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Judge Slams Gavel: Giuliani Ordered to Pay $148 Million Now!

A ruling from an arbitrator in Manhattan has determined that Rudy Giuliani must pay a $148 million judgment immediately. Arbitrator Barbara Jones determined that Giuliani Enterprises, the consulting firm owned by former Trump administration lawyer Rudy Giuliani, must pay the judgment after failing to honor tenants’ unavoidable rent payments. The damages arose after Giuliani failed to pay rent during the COVID-19 pandemic for constituents housed in his offices in Manhattan. Giuliani was ordered to pay the damages even though he claimed that he was unaware of the pandemic-related restrictions and that the tenants were unable to pay rent due to the restrictions. Giuliani also argued that the tenants had no right to the rent payments as the contract explicitly stated “inability to pay is not an excuse.” The arbitration was established in June 2020 to decide whether the tenants were eligible for a rent-freeing for the duration of the pandemic. However, Barbara Jones, an attorney with Skadden, Arps, Slate, Meagher & Flom LLP, ruled in October 2020 that Giuliani must pay the judgment. She said that Giuliani had no legal cause to deny the tenants rent payments and that the tenants had the right to the payments. She stated that Giuliani was negligent in his duties as a landlord and that he breached his duties to the tenants. In a scathing rebuke of the former mayor, Jones stated: “This opinion finds that Mr. Giuliani breached his duty of good faith and fair dealing to the tenants by unreasonably and without legal justification, refusing to accept payment of rent that was owing after the tenants were unable to make such payment due to pandemic-related restrictions.” The arbitrator also ruled that Giuliani must pay the tenants 148 million dollars in damages plus all legal and administrative fees. It is believed that this judgment is the largest award ever granted to one party in an arbitration. This ruling marks a dark day for Giuliani and his firm, Giuliani Enterprises. It also serves as a warning for landlords who act negligently and breach their obligations to tenants during times of crisis.