Quantcast
breaking news

Lawsuit Aims to Remove CEO From John Q. Hammons Hotels

By: David Oliver
Updated: July 26, 2012
watch video

DELAWARE, Md. -- A lawsuit has been filed against Springfield-based John Q. Hammons Hotels Management Co. LLC and its new leader.

The paperwork was filed in Delaware on behalf of Atrium TRS, LLC and several affiliates. That group owns more than half of the 78 hotels managed by Hammons Hotels.

The suit says current CEO Jackie Dowdy took control of the company in violation of a management agreement.

Atrium says its agreement allows it to have direct say over who serves in top management roles at JQH. It claims Dowdy took over from Hammons despite objections by the Atrium group.

The suit also claims Dowdy gave herself Hammons' $200,000 salary and paid out more than $1 million in bonuses in violation of the management agreement with Atrium.

Dowdy used her power of attorney status to take over for Hammons when a memo said he retired in 2010.

The Delaware lawsuit refers to John Q. Hammons as incapacitated, and he hasn't been seen in public for the last two years.

KOLR10 News placed a call to the local headquarters for John Q. Hammons hotel management asking to speak with Dowdy. We were told to call a public relations firm based in Dallas for any comment from the company.

The Texas PR firm released this statement: "The Company has received a copy of the complaint and has engaged counsel to aggressively defend against the baseless allegations brought by Atrium TRS, LLC and the other Atrium groups and Jonathan Eilian, its principal.  The Company will establish in court that the Company has not violated the terms of the Management Services Agreement. Under the leadership of Jacqueline A. Dowdy, the Company has effectively managed the hotels in its portfolio.  The lawsuit will have no impact on the operations of the Company."

(see attachment below to read the lawsuit)

Previous Reports:
Lawsuit Claims John Q. Hammons Hotels Overstated Net Worth
UPDATE: John Q. Hammons' Court Files Sealed
Hammons Update: The Ins and Outs of Guardianship
Friends of John Q. Hammons File Petition for Guardianship
Hammons Out at Company; Friends, Family Concerned

Comments

Readers Feel...

hello
 
 
 
 
 
©1998 - 2013 Ozarksfirst.com
Nexstar Broadcasting, Inc.
All Rights Reserved