(File photo)

(File photo)

Hudson’s Bay sues Penticton mall over alleged lack of action amid pandemic

The Bay claims Cherry Lane Mall is to blame for lost revenue, making them unable to pay rent

Hudson’s Bay Company has filed a lawsuit against Cherry Lane Mall, home to its Penticton location.

In the lawsuit, filed Nov. 13, Hudson’s Bay claims Cherry Lane is to blame for their loss of revenue during the coronavirus pandemic that rendered them unable to pay rent to the mall.

The same day, Cherry Lane Mall filed a lawsuit against Hudson’s Bay for not paying their rent since April. The lawsuit alleges Hudson’s Bay owes $546,255 in unpaid rent. Monthly rent for Hudson Bay’s space at the mall is $78,036. Cherry Lane has also served Hudson’s Bay with an eviction notice.

READ MORE: Cherry Lane Shopping Centre tries to evict The Bay, files lawsuit

The iconic Canadian retail outlet has since refused to vacate the mall, filing a lawsuit of their own against Cherry Lane.

The lawsuit alleges that the mall refused to provide a safe environment during the pandemic.

According to the suit, Cherry Lane failed to upgrade the HVAC systems and improve overall airflow and quality, which would have better protected the public and employees from COVID-19 transmissions.

Cherry Lane allegedly refused to install touchless doors, upgrade the washrooms, improve pedestrian controls and up the amount of mall staff on duty to enforce shoppers’ compliance with COVID-19 protocols.

Hudson’s Bay also claims the mall did not take the necessary steps to ensure the public that the mall was safe and encourage them to return to the shopping centre, resulting in a drop in customers and revenue.

“The landlords have continued with its traditional marketing efforts as if nothing happened. This lack of marketing has contributed to the sustained lack of footfall since the reopening of the malls,” reads the lawsuit.

Further, the lawsuit argues Cherry Lane has taken no steps to provide “suitable premises” to shoppers, citing a lack of amenities resulting in Cherry Lane no longer providing an experience “typical of a first-class shopping centre.”

Hudson’s Bay attributes Cherry Lane’s actions, or lack thereof, to a drastic drop in revenue. The Penticton location’s 2020 sales dropped an average of 47.1 per cent month-to-month from March to October compared to the same months in 2019, according to the lawsuit.

In its own lawsuit, Cherry Lane claims that they have taken many initiatives to attract customers during the pandemic, stating that they have “undertaken significant marketing initiatives during the last several months directed at increasing footfall at the shopping centre.”

Hudson’s Bay is hoping the lawsuit will restrict Cherry Lane from terminating the lease, allowing the retail outlet to keep its location in the mall.

They are also hoping for a declaration from Cherry Lane that the mall has failed to meet the agreements of the lease. Hudson’s Bay is seeking to not be required to pay rent until the lease agreements have been met.

The claims made by both the Hudson’s Bay Company and Cherry Lane Shopping Centre have not been proven in court.



jesse.day@pentictonwesternnews.com

Like us on Facebook and follow us on Twitter

Coronavirus

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Two Canadian petitions are asking to have elected officials removed from office. (Pixabay.com)
COLUMN: Petitions show loss of faith in democratic process

Online petitions from third-party sources have taken aim at elected officials in Canada

Summerland’s cenotaph was originally installed in front of the high school. The old school was located close to the corner of Rosedale Avenue and Jubilee Road. (Photo courtesy of the Summerland Museum)
Cenotaph and parks in Summerland honour fallen soldiers

Community memorials pay tribute to those who were killed in military service

COVID-19. (Image courtesy CDC)
81 new cases of COVID-19 detected in Interior Health Friday

One additional staff member at Kelowna long-term care home tests positive, no new deaths

(File)
One death and 82 new cases of COVID-19 in Interior Health

1,981 total cases, 609 are active and those individuals are on isolation

Paramedic Jason Manuel, dressed in PPE, inspects an ambulance at Station 341 on Nov. 30. (Phil McLachlan - Black Press Media)
Second wave, twice the anxiety; Okanagan paramedics reflect on pandemic from the front line

‘I don’t know who that (next) person is going to be, I don’t want it to be me or my family’: Paramedic

A snow moon rises over Mt. Cheam in Chilliwack on Feb. 8, 2020. Friday, Dec. 11, 2020 is Mountain Day. (Jenna Hauck/ Chilliwack Progress file)
Unofficial holidays: Here’s what people are celebrating for the week of Dec. 6 to 12

Mountain Day, Dewey Decimal System Day and Lard Day are all coming up this week

A laboratory technician holds a dose of a COVID-19 novel coronavirus vaccine candidate that's ready for trial on monkeys at the National Primate Research Center of Thailand. (Mladen Antonov | AFP)
WEB POLL: Will you take a vaccine for COVID-19?

Doses are expected to arrive in the new year

Travis Hirlaka, Vernon
PHOTOS: Sunrise paints Okanagan skies

Residents in the Okanagan captured stunning shots of a colourful start to Saturday

Robert Riley Saunders. (File)
First Nations Leadership Council demands justice for victims of B.C. social worker

Union of BC Indian Chiefs calls actions of Robert Saunders ‘nothing short of complete depravity’

(City of West Kelowna)
Large housing development in Central Okanagan back on the table

Council considering rezoning to accommodate 184 housing units, project hopes for ~933 by completion

Staff and students at Vernon’s Fulton Secondary School were evacuated due to an electrical short that sent one person to hospital Friday, Dec. 4, 2020. (Kerry Hutter photo)
Vernon high school evacuated, one person injured by electrical short

Incident at Clarence Fulton Secondary forced brief evacuation Friday afternoon

Chinook salmon spawning in the Fraser River near Tete Jeune Cache. ((Shane Kalyn photo, property of the Upper Fraser Fisheries Conservation Alliance)
North-Okanagan Shuswap MP petitions government to reform salmon management

Mel Arnold tables petition to allow more angler access to non-threatened Fraser River chinook salmon

Shuswap Cider Company has applied for a licence that would accommodate a cider manufacturing facility, a tasting room and patio/lounge area at Westgate Market in Salmon Arm. (File photo)
Cider manufacturing facilty, tasting room and patio proposed for Salmon Arm

Council asked to raise a virtual glass to a licence for a cidery and amenities in Westgate Mall

It was an opening day filled with blue skies, sun and COVID-19 protocols at Vernon’s SilverStar Mountain Resort Friday, Dec. 4, 2020. (Brendan Shykora - Morning Star)
VIDEO: Passholders enjoy sunny opening day at Silver Star Mountain

Resort staff say parking reservations, COVID-19 protocols went smoothly Friday, Dec. 4

Most Read