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301 East 66th Street, 10B
New York, New York 10065
Telephone:
Telecopier:
email:
October 14, 2010
VIA EMAIL
I
Jay Goldberg, Esq.
250 Park Avenue
Suite 2020
New York, New York 10177
Dear Jay,
I am responding to both of your email memos of today's date.
Mr. Molyneux assured Mr. Epstein first that Mr. Fancelli and his people were
going to arrive on the Island on September 23, 2010. Mr. Molyneux then asked that
Fancelli's arrival be delayed until October 6, 2010. Mr. Molyneux further assured
Mr. Epstein that Messrs. Molyneux and Fancelli had resolved all of Mr. Fancelli's
questions and issues relating to required completion work for library cabinetry.
Now, three weeks later, Mr. Fancelli and his people are still not on the Island and
have not yet even committed to come, let alone correct all of the woodwork issues.
In fact, by letter to both you and me of yesterday's date, Mr. Edelmen made it clear
that, as far as Mr. Fancelli is concerned, virtually none of Mr. Fancelli's questions and
issues have been resolved. Under the circumstances, your prediction that Mr.
Fancelli will go to the Island provides little comfort.
Moreover, your client has already refused to pay Mr. Epstein the $500,000 to
which you previously agreed, in addition to the agreement to properly fix, complete,
restain and refinish the library woodwork. So, your undertaking to use your "very
best efforts to see that Mr. Molyneux pays what can only be described as a
reasonable fee" to Mr. Fancelli is of no value in resolving this matter. Unfortunately,
we have been down this road before and it has lead us nowhere. Although Mr.
Molyneux has received millions of dollars from Mr. Epstein, the cabinetry remains
incomplete and unfinished. Mr. Fancelli claims that he is owed roughly $50,000 on
outstanding invoices ($18,618 in travel expenses and 22,500 Euros for "Executed
Work"), has already demanded additional payment to address many of the
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woodwork issues and the restaining and refinishing, and will do nothing further on
this project until all of these amounts are paid.
Pursuant to your memo to Mr. Edelmen and me of today's date, you have
confirmed Mr. Molyneux's agreement to pay the balance of $18,618, which Fancelli
claims to be outstanding for travel crew expenses. You have also confirmed Mr.
Molyneux's agreement to pay for the marquetry proposed by Fancelli for the
exterior facing sides of the window shutters in the library (estimated by Fancelli at
47,992 Euros), as well as the costs to stain the cabinetry. However, you have not
confirmed your client's agreement to pay 22,500 Euros, which Fancelli claims to be
outstanding for "Executed Work". Moreover, you have advised that Mr. Molyneux
will not pay for any of the "Punch List items" designated 1 through 9, claiming that
these are general punch list items which are usually completed by the craftsmen at
no cost
As to these items, Mr. Edelmen contends, for example, that:
• With respect to punch list item 2, there were no escutcheons provided for in
the design or the plans that Mr. Molyneux approved for the Cabinetry, which,
if true, is an obvious design omission by Mr. Molyneux.
• With respect to punch list item 5, the frames around the sliding panels "were
intended to allow daylight to show through," which, if true, is yet another
serious design flaw for window shutters which were supposed to have
completely prevented exterior light from the room.
• With respect to punch list item 9, "CAD Plans submitted to Mr. Molyneux did
not provide for symmetrical panels", which, if true, is completely contrary to
Mr. Epstein's design instructions that the cabinetry should be a reproduction
of the cabinetry in El Escorial and, frankly, makes no sense whatsoever.
In each of these cases, as well as others, Mr. Edelmen has specifically informed us
that his client expects to be paid for these punch list items, and by your memo today,
you have advised both Mr. Edelmen and me that Mr. Molyneux refuses to do so.
These are issues for which Mr. Epstein bears no responsibility and must be resolved
between Mr. Molyneux and Mr. Fancelli.
Moreover, both you and Mr. Edelmen specifically asked that we provide you
with a complete list of all that we believed would be required to complete the
library woodwork, which was to include items in addition to those listed on the
September 8 list. We delivered this list on October 4, 2010. Now, Mr. Edelmen has
refused to address any items on the October 4 list that were not on the September 8
list All of the items on the October 4 list, which you, yourself, acknowledged, in an
October 7, 2010 email memo to Mr. Edelmen, were deemed justified by Mr.
Molyneux, must be properly addressed to complete the woodwork.
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In light of your personal efforts to resolve this matter and as a good faith
gesture to you, I will obtain more photos in response to Mr. Edelmen's requests.
However, time is quickly running out and this matter must be resolved, either out of
court or in court. As you know, we have created a complete video record to
demonstrate all of the shoddy work on the library cabinetry should it be necessary
to proceed with litigation. The choice is Mr. Molyneux's.
Sincerely,
Darren K. Indyke
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