It is unfortunate to see how fast things can spiral out of control. Marlborough, one of New York’s top galleries, decided to close its doors in June (Marlborough Gallery, Veteran New York Enterprise, to Close Amid Expansion Effort) after a disagreement between the family who runs the gallery and its board of directors.
This week it was reported that not only is the gallery not closing, but the two sides are now going to battle it out in court … dueling lawsuits have been filed. Max Levai is suing for $10M, claiming the board forced him out, and their actions have caused serious harm to his reputation. On the other side, Marlborough is suing Max and Pierre Levai, Pascal Spengeman, and John Helmrich for $8M. They are claiming that “[t]he Levai Defendants were engaged in a pattern of self-interested and self-enriching transactions and an insistence on thwarting and undermining the responsible management of Marlborough, all for the benefit of Max Levai and Pierre Levai and to the detriment of Marlborough.”
It looks like the winners in this one will be the lawyers! More on this as the cases develop.