By Dr. John Hogan, CHA CHMS CHE CHO

The two questions posed in this article were prompted by last week’s news in the American media. They both deal with purchases that were substantially lower than the sale of the same assets over the last decade. I’m referring to the $70 million sale of the Boston Globe to John Henry, the somewhat laid-back owner of the Boston Red Sox, and the $250 million sale of the Washington Post to the founder of Amazon.com, Jeff Bezos.

While nothing in his background suggests what kind of newspaper owner he will be, Henry has earned a reputation as a pioneering investor and businessman who has followed his own instincts in running an array of successful enterprises. After deciding to close his shrinking commodities company in 2012, Henry focused his attention on a number of other endeavors:  the sports group that owns the Red Sox, a majority stake in the popular regional sports channel New England Sports Network, a successful NASCAR racing team, and a sports-marketing arm. In 2010, Henry made another big leap when his Fenway Sports Group paid $477 million for one of the most well-known brands in soccer: England’s Liverpool FC.

“The Boston Globe’s award-winning journalism as well as its rich history and tradition of excellence have established it as one of the most well-respected media companies in the country,” Henry said in a public statement. He also noted the “essential role that [the Globe’s] journalists and employees play in Boston, throughout New England, and beyond.”

Bezos, a much more visible public figure, shared similar intentions in an August 4 letter to the staff of the Washington Post:  “[T]he values of the Post do not need changing….The paper’s duty will remain to its readers and not the private interests of the owners.”

These questions came to mind because I have begun to wonder who is taking a serious look at hotels and hospitality these days. While there seems to be a continuing announcements of new brands, the lasting power of many of them remains a hopeful desire in the imagination of the founders. I am not being negative, yet one wonders what real changes are being developed that will lead to hotel companies offering more than an another additional commodity.

Elsworth Statler, Ralph Hitz, Conrad Hilton, Howard Johnson, Kemmons Wilson, Robert Wooley, and Henry Silverman each created organizations that were remarkably different than the competition over a century that spanned from 1898 to 1998. They were pacemakers who were not afraid of being labeled “contrarians.”  While each had challenges and problems, they overcame them with tenacity and conviction.

Our group at HospitalityEducators.com has the distinction of working with a number of hotel owners and senior managers in a variety of programs, and it is exciting to see their enthusiasm as they search for their dreams.  Henry and Bezos are both high-tech successes embracing a medium from the past that favors a high touch. I, for one, wish them both well, and I also hope there are some innovators in our industry that are open to creative bursts of energy that can enliven our offerings. Success seems to be connected with action.

“Successful people keep moving. They make mistakes, but they don’t quit.”  Conrad Hilton

Tony passed away in late 2006 and I felt honored to have been one of three people who spoke at the memorial service 7 years ago this month held on campus at the University of Central Florida where Tony concluded his career.  As the industry representative who commented on his contributions to hotel owners, managers and the industry as a whole, I was able to share some of the lessons Tony brought to us about “reasonable care” and his message on better understanding common law negligence.   Through his wit and on stage banter, Tony effectively communicated that hoteliers should not fear the law, but do whatever they could to understand and embrace the law.

My career path has included success as an operating hotelier and corporate executive and I now share best practices and proven methods for hotel owners and senior managers in workshops and consulting.  I am not an attorney and do not offer legal advice, but I also have the opportunity now to complete research and offer professional services as an expert witness in hotel and hospitality cases.

In both the teaching environment and in working with counsel on hotel cases, I find the wisdom of Tony Marshall remains on target.  He taught us that hospitality law continues to evolve and in the absence of a specific statute, that common law and common sense can prevail when hotel owners and managers strive to do the right thing.

Hospitality Conversations  interact with professionals in a wide range of the industry and this particular conversation is with two individuals who are familiar with both hospitality law and Marshall’s legacy.

These two individuals have exceptional credentials and regularly present a summary of the top 100+ legal cases that impact the hospitality industry the preceding year at the annual HospitalityLawyer.com Law Conference held in Houston, Texas (This year’s dates are 2/10-12). Their credentials also include being recognized for their contributions to the industry with the  2013 Anthony G. Marshall Award, which is given in recognition of pioneering and lasting contributions to the field of hospitality law.

Diana S. Barber, J.D., CHE, is a full-time Lecturer at the School of Hospitality Administration at Georgia State University, Atlanta, Georgia; where she has taught since the summer of 2003. She teaches hospitality law, introductory hospitality and also serves as the Program Director of the School of Hospitality’s Study Abroad program  with a European Hospitality Experience to Spain, France, Monaco, Italy and Switzerland.

Additional recognitions and service

• 2011 Teaching Excellence Award from the J. Mack Robinson College of Business
• Georgia State University’s Study Abroad Program Director of the year for 2011
• Recipient of the 2010 Hospitality Faculty of the Year award
• Since 2007, on the editorial board of Hospitality Law monthly newsletter
• Service as a litigation industry expert
• Authors  a monthly column for the Georgia Hotel & Lodging Association newsletter.
• Recently inducted into Phi Beta Delta Honor Society for International Scholars.
• “Of Counsel” with Berman Fink Van Horn, PC, a law firm in Atlanta, Georgia, which is also the general counsel to the GHLA.

She began her law practice as an associate attorney at King  & Spalding in Atlanta, Georgia after graduating cum laude from Walter F. George School of Law at Mercer University. She then spent over fourteen years as associate general counsel for The Ritz-Carlton Hotel Company, LLC. She is a member of the State Bar of Georgia, G.A.H.A., and the Georgia Hotel & Lodging Association.

Karen Morris, JD LL.M. is a Judge, Lawyer, Professor and Author. http://judgekaren.com/   She teaches a range of law courses (penal, constitutional, business, environmental and hospitality)  both online and traditional classroom and her background with those four roles gives her a wide range of accomplishments:

• Columnist at Hotel and Motel Management Magazine, “Legally Speaking” since 2007 (which followed the 20+ year “At Your Risk” series from the late Dr. Tony Marshall)
• Blogger for Cengage Publishing Company
• Author of the textbook, Hotel, Restaurant and Travel Law
• Professor with Monroe Community College since 1980 and was the 1^st community college professor in the state university system to receive designation of Distinguished Professor (2006)
• Published in 2011 Law Made Fun through Harry Potter’s Adventures
• UNY Chancellor’s Award for Excellence in Teaching, 2002
• MCC Excellence in Teaching Award, 1994
• Past President – Faculty Senate;  Past President – Northeast Academy of Legal Studies in Business
• Former Member – Governing Council Faculty Association
• Faculty Advisor to Hillel; Past Faculty Advisor to Phi Theta Kappa, MCC’s Honor Society
• Former Faculty Advisor to College Democrats Club
• Guest Speaker to many industry groups
• Former Assistant District Attorney;  Former In-House Counsel for Macy’s Department Store

She has also been elected by town residents six times, serving since 1994 as Brighton Town Justice, is the author of numerous precedent-setting decisions, the Administrative Judge for Brighton Town Court and has Adjudicated 75,000 cases

I asked both Diana and Karen two questions I hear regularly in our training programs:

1. What would you say have been the biggest changes in hospitality law affecting hotel owners in the past 5 years?
2. What would you opine are the two biggest issues hotel managers face in the coming year?

Their responses were focused and to the point.

Karen Morris

• Employment issues remain hot, and as such are a mine field for restaurateurs and hoteliers.
• Retaliation, discrimination, sexual harassment, overtime pay, failure to check applicants’ credentials and references, and arbitration clauses remain the subject of many a lawsuit.  ( Hotel owners and managers should)   Think prompt and conduct a thorough investigation, followed by appropriate discipline and employee training. This can significantly reduce liability.
• Another topic that doesn’t quit is franchising.  The contract between the franchisor and franchisee is critical.  A franchisee should study it and consult at length with his/her lawyer and accountant to fully understand the undertaking.
• Not infrequently, insurance issues surface in lawsuits.  As with franchising, the language of the contract is determinative. Hospitality managers are well-advised to employ their lawyer to review contracts of all stripes before signing.  This can save many legal problems down the road.
• Finally, premises liability (negligence) remains a significant cause of lawsuits.  Managers cannot for a moment let up their guard when looking for dangerous conditions in and around their facilities.

Diana Barber

As for the responses to your questions, I think Karen nailed it.

• We continue to see employment cases take front and center.  I put great weight on this as we only review cases that have gone through the judicial system so we are seeing only the tip of the iceberg.  There must be many, many more that get settled or fizzle out long before a court hears the case.
• Employers must be mindful that they must ALWAYS conduct themselves with fairness and be professional.
• They must respect all employees and not play favorites.
• The workplace is not the place to allow one’s true self to emerge, even in a free country.  Too much is at stake and businesses and reputations are always at risk.  One’s guard should never go down.
• As with all other cases (premises liability comes to mind), employers must take a proactive stance and steer clear away from potential liabilities.  Preventative mindset is key.  Not to live in fear about doing the wrong thing; everyone makes mistakes.  But the hope is to minimize these mistakes and learn from them.
• Constant employee training is crucial and should not be cast aside when budgetary times are challenging.

I also asked Karen a 3^rd question, as she represented academia in offering comments at the January 2007 memorial service with her insights on the legacy of Tony Marshall.  Karen knew Tony professionally and personally, as co-author with the late Norman Cournoyer (of the University of Massachusetts) and Tony of a well regarded text on hospitality law

The 3^rd questions was: What Tony Marshall memory might you be willing to share?

Karen Morris

Here’s one of my favorite Tony stories.  One of Tony’s many hats was Dean of a Hospitality program at a Florida University. One year at a conference of Hospitality Professors, he addressed the attendees on the topic of “Don’t Mow Your Lawn on Friday Afternoon.”  When this title was detected in the program by conferees, everyone scratched their heads.  Turns out he was in fact urging professors to refrain from tending to the grass during the weekend lead-in.

The reason: Many people don’t think professors work very hard, and that impression is reinforced if professors are seen as having the leisure time to mow their lawns during, what for most people, are normal business hours.  I was very impressed with Tony’s attention to detail!

That focus on even the small aspects of an organization is needed to run a lawsuit-free enterprise, whether an educational institution, a hotel or restaurant, or any other type of business. Even though the number of people who specifically remember him diminishes with time,  Anthony Marshall left a legacy that continues to positively impact us.

I recall one of his favorite sayings was “You’re a good man (woman), and he’d use your name!”

Thank you for your lessons and wisdom, Tony,  and you were a very good man!

Office

1. Eliminate unnecessary printing. Often we print a document that has unwanted advertising or a single line on the last page (think about what happens when you print up directions from MapQuest for a guest). This can be addressed by using software that can predetermine this waste of paper and ink. Always click on “print preview” before clicking the “print” button to ascertain how many pages will print and if they are all necessary. True savings start by becoming more cognizant of the actual cost and impact that extra paper and toner has on your bottom line. Make it a habit to start looking a bit closer at your print jobs.

2. Buy environmentally friendly paper. Yes, we still need paper, so look for environmentally friendly but cost effective options. Printer and copier paper made from recycled paper from 100% post-consumer fiber is the best option. This is paper that has been manufactured from recycled paper and wood products. No new trees have been consumed in this process and hence the paper is often less expensive. Another key advantage of using recycled paper is that it can be made easily with less toxic processes, and thus results in less pollution. Many times lesser known brands of paper may afford the best low-cost option.

3. Copier and printer settings. Verify that copiers and printers automatically default back to single copies after someone has printed multiple or duplex jobs. Whenever possible consider printing double-sided to minimize paper usage. Never print in color unless color ink is needed. Page for page, color ink and toner cartridges will run out four times faster than black cartridges because there are four colors in a color cartridge. They are also more expensive than black ink cartridges.

4. Buy re-manufactured ink and toner cartridges. Not only do these refilled and/or re-manufactured cartridges cost 15-25% less than new ones, but each reused cartridge saves a couple of pounds of metal and plastic being deposited into a landfill. It also takes almost half a gallon of oil to manufacture each toner cartridge. Most office supply stores gladly accept used toner and ink cartridges for recycling. Additionally, many manufacturers of these items have recycling programs in place or offer postage paid shipping labels to ship your used cartridge back in the box the new cartridge arrived in. Remember, recycling keeps the costs of these items lower for everyone, while minimizing unnecessary deposits in crowded landfills.

5. Re-examine office equipment at replacement time. All office equipment produces toxic substances in the manufacturing as well as the disposal stages; so the fewer office machines used by your office means the smaller your carbon footprint can be. There are many ranges of multi-tasking machines available now that copy, scan, fax and print. Acquiring a multi-task machine instead of four different machines that can perform separate tasks can decrease your acquisition and maintenance costs.

6. Power down. A substantial amount of office electrical power is used by machines that are off, but still plugged into a live outlet. Think about your iPhone or Droid – note the reminder to unplug the charger? Standby or phantom power is a huge and generally an unnecessary expense. At the end of the day, turn off all computers and other office equipment that will not be utilized until tomorrow. And don’t forget to unplug your cell phone or laptop power cords from the outlet after your battery is fully charged.

7. Do away with screen savers. The photos and graphics may be lovely to look at, but in addition to being at times distracting, they can consume a lot of energy. Set monitors to hibernate after shorter periods of inactivity. Likewise, set monitors to power off after a lengthy period of non-use. Save money and distractions, but do not forget to enable the “auto save” feature on your computer’s hard drive so you do not lose any work in progress.

General

8. Use more natural light. Artificial lighting represents 40% of electricity consumption in typical offices, so opening blinds and enjoying daylight wherever possible makes sense. Hotels in Asia and Africa (where electricity is very expensive) are often built with large windows in the lobby and guestrooms to take advantage of the free daylight. New WalMart stores are being built with hundreds of skylights designed to replace many electrical fixtures during the daytime.

9. Install motion sensors. Many hotels have realized cost-savings by installing motion sensors in remote housekeeping and engineering closets and even on vending machines. Now many are beginning to place them in guestrooms and public restrooms. Evaluate your office and meeting space and notice how many rooms have lights on, even when empty. Instead of leaving it to people to turn off lights as they leave rooms (which they often do not do), install motion-activated light switches. These will turn lights on for a designated period of time (e.g., 15 minutes) whenever somebody passes in front of the switch or moves around in the space.

10. Switch to compact fluorescent bulbs. I could not believe the quick pay back, but compact fluorescent bulbs use about 75% less energy than incandescent bulbs, and they last about 10 times longer. Their costs have dropped dramatically as society has started to embrace this new lighting technology. With compact fluorescent bulbs you can save on energy consumption, replacement bulb costs, labor costs associated with more frequent replacement, and reduce overall waste as well. These bulbs are now available in almost all sizes and wattages, with softer sheens than earlier models. No changes in equipment are necessary, as just about any light that uses an incandescent bulb can instantly use a compact fluorescent bulb.

11. Look at reasonable bulk purchases. Costco, Sam’s Club, BJ’s and other warehouse-style stores have made it possible to obtain reasonable amounts of cleaning and office supplies, as well as office type foods (coffee, sugar, etc.). Check your area warehouse stores to see how much you can save on these types of items.

12. Consider “green” cleaning practices and products. Paper towels can be replaced by hand dryers in restrooms and affordable environmentally-friendly cleaning products. These protect the health of not only your cleaning staff but also your associates, while also reducing harmful substances and odors from the office.

13. Remember the Lessons of Craig’s List. Those independent hoteliers I mentioned in the opening did not have the ease of Craig’s List, eBay or other online search options for sourcing unique items; but they often went to auctions and sales. They found many one-of-a-kind items at rock bottom prices they were able to use in many different ways. Use the Internet to search for unique items that you cannot find through traditional retailers, but don’t forget to stop every now and then at auctions and sales to see if you can snag yourself a bargain.

This is a mini-biography of some of the women and men who lost their lives on that day.  Some of what really moved me were the vignette titles.  You will understand even without reading the full stories:

• Robert, there’s another plane coming
• Dad, I gotta go. There’s smoke in here now
• Take care of my kids
• She still lives in his dreams
• She opened up his world
• A recovered ring completes a circle of life
• He made every day a party
• That day, she learned she was pregnant
• After 20 years, they still held hands
• A hero by any definition
• He ignored his own order to flee
• Firefighting was all he talked about
• He dreamed of a school for autistic kids
• She beat Hodgkin’s and eased others pains
• Her family’s first college graduate
• Death in a place of prayer
• They knew what was important
• She kept going back in
• A rescuer who wouldn’t be stopped
• A coach who brought out kid’s potential
• Her husband watched her disappear
• She tried to block the cockpit
• The man who said “let’s roll”
• He stayed to check on an elderly colleague
• A cool army vet who helped others evacuate
• He saved his wife, but not himself
• A son is born as a father is mourned
• and probably 200 more headings and stories

The five sections are to the point:

Little Brother, You’re MVP in our hearts, and as sub-sections includes
1. last phone calls
2. love stories
3. FDNY and
4. lost promises

The first into heaven 
5. they died together
6. rescuers
7. mothers, fathers, sisters, brothers
8. on the planes

A Husband is Missing No More 
9. High Finance
10. New Americans
11. In the Pentagon

A Man of Unusual Disposition 
12. free spirits
13. tower people
14. legacies

The List of the Lost

• World Trade Center Occupants
• Pentagon
• Emergency/Rescue Personnel
• American Airline Flight #11 -WTC North Tower
• United Airliners Flight #175 – WTC South Tower
• American Airlines Flight # 77 – Pentagon
• United Airlines Flight #93 – Pennsylvania

I was with a major hotel company on that day. My team and I were delivering a workshop out of state, and the total closure of all airports, some roads, and many government and business centers was an eerie sensation. In the years since that day, whenever I interact with groups and others on September 11, I make sure we take a moment of silence to remember and reflect.

Originally published on Thursday, 12 September 2013