When it's a contract with Donald Trump?
A suit filed against Donald Trump claims that he is tearing up contracts with early buyers who were needed to get his Chicago project off the ground now that the value of their purchases has increased significantly. From Crain's Chicago:
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.
The suit was filed by a one-time partner in the Trump project, former Chicago Sun-Times publisher and ex-president of Hollinger International, F. David Radler. Radler was in the news last year when he was convicted of scheming to steal millions from Hollinger along with media mogul Conrad Black. In a deal requiring his testimony against Black, Radler was sentenced to 29 months in prison.
Repsponding to the suit, Trump's representatives said
that the best time to kick the crap out of someone who has pissed you off is when they're down the suit has no merit.