Surging InterContinental Hotels Group in China has suffered a big loss for the first time; on March 22, the China International Economic and Trade Arbitration Commission Shanghai Branch made a final outcome of the InterContinental Shanghai Puxi arbitration.
It states that: Intercontinental Group is to determine the compensation for the owner before InterContinental Shanghai Puxi developers Shanghai Yaoda Real Estate Development Co., the company 150 million yuan.
According to Reuters, such compensation, including payment of InterContinental Shanghai Puxi loss of assets of 5 million yuan, the hotel construction cost of a loss of 83 million yuan and 60 million yuan vacancy of damages and attorneys' fees and costs of the arbitration, a total of over 150 million yuan .
Arbitral awards are generally final appeal system in the first instance, this regulation, the Intercontinental or must be based on the outcome of the arbitration to make reparation.
However, the the Intercontinental Group does not recognize the result of the arbitration, which means that it will take all possible legal measures to dismiss the verdict. Full Story