RULING SETS GROUNDBREAKING LEGAL PRECEDENT IN NEW YORK REAL ESTATE DEVELOPER MICHAEL BOLLA’S BLOGGER ANONYMITY CASE

Robin Dolch
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Monday, August 30, 2010 -
New York, NY – August 30, 2010 – The outcome in real estate developer Michael Bolla’s case against a hosting company earlier this month has set a monumental legal precedent with the court’s recent ruling in Bolla’s favor. In March of 2010, the author wrote an article on his blog, ArchiTakes, that falsely accused Bolla of infringing landmark laws and decimating historical framework in order to turn a profit at his 10,000-square-foot Federalist townhouse, located at 436 West 20th Street between 9th and 10th Avenues.
“The claims the ArchiTakes blogger makes on his site are one hundred percent inaccurate,” says Bolla. The blogger posted a series of disparaging articles ranging from accusing Bolla of illegally raising the height of the roof of his property to installing unlawful windows. “Bolla appears to be setting the stage for a raised roof, and maximum exploitation of a penthouse he clearly views as a cash cow,” the blogger wrote.
Consequently, for nearly 6 months, Bolla has been fielding concerned calls from Community Board 4 and was even audited by the Department of Buildings – the toll of which netted him the loss of hundreds of thousands of dollars of rental income and professional fees. Bolla’s work was performed entirely with the cooperation of the Landmarks Preservation Commission and has since passed all inquiries by the DOB.
Having the New York Supreme Court judge sign Bolla’s order to show cause and related court order meant the blogger’s host website, Hostmonster Inc., was forced to reveal his identity and turn over its file of data and correspondences, allowing Bolla to prosecute a defamation suit. “Bolla is prepared to vigorously preserve and protect his stellar reputation” by filing suit against the blogger, notes Bolla’s attorney, Jason Gabbard of New York-based Gabbard & Kamal LLP.
“I’m happy that this process is coming to a close,” continues Bolla. “It’s been an ordeal, but hopefully the court ruling will help prevent other developers from suffering at the hands of anonymous bloggers.” Gabbard notes “This case is an important one because it requires the court to juxtapose a still-developing, but very powerful, form of creating and disseminating content – the Internet - with the existing, well-developed rubric of First Amendment law.” Gabbard continues, “I truly believe we’re helping set the stage for a US Supreme Court case.”
Bolla spared no expense in restoring the 175-year-old, single family home, bringing it back to its early 19th century glory. Prior to restoring, the building had fallen into terrible disrepair and suffered from structural problems which were well beyond what was expected. Over 75% of the joists were rotted from dampness and leaks over the years and needed replacement. The building was given new joist and steel supports, new footings, a waterproof cellar with French drains, and a concrete foundation with steel to stabilize the building.
“We used our resources as effectively as possible to keep the original character of the building and preserve every possible architectural element we could,” says Bolla, who along with partner Michael Daniel, specializes in historic preservation and look upon this as much as a hobby as a professional pursuit. Seven months alone were spent on restoring the plaster moldings on the parlor level. Now, the home -- converted into 5 individual luxury rentals -- features original pilasters and ceiling medallions, 13 working wood-burning fireplaces, restored grand mahogany doors and original chandeliers.
Despite legal setbacks, Bolla’s Chelsea Mansion is now nearly 75% occupied with only two rental residences available for occupancy. For additional information, please contact Michael Bolla of Luxury Lofts & Homes, 212-334-4855 or michael@michaelbolla.com.
About Luxury Lofts and Homes:
Michael Bolla maintains a boutique brokerage firm in New York City which is one of the last of a nearly extinct breed of boutique firms in Manhattan. Bolla and his team are the brokers of choice to accomplished entertainment professionals, their attorneys, and their managers. Their most recent focus has grown to include the marketing and sale of developments such as Bolla’s current project, the historic mansion at 436 W. 20th Street in New York's Chelsea. Previous marketing projects include the 40,000-square-foot historic Forward Building in New York’s Lower East Side, 16 East 94th Street, 52 East 4th Street and various buildings in SoHo. For more information, please visit http://www.michaelbolla.com.
Additionally, Bolla works with his partner Michael Daniel in the management and development of their properties in New York.
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