Saturday, October 29, 2016

Hundreds allege Donald Trump doesn’t pay his bills

At the end of the article at this link, there are several others about other aspects of Trump's unethical and/or incompetent doings.

http://www.usatoday.com/story/news/politics/elections/2016/06/09/donald-trump-unpaid-bills-republican-president-laswuits/85297274/

Steve Reilly , USA TODAY
Contributing: John Kelly, Nick Penzenstadler, Karen Yi, David McKay Wilson

Among those who say billionaire didn't pay: dishwashers, painters, waiters

During the Atlantic City casino boom in the 1980s, Philadelphia cabinet-builder Edward Friel Jr. landed a $400,000 contract to build the bases for slot machines, registration desks, bars and other cabinets at Harrah's at Trump Plaza.

The family cabinetry business, founded in the 1940s by Edward’s father, finished its work in 1984 and submitted its final bill to the general contractor for the Trump Organization, the resort’s builder.

Edward’s son, Paul, who was the firm’s accountant, still remembers the amount of that bill more than 30 years later: $83,600. The reason: the money never came. “That began the demise of the Edward J. Friel Company… which has been around since my grandfather,” he said.

Donald Trump often portrays himself as a savior of the working class who will "protect your job." But a USA TODAY NETWORK analysis found he has been involved in more than 3,500 lawsuits over the past three decades — and a large number of those involve ordinary Americans, like the Friels, who say Trump or his companies have refused to pay them.

•••••

At least 60 lawsuits, along with hundreds of liens, judgments, and other government filings reviewed by the USA TODAY NETWORK, document people who have accused Trump and his businesses of failing to pay them for their work. Among them: a dishwasher in Florida. A glass company in New Jersey. A carpet company. A plumber. Painters. Forty-eight waiters. Dozens of bartenders and other hourly workers at his resorts and clubs, coast to coast. Real estate brokers who sold his properties. And, ironically, several law firms that once represented him in these suits and others.

Trump’s companies have also been cited for 24 violations of the Fair Labor Standards Act since 2005 for failing to pay overtime or minimum wage, according to U.S. Department of Labor data. That includes 21 citations against the defunct Trump Plaza in Atlantic City and three against the also out-of-business Trump Mortgage LLC in New York. Both cases were resolved by the companies agreeing to pay back wages.

In addition to the lawsuits, the review found more than 200 mechanic’s liens — filed by contractors and employees against Trump, his companies or his properties claiming they were owed money for their work — since the 1980s. The liens range from a $75,000 claim by a Plainview, N.Y., air conditioning and heating company to a $1 million claim from the president of a New York City real estate banking firm. On just one project, Trump’s Taj Mahal casino in Atlantic City, records released by the New Jersey Casino Control Commission in 1990 show that at least 253 subcontractors weren’t paid in full or on time, including workers who installed walls, chandeliers and plumbing.

The actions in total paint a portrait of Trump’s sprawling organization frequently failing to pay small businesses and individuals, then sometimes tying them up in court and other negotiations for years. In some cases, the Trump teams financially overpower and outlast much smaller opponents, draining their resources. Some just give up the fight, or settle for less; some have ended up in bankruptcy or out of business altogether.

•••••

However, the consistent circumstances laid out in those lawsuits and other non-payment claims raise questions about Trump’s judgment as a businessman, and as a potential commander- in- chief. The number of companies and others alleging he hasn’t paid suggests that either his companies have a poor track record hiring workers and assessing contractors, or that Trump businesses renege on contracts, refuse to pay, or consistently attempt to change payment terms after work is complete as is alleged in dozens of court cases.

In the interview, Trump repeatedly said the cases were “a long time ago.” However, even as he campaigns for the presidency, new cases are continuing. Just last month, Trump Miami Resort Management LLC settled with 48 servers at his Miami golf resort over failing to pay overtime for a special event. The settlements averaged about $800 for each worker and as high as $3,000 for one, according to court records. Some workers put in 20-hour days over the 10-day Passover event at Trump National Doral Miami, the lawsuit contends. Trump’s team initially argued a contractor hired the workers, and he wasn’t responsible, and counter-sued the contractor demanding payment.

“Trump could have settled it right off the bat, but they wanted to fight it out, that’s their M.O.” said Rod Hannah, of Plantation, Fla., the lawyer who represented the workers, who he said are forbidden from talking about the case in public. “They’re known for their aggressiveness, and if you have the money, why not?”

Similar cases have cropped up with Trump’s facilities in California and New York, where hourly workers, bartenders and wait staff have sued with a range of allegations from not letting workers take breaks to not passing along tips to servers. Trump's company settled the California case, and the New York case is pending.

•••••

[Read the article at the link above for many other examples, including recent ones.]

•••••

Despite the Trumps’ assertion that his their companies only refuse payment to contractors “when somebody does a bad job,” he has sometimes offered to hire those same contractors again. It’s a puzzling turn of events, since most people who have a poor experience with a contractor, and who refuse to pay and even fight the contractor in court, aren’t likely to offer to rehire them.

Nevertheless, such was the case for the Friels. After submitting the final bill for the Plaza casino cabinet-building in 1984, Paul Friel said he got a call asking that his father, Edward, come to the Trump family’s offices at the casino for a meeting. There Edward, and some other contractors, were called in one by one to meet with Donald Trump and his brother, Robert Trump.

“He sat in a room with nine guys,” Paul Friel said. “We found out some of them were carpet guys. Some of them were glass guys. Plumbers. You name it.”

In the meeting, Donald Trump told his father that the company’s work was inferior, Friel said, even though the general contractor on the casino had approved it. The bottom line, Trump told Edward Friel, was the company wouldn't get the final payment. Then, Friel said Trump added something that struck the family as bizarre. Trump told his dad that he could work on other Trump projects in the future.

“Wait a minute,” Paul Friel said, recalling his family's reaction to his dad’s account of the meeting. “Why would the Trump family want a company who they say their work is inferior to work for them in the future?”

•••••

The analysis of Trump lawsuits also found that professionals, such as real estate agents and lawyers, say he's refused to pay them sizable sums of money. Those cases show that even some loyal employees, those selling his properties and fighting for him in court, are only with him until they’re not.

•••••

Even Trump’s own attorneys, on several occasions, sued him over claims of unpaid bills.

•••••

No comments:

Post a Comment