Hotel owner seeks £150,000 in damages over failed IT system

19 May 2008
Hotel owner seeks £150,000 in damages over failed IT system

The owners of the Kingsway Hall hotel in central London have launched a legal battle for compensation in a row over an IT system.

The hotel company is suing RedSky IT (Hounslow) for damages of up to £150,000 over the hotel management system, which it brands deficient.

It claims the system, installed by RedSky, overcharged customers, showed rooms as booked when they were not, and often froze, needing to be unlocked.

Kingsway paid £50,000 for the system in its 170 bedroom property in Covent Garden but argued that it is unsatisfactory and not fit for purpose.

The hotel company says it made it clear to RedSky that unless defects were put right by 31 March last year, it would have no option but to reject the system and equipment.

RedSky failed to resolve the problems and defects by that date and the equipment was rejected.

The system was replaced with an alternative, the Protel System, and Safe software, at a cost of more than £30,000.

Kingsway said it had suffered substantial inconvenience and disruption to its business, as well as lost profits of more than £60,000.

Chef stole more than £10,000 of meat from employer >>

Manager and wife arrested over fatal Cornish hotel fire >>

Giorgio Armani at centre of hotel legal battle >>

Former general manager at Threadneedles stole £20,000 from the hotel >>

By Sarah Limbrick

The Caterer Breakfast Briefing Email

Start the working day with The Caterer’s free breakfast briefing email

Sign Up and manage your preferences below

Check mark icon
Thank you

You have successfully signed up for the Caterer Breakfast Briefing Email and will hear from us soon!

Jacobs Media Group is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

The highest official awards for UK businesses since being established by royal warrant in 1965. Read more.


Ad Blocker detected

We have noticed you are using an adblocker and – although we support freedom of choice – we would like to ask you to enable ads on our site. They are an important revenue source which supports free access of our website's content, especially during the COVID-19 crisis.

trade tracker pixel tracking