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Denizen Will Not Be Making Any Progress For a While

April 24, 2009 at 2:58 PM | by | Comment (1)

We reported earlier this week that Hilton had halted development of Denizen (per a Hilton press release), but now Starwood is speaking out (i.e. issuing their own press release) saying that a judge has actually entered a Preliminary Injunction with Hilton, Mr. Klein and Mr. Lalvani — the Starwood-turned-Hilton employees who allegedly stole the Starwood documents and trade secrets to develop Denizen — enjoining them from:

· Developing further the Denizen Hotels brand. This requires that all internal and external design, branding, development, promotion, programming, staffing and marketing of the Denizen Hotels brand cease.
· Engaging in any discussions or negotiations with prospective owners, developers and/or franchisees relating to the Denizen Hotels brand.
· Using, directly or indirectly, in any way the documents and electronic information obtained from Starwood (the "Starwood Information") or any information contained in or derived from the Starwood Information.

Ugh. Now, a question: if you were a prospective owner, developer, or franchisee, wouldn't you be inclined to, oh, we don't know...talk to the folks over at Edition about perhaps making a deal? We would.

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Hilton; wounded, dead or dying?

It is a shame however I think Conrad was probably rolling over in his grave a long time ago seeing that his Granddaughters are a wreck and the family name had been soiled years ago.

Think the situation of `Starwood vs. Hilton,' is the proverbial nail in the Hilton Coffin. They failed to truly build the Conrad Luxury Brand and then reached out to Ex-Starwood Heads to carry them into the 21st century of `boutiqueness.' They are profitable as a chain simply through franchising however will only remain a chain and not a boutique industry leader like the W's, Kimpton's and Morgan's of the world.

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