Court rules that Kushner firm must disclose partners' names
Corporate Law
A federal judge ruled Friday that the family company once run by Jared Kushner isn't allowed to keep secret the identity of its business partners in several Maryland properties.
A U.S. district judge in the state rejected the argument that the privacy rights of the Kushner Cos. partners outweigh the public interest in obtaining judicial records in a lawsuit before the court. The decision means the company tied to President Donald Trump's son-in-law might be forced to provide a rare glimpse into how it finances its real estate ventures.
The ruling backed the argument by The Associated Press and other news organizations that the media has a "presumptive right" to see such court documents and the Kushner Cos. had not raised a "compelling government interest" needed by law to block access.
U.S. District Court Judge James K. Bredar ruled that Westminster Management, a Kushner Cos. subsidiary, must file an unsealed document with the identity of its partners by Feb. 9.
The ruling stems from a lawsuit filed by tenants last year alleging Westminster charges excessive and illegal rent for apartments in the state. The lawsuit seeks class-action status for tenants in 17 apartment complexes owned by the company.
Westminster has said it has broken no laws and denies the charges.
In addition to its privacy argument, the Kushner subsidiary had said media reports of the Maryland dispute were "politically motivated" and marked by "unfair sensationalism." Disclosure of its partners' names would trigger even more coverage and hurt its chances of getting an impartial decision in the case, it had said.
In Friday's ruling, the judge said these are not "frivolous concerns," but the public's right to know is more important.
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