McCarter secured a victory at the Third Circuit on behalf of Compagnie des Grands Hôtels d’Afrique SA (CGHA) when the Court reversed and remanded rulings of the Delaware district court declining to enforce a $60 million arbitral award against either of Starwood Capital Group (SCG) or Starman Hotel Holdings LLC (Starman), the former parent entities of a failed Moroccan hotel management company against which the arbitral award was originally obtained (Woodman), under theories of agency and alter ego liability.
In its decision, the Third Circuit reversed and remanded the district court’s grant of summary judgment by holding that CGHA had plausibly alleged liability against Starman under the theory that Woodman “was merely an alter ego” of that company. The Court also reversed and remanded an order of the district court dismissing claims for agency liability at the pleadings stage against SCG and Starman, Woodman’s indirect and direct parent companies.
Compagnie des Grands Hôtels d’Afrique SA was represented by Sarah Delia, Travis Ferguson, Jaynee LaVecchia, Charles Ray, and Scott Weingart.