GHM wins Chedi dispute

SINGAPORE  GHM has obtained in its favour, a ruling by the ICC International Court of Arbitration following arbitration proceedings spanning a 20-month period over GHM’s management of The Chedi Chiang Mai.
On 4 November 2013, Pacific Hotel Chiangmai Co Ltd, the owners of The Chedi Chiang Mai, terminated GHM as manager and operator of The Chedi Chiang Mai.
Management of the property was transferred to the Minor Group, which then branded it Anantara Chiang Mai Resort and Spa.
At the time, GHM called the termination wrongful and lacking reasonable notice. The court of arbitration ruled in its favour, but it not clear whether its ruling will be recognised by the hotel owner, or what damages have been awarded by the court.
inside no 11Presenting its case to the ICC International Court of Arbitration, GHM claimed it had, in the course of managing The Chedi Chiang Mai from 2006 to 2013, more than adequately met and fulfilled the terms of its agreement with Pacific Hotel Chiangmai Co Ltd.
In addition, GHM noted it had won placement for the hotel on some of the world’s most prestigious awards lists, including the No 1 spot on Asia’s Best Resort list by Condé Nast Traveller in its Readers’ Choice Awards for 2013.
GHM reported, in its Wednesday press statement, that it was awarded substantial damages as the owning company’s allegations against GHM were without merit.
“With respect to The Chedi Chiang Mai, the favourable ruling by the tribunal clearly vindicates GHM and affirms our commitment to delivering excellent results with a team that demonstrates the highest level of integrity and management,” said GHM President Hans R. Jenni.
The Chiang Mai hotel will continue to be managed by Minor Group under the Anantara brand.
Owner of the Chiang Mai property, Pacific Hotel Chiangmai Co Ltd, is part of the Pacific Assets Public Company Limited. It has not responded, or issued a statement to the press regarding the court ruling.
The Thailand-based company Pacific Assets Pcl is engaged in the hotel business, property rental business, service business and private club business. It identifies its subsidiaries as Pacific Hotel Chiangmai Company Limited, Pantip Management Services Company Limited, Pacific Meridien Resorts Limited, Samui Holding Company Limited and Pacific Sathorn Company Limited.

sourced:traveldailynews.asia