Marriott Sues Franchisee Over Unauthorized Hotel Conversion to Migrant Shelter

The hotel chain alleges breach of contract and seeks $2.6 million in damages after a New York property was repurposed without permission.

Marriott claims Pride Hotel violated franchise terms by converting a property into a migrant shelter.
The franchisee allegedly entered a lucrative contract with New York City without notifying Marriott.
Marriott terminated the franchise agreement in March and is pursuing damages.
The city’s use of hotels for migrant housing has led to increased costs and financial strain.
New York City has spent billions on the migrant crisis, with significant funds directed towards housing.