Back when the collapse of the mortgage-backed securities market had yet to affect law firms, Cadwalader, Wickersham & Taft chairman Robert Link, Jr. bought a $6 million Hamptons summer house.
Unfortunately, the MBS market has collapsed, Cadwalader is getting hammered, and plumbing and construction problems have turned the Hamptons getaway into a money pit.
Hit hard by the collapse of the market for mortgage-backed securities, the firm Link led for more than a decade has so far laid off 131 lawyers. Profits per partner dropped for the first time in years, and a management shakeup in February had Link stepping down as its longtime chairman.
Oh, and he has mould in his basement.
Since October, Link, who remains managing partner, has been embroiled in litigation over a $6 million house he bought last summer in the Hamptons. Now, Link and his wife, Dorina, are suing the developers in New York state court in Suffolk County, claiming they bought a luxury pad plagued by plumbing and construction defects. The Links are seeking more than $60,000 in damages.
And just what do the Links mean by “plumbing and construction defects?”
The main deck lacked proper safety supports. The ground under the deck was graded toward the home instead of away, which they argued caused “a buildup of moisture and flooding, mould, and mildew problems in the basement.”
The master bedroom’s deck, the Links say, flooded even in moderate rain due to a bad drainage system. A lengthy list of plumbing problems also plagued the house. Then there was the swimming pool. It leaked, the Links argue, and its heating system was too close to the home. And the filtration system was faulty.
Business Insider Emails & Alerts
Site highlights each day to your inbox.