Sherry-Lehmann, the troubled wine store, is facing yet another setback as its own lawyers have decided to sever ties with the company. Nixon Peabody, the law firm representing Sherry-Lehmann in multiple non-payment cases, including a lawsuit seeking almost $1 million, has stated that they are owed over $30,000 and have been unable to reach the store’s owners to discuss legal matters. In a court filing, Daniel Hurteau, a partner at Nixon Peabody, expressed frustration over the long overdue legal fees and the store’s failure to follow through on their promises to pay. Hurteau also mentioned the firm’s difficulty in communicating with Sherry-Lehmann, which has been closed since March 10 due to the failure to renew its liquor license and a recent federal raid.
Nixon Peabody, which has represented Sherry-Lehmann for 15 years, is currently involved in a legal battle against three doctors who claim the store owes them nearly $1 million in wine futures. The store had agreed to deliver the doctors’ wines by September 28th, but the current request by Nixon Peabody to withdraw as legal counsel could potentially delay the case and jeopardize the agreed-upon deadline. Sheldon Gopstein, the lawyer representing the doctors, intends to oppose this request.
A hearing to decide whether Nixon Peabody can withdraw as Sherry-Lehmann’s legal counsel is scheduled for August 15th. The store owners, Shyda Gilmer and Kris Green, as well as Hurteau, did not respond to requests for comment. However, it’s not just the doctors and lawyers who have been affected by Sherry-Lehmann’s financial troubles. Last week, a judgment was made against the store for $251,904 in unpaid goods by Kal Wine Source of France. Furthermore, the FBI and other law enforcement agencies are currently investigating the store’s business dealings and allegations of customers purchasing wine that was never delivered. The store’s wine storage company, Wine Caves, is also reportedly being investigated for selling customers’ wines to other buyers.
In July, the FBI and US Postal Inspection Service raided Sherry-Lehmann’s closed store and its Wine Caves facility, both of which are owned by Glorious Sun, the store’s Manhattan landlord based in Hong Kong. Glorious Sun has chosen not to comment on Sherry-Lehmann and its tenancy in their buildings.
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