Remember last year when Donald Trump ruffled feathers by canceling a slew of contracts at the Trump International Hotel & Tower?
Well, the leader of that pack of buyers, former Sun-Times publisher F. David Radler, has filed a lawsuit to reclaim his condo contracts.
According to an article in Crain’s, Trump’s “friends and family” discount program helped the under-construction high-rise get off the ground back in 2003 – and now the Donald’s miserly behavior is on trial.
Dozens of Mr. Trump’s business associates participated in the friends and family program, which helped him generate the early sales he needed to get financing for the project. Buyers in the program received a 10% discount on their units and put down deposits of 5%, vs. the 15% required from other purchasers. They also were allowed to flip their units to another buyer before the tower opened.
“Now that the market value of the units has risen significantly, (the developer) has embarked on a campaign to terminate the discounted friends and family sales in direct contradiction of its pre-sale promises and in violation of its binding contractual obligations,” the complaint says.