Parkdale Mall sues bankrupt furniture store over unpaid rent
11/14/2011 2:22 PM By Kelly Holleran
A mall has filed suit against the owner of a furniture store it claims failed to abide by its lease agreement and to repay a promissory note.
Parkdale Mall filed a lawsuit Nov. 2 in Jefferson County District Court against Hadley L. Cohen.
In its complaint, Parkdale alleges Hadley's Furniture agreed to rent space from Parkdale Mall beginning on June 25, 2007. It also executed a promissory note for $317,294 on Nov. 8, 2007, and incorporated it as part of the lease, the suit states.
Cohen guaranteed repayment of the note and lease, the complaint says.
Since then, Hadley's Furniture has declared bankruptcy and has failed to make its monthly payments to the mall in August and September, Parkdale Mall alleges.
"Because Defendant personally guaranteed Hadley's Furniture's performance under the Lease, agreed to indemnify and hold Plaintiff harmless and personally executed the Note in his individual capacity, on or about September 15, 2011, Plaintiff sent a demand letter to Defendant for the full amount of Hadley's Furniture's default under the Lease and Note," the suit states. "However, as of the date of the petition, Defendant has failed to abide by the terms of the Guaranty and Note."
Cohen owes Parkdale Mall $45,354.62, according to the complaint.
In addition to the money it says it Cohen owes it, Parkdale Mall seeks attorney's fees, costs, pre- and post-judgment interest and other relief the court deems just.
Karen R. Bennett and Christopher D. Leavins of Germer Gertz in Beaumont will be representing it.
Judge Milton Shuffield, 136th District Court, has been assigned to the case.
Case No. D191-291