The owners of the Sheraton Grand Chicago and Westin Times Square in New York City are suing Marriott International and Starwood Hotels & Resorts in New York state court, arguing the merger would violate exclusivity agreements, according to a Tuesday report by Bloomberg. The lawsuit seeks to block Marriott and Starwood from finalize their planned merger.
Cityfront Hotel Associates Limited Partners, the owner of the Chicago hotel, and Dream Team Hotel Associates LLC from New York, say the deal would violate contract clauses that prohibit Starwood and Marriott from owning, franchising, operating or managing other hotels within a specific geographical area around the hotels.
Marriott and Starwood have not yet publically commented on the suit.