The independent. [volume] (Elizabeth City, N.C.) 1908-1936, 1927-10-21
VIRGINIA DARE HOTEL
In DEVIL OF A MESS
But Still There is Likelihood of 1t Opening
November 7th. Under Somebody's
MANAGEMENT

-
Dare Hotel will open on Mon
dav, Nov. 9TH, in the opinion OF
{. O. Robinson, president of the
Board of Directors OF the
Hotel Company.
But under whose management the
hotel will open is II question To he
fought out in the United States
Court i'll this city the week of Oct.
%1St- And it will be real fight.
Warren l.. Tiller. attorney for
the Associated Hotels. Inc. of Rich
mond. came to Elizabeth City We'd
nes,lay of this week and posted Il
hond of $1,000 to guarantee the
fight. Or the posting of the bond
amounts to the same thing.
Elizabeth City'S new community
hotel is in Il very devil of Il mess.
Before work was started on the
hotel long time lease was made
20 the VIM. Fuor Hotels Operating
Co. now known as Associated
Hotels. Inc. Misunderstanding be-
tween the hotel directors and the
lc>SecS developed aS the construction
Of the hotel proceeded. and the
hotel company went To court. claim
ing thar the leSSeeS had violated
! the terms of their contract and
should be restrained from taking
over the management of the hotel
when completed.
Without waiting upon the out
come of their case at law. the hotel
owners proceeded to take over the
mana.ement themselves. They en-
ployed their own manager j. i.
Johnson and put him in charge of
the hotel. Mr.. Johnson gave up the
management of the Hotel Suburban.
n 300 room hotel in East Orange.
y. J.. To come To Elizabeth City and
proceeded to perfect an organiza-
ticn and prepare for the opening
of the hotel on Oct. eth.
MIR. Johnson was proceeding nice
ly with his plans when the Assn
ciated Hotels. Inc. walked into the
II :. Court in Greensboro last week
and got an order restraining the
hotel owners from opening or OPP
Grating the hotel until the Court
could hear and pass upon the Is
SueS involved. conditional upon the
lesseeS posting Il bond i'll the sum
of 5000. The week of oct. 81
WIS designated for Il special term
of the L. =. Court in this city FOR
tbe trial Of the hotel cases: the
b.,riu" To be conducted by. Judge
J Johnson J. Hayes IF the Miooe
! District of North Carolina. AMI 80
/ there We are-wherever we ma! pe'
The Associated Hotels is gong
! to make "A determined fight 10 o"s'
manager Johnson and INSTALL 'heii
:
own manager and organization
,,l,.r claim that they have their
orounization already to put Ill lii'
NOW hotel OH 81 hours notice. Ill
answer TO the contention "t 'he
hotel owners that the leSSeeS nau nav,
filed TO nut up Il bond of S'o.Wo
/ .,;,u,,ted i'm their lease. the leSSee>
o,,ntand that nothing in their con
troct required them to give ""i',
uptiI tbe hotel WAS in operation an"
they point to Il provision III -"
aontr,ct that the cost of the hoho
Sbould come out of she opera'ii7
oxnense of the hotel. The coh'rao'
u,s drawn by attorney d. u ID
,,hr;,,,b,,,s of this city ana Ihe
1o..aes insist that if they are WrohI
in their Interpretation of the coi
tr,ct that Mr.. EhringhalS shoui"
have been more explicit Ill '"e
wording of the lease.
In reply to the allegations oil 'ne
no,eI owners that the leSSeeS nav.
tried TO hinder the constructor y.
.La boteI the lesSee$ c)nte"i th''
their only interference has been III
tha nature of trying to pers"""e
the hotel company to build less
costly hotel.
nh, r,,,,,.aa- contend that 1t WAS
their understanding that the! me.e
- leose hotel to cost S2'o"o ~
s.c0 ooO and that their terms "el'
fio,red upon such hotel. But eo.,
80 to their representations 10
.ho Icssees and to the Stockhoiae'
~. vou the hotel company ha"
F,uiIf = hotel costing more thih Ho"'
ooO and that it will he imposs'"''
f,r the leSseeS to make any liioiis'
o;.,or for themselves or tor ihe
botel stockholders, on such n'"'
investment.
As matter of fact the hotel M IN
,.luding its site. the hotel annex III.
y,rase and hotel Furnishings an saanu
>" ,.ns, considerably more thanso"'
ooo TO date $4,000 or more mas
heen collected from subscribers 70
poto, % stock: a first mortgage OF
5000 600 has been placed OH Tue
mronartv and a second mortgage lor
S1oo oOO is being negotiated.
But Elizabeth City has il Dei'u'ilut 't
notaI and there appears to be Dut
few regrets as to the cost OF 1t: II
we can hut get ii open and going