baha Mar loan, the lenders would not take certain actions to interfere with the operation of the hotel by Morgans Hotel Group Management. On March 20, 2014, Baha Mar allegedly advised Morgans it had been unable to obtain the non-disturbance agreement after being given almost three additional years to do so, according to the court documents.
The HMA entered into between Baha Mar and Morgans Hotel Group Management on July 31, 2011, for Morgans to develop and operate the 300-room Mondrian at Baha Mar hotel, had called on the hotel management company to put aside $10 million in Baha Mar's name in the form of a letter of credit with Deutsche Bank.
According to filings by Morgans Hotel Group Management's attorneys, this money, termed "key money", was to be released in three installments to Baha Mar beginning 180 days prior to the opening of the hotel, but would "automatically be released" to Morgans on the effective date of any termination of the contract - April 25, 2014 in this case - should such a termination occur.
In April 23, 2014 court filings in support of an emergency restraining order stopping the transfer of the $10 million letter of credit from Deutsche Bank to Baha Mar until an arbitration panel could determine the merits of Morgans Hotel Group Management's underlying dispute, Christina Hassan, senior vice president and associate general counsel of the company, stated that Thomas Dunlap, president of Baha Mar, sent a letter to Deutsche Bank "attempting to draw down the entire $10 million letter of credit". Morgans was of the view that this move was contrary to the terms of the HMA.
In his letter, sent eight days prior to the effective termination date of the HMA - April 25, 2014 - Dunlap told the bank that the money was "due" to Baha Mar, according to the filings. However, Hassan states in her filings that none of the "limited circumstances" under which Baha Mar could have been entitled to draw down on the letter of credit had been met.
In associated filings by attorney for Morgans Dennis Tracey it is stated: "Baha Mar did not inform Morgans Hotel Group Management of its intent to demand this payment of $10 million before sending the demand letter to Deutsche Bank, nor did it demand payment of any amounts by Morgans Hotel Group Management (because none were due). Indeed Baha Mar has no entitlement to draw any sum under the letter of credit."
Morgans petitioned the court for an "emergency" restraining order stopping the transfer of the funds on the basis that it had little chance of recovering them if they were sent to Baha Mar, that if the monies were "dissipated" it would render any ruling in forthcoming arbitration proceedings "ineffectual" and that any transfer would result in "irreparable harm" to the hotel management company.
The $3.5 billion Baha Mar resort is slated to open in December 2014. Morgans Hotel Group Management was one of three hotel management companies with which Baha Mar had signed on in 2011 to manage three of its five properties.
Other companies that have signed on with Baha Mar include Hyatt Hotels Corporation and Rosewood Hotels and Resorts.
The "Mondrian at Baha Mar" has been marketed as a "luxury lifestyle" hotel, targeted to be the more "hip and edgy" of the hotels which will make up the Baha Mar resort.
Contacted for comment on the dispute and the impact of the termination of the management agreement within months of the opening of the resort, Baha Mar Senior Vice President of Administration and External Relations Robert Sands said, "Baha Mar has no comment on this matter".

FNM Deputy leader Loretta Butler-Turner suggests that a payroll tax coupled with another revenue generation scheme like a national lottery should be implemented rather than the controversial Value Added Tax (VAT).

A number of Bahamian collegians competed for their respective schools at the 120th running of the Penn Relays Carnival this past weekend.
In the college women's 100 meters (m), V'alonee Robinson, a senior at Auburn University, finished seventh, in 11.78 seconds, after qualifying in 11.99 seconds. There was a Texas A&M University 1-2 sweep in that event, as Olivia Ekpone was first, in 11.23 seconds, and Aaliyah Brown finished second, in 11.34 seconds. Cierra White, from Texas Tech, was third, in 11.46 seconds.
Robinson also helped Auburn University's 4x100m relay team qualify for the Championships of America final. She ran the third leg in the heats, and they qualified for the final, in 45.19 seconds. Robinson didn't run the final, and the team finished sixth overall, 44.69 seconds.
Auburn men's 4x100m relay team also qualified for the Championships of America final. Bahamian freshman at the university, Teray Smith, played a huge role in that. He anchored both teams as they ran 40.18 seconds in the heats, and 40.44 seconds in the final. The team of Zachary Gunnz, Keenan Brock, Michael Cheeks and Smith placed seventh in the final, which was won by the University of Technology (UTech), based in Kingston, Jamaica, in 38.71 seconds. Louisiana State University (LSU) was second in that race, in 38.83 seconds, and St. Augustine's University, based in Raleigh, North Carolina, finished third, in 39.19 seconds. Smith also anchored the men's 4x400m relay team, but that team failed to qualify for the Championship of America final, finishing 52nd overall, in 3:19.69.
Bahamian Shavez Hart was also seen in action over the weekend.
He ran the second leg of Texas A&M's 4x100m relay team, helping that team to an 11th place finish overall, in 40.64 seconds. In the college men's 4x200m, they fared much better. The team of Carlyle Roudette, Prezel Hardy, Jr., Hart and Deon Lendore had the fastest qualifying time for the Championship of America final, in 1:20.67; the same quartet, in that order, finished second in the final, in 1:20.29. UTech, consisting of Guirab Dantago, Julian Forte, Andrew Fisher and Ronald Levy, won that event, in 1:20.07; LSU's team of Darrell Bush, Aaron Ernest, Tremayne Acy and Shermund Allsop was third behind UTech and Texas A&M, in 1:21.47. Hart also came back and ran in the Championship of America final in the college men's 4x400m relay, after his team qualified first, in 3:05.06. Hart led off a Texas A&M University Aggies team that finished fourth in the final, in 3:06.94.
Also competing at the Penn Relays this past weekend were Bahamians Kirk Lewis and Delano Davis for Essex County College. They ran the first and second legs respectively for Essex's men's 4x100m relay team. That team was 38th overall, finishing in 42.04 seconds. Bahamian Ojay Ferguson was scheduled to compete in the college men's 4x400m for Essex, but the team failed to finish the race.
Kadeisha Hield also competed for Essex this past weekend. She ran the third leg of Essex's women's 4x100m relay team, and the second leg of their 4x400m relay team. Both teams failed to qualify for the Championship of America final, as the 4x100m relay squad finished 51st overall, in 48.01 seconds, and the 4x400m relay squad was 53rd overall, in 3:54.35.
Also, in the USA vs. the World sprint medley relay, Anthonique Strachan and Sheniqua Ferguson ran the opening two legs for the Caribbean All-stars. That team of Strachan, Ferguson, Alena Brooks, from Trinidad & Tobago, and Jamaican Kimaria McDonald, finished third overall, in 3:46.95. The United States won that event, in 3:37.94; Jamaica was second, in 3:38.41.

The high-heeled shoe -- no other shoe has been recognized as a symbol of leisure, sexuality, style and sophistication. The formal invention of high heels as fashion is attributed to the short-statured French queen, Catherine de Medici (1519-1589). She donned heels two inches high that made her taller and gave her an alluring sway when she walked. By 1580, fashionable heels were popular and worn by both sexes, and a person who had authority or wealth was often referred to as being "well-heeled". Nowadays, it's common to see young women wearing extremely high heels, stilettos or platforms.
Researchers recently studied how walking in high heels over time affects the muscles and tendons of the legs and feet. The researchers recruited young women in their late teens, 20s and 30s who had worn high heels for at least 40 hours a week and those who rarely, if ever, wore high heels. They were fitted with gadgets that monitored them as they walked in high heels or barefoot on a 26-foot-long walkway, 10 times.

How high heels affect your walk
The women who usually walked in high heels walked differently from those who usually wore flats, even when they walked barefoot. High heel wearers made shorter, more forceful steps than bare foot walkers. Their feet were flexed and their toes were pointed while walking in high heels and bare foot. When wearing high heels, the calf muscles shortened and were put under much greater strain. Normally, like in the women who rarely wore heels, walking stretches the tendons rather than the muscles, especially the Achilles tendon. It is the most efficient way to walk because the tendons are more effective springs than muscles. The high heel wearers walked less efficiently with or without heels, requiring more energy to walk the same distance as people in flats or bare feet because of muscle tiredness.
The muscle strain that occurs when walking in high heels may increase the risk of injuries, not only in high heels but also when heel wearers switch to sneakers or other flat shoes. After wearing high heels for years, the foot and leg eventually adapt to the position in high heels, making it more difficult to wear flats and to go bare foot leading to heel pain and Achilles tendonitis.

Dangers of wearing high heels
In addition to changes in the shape and functioning of the muscles and tendons of the feet, high heels can cause significant foot pain and other problems. These can range from developing bunions, corns, and calluses to hammertoes, ingrown toenails, neuroma, or excruciating pain in the ball of the foot due to the loss of the fat pad. Not only does this cause pain, but it may also increase the risk of stress fractures and arthritis in the feet. High heels don't cause bunions, but can increase the likelihood of developing one and can exacerbate them if they are present. High heels are often more comfortable in the 20s and 30s than they are as we get older because the feet change with age.
Even with the challenges, many women refuse to give up their high heels. A survey conducted by the American Podiatric Medical Association showed that 42 percent of women admitted they would wear a shoe they liked, even if it hurt their feet. It is documented that almost 10 percent of women wear the wrong size shoes.

Tips for wearing high heels safely
If you plan to wear high heels here are simple tips that can help to make the experience pain free and safe. Pay attention to proper fit of the shoe. If the fit is good and the heels aren't too high, that would be a better type of high heel to wear and it allows more ankle movement as you walk.
Comfort and safety also depends on the height and the fit of the shoe -- the higher you go with stilettos, the more force you put on the ball of the foot, the more unstable you will be and shorter the time you can wear the shoe. Try not to wear high heels every day, instead wear them maybe once or twice a week.
Integrate lower heels into your wardrobe by alternating between high heels and flats or sneakers to maintain functioning of muscles and tendons in the legs and feet.
When wearing high heels for long periods for example at work, try to remove the heels whenever possible, such as when you're sitting at your desk. If you have bunions or hammertoes, consider having them surgically corrected.
High heels with thicker, chunky, heels, like a platform type, are more stable than a thin high heel. Platforms are a good choice, especially if they have the rocker sole on the bottom. It is safer to walk on stable ground and to walk slower when you are wearing very high heel shoes. By following these tips, you can wear your high heels safely and virtually pain free. If, however, you do develop some pain or any challenges with your foot or footwear see a podiatrist as soon as possible.
o For more information email foothealth242@gmail.com or visit www.foothealth.org or apma.org. To see a podiatrist visit the Bahamas Foot Centre on Rosetta Street, telephone 325-2996 or Bahamas Surgical Associates on Albury Lane, telephone 394-5820.