Real-estate services company Realogy, owners of Cartus, launched a lawsuit on Monday, 27 April, seeking to enforce the 400 million US$ sale of its corporate relocation business to SIRVA, owned by Madison Dearborn Partners. The claim by Realogy is that the buyer's arguments, related to uncertain economic effects due to the COVID-19 pandemic, are not tenable.
“Realogy strongly believes that all conditions to closing of the transaction have been and continue to be satisfied and that MDP and SIRVA have made false claims in an attempt to avoid their obligations under the purchase agreement in light of broad-based economic uncertainties due to the global COVID-19 pandemic,” the company said in a statement Monday.
These new developments - together with the broader effects of the COVID-19 crisis - are sure to have far-reaching consequences on the broader relocation industry. If you want to be part of the conversation and would like to share your comments and thoughts, please reach out to us at email@example.com.