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Marriott International has filed a $2.6 million lawsuit in federal court against a Queens hotel for using migrant accommodations in violation of its franchise agreement.
The hotel chain claims that the owners of the Pride Hotel in Jamaica entered into a deal with Marriott in 2015 to operate a hotel at 149-03 Archer Avenue under the dual brands Aloft and Element, according to the lawsuit filed last week in the Southern District of New York.
Marriott claimed that the hotel’s owner, Pride Hospitality Group, had reached a “lucrative” agreement with the city to house migrants and asylum seekers “just months before” the hotel’s planned opening on November 1 after eight years of construction, breaching the agreement and waiving the right to use the Marriott brand.
Marriott confirmed on August 22, 2023 that the property – an 18-story, 283-unit hotel near John F. Kennedy International Airport – would be used to house migrants.
Nevertheless, the Pride Hotel continued to use Marriott signage and trademarks, the lawsuit says.
Pride Hotel sent Marriott a letter proposing an agreement to use the hotels as housing for migrants. Marriott provided a list of requirements that had to be met in order for the change of use to be considered, but received no response for two months — while the migrants continued to live on site, the lawsuit says. Pride Hotel, meanwhile, did not pay Marriott any of the fees required in the franchise agreement, the lawsuit says.
Marriott said it sent Pride payment requests in November and December and gave him opportunities to resolve the issue, but to no avail. The company then terminated the agreement on March 18.
The use of Marriott signs on a migrant hotel has “caused and will continue to cause significant harm to Marriott,” the lawsuit says. In addition, it will be difficult for Marriott to re-enter the lucrative Jamaica market, which serves JFK Airport, as it is “already saturated with existing hotels.”
The Pride Hotel was not immediately available for comment.
