According to a suit Philips filed against Morgans in January 2006, Morgans diverted high-profile guests from the Shore Club to the Delano, allowed Delano employees to stay atthe Shore Club for free and neglected to collect rents from the hotel's retail tenants.
The New York lounge operates five days a week year-round, but Smith upped the ante last year by hosting a huge club room atthe Gansevoort Park Avenue South Hotel for the duration of fashion week.