Martin Scorsese’s Upper East Side Home May Face Foreclosure
Marting Scorsese has directed blockbusters such as “Goodfellas” and “The Departed”. He has a reported net worth of around $100 million. Unfortunately, he has found himself in a legal battle with a contractor who was working on his $12.5 million townhouse in New York’s Upper East Side. He is claiming he paid the contractor.
A company called Extech Building Materials is suing Martin and his contractor, Smith Restoration Inc. Extech is claiming that Scorsese and Smith owe over $18,000 for materials used to renovate Scorsese’s $12.5 million townhouse. Scorsese says, while he has the money to pay, he will not because he gave the money to the contractor up front. Extech placed a mechanic’s lien on the property in 2015 and is demanding that Scorsese sell the home to offset the cost of the materials. Scorsese’s attorney released a statement stating, “Mr. Scorsese fulfilled all of his obligations under his contract with Smith, and paid Smith in full, but allegedly Smith failed to pay the material supplier.”
Past Money Problems
Scorsese has had money issues in the past. In 2010, he fell behind on paying taxes and the IRS put a $2.85 million lien on one of his properties. About a year later, he paid the IRS in full. Many believe his money issues stem from his recent difficulty finding commercial success for his movies. In 2011, he went $56 million over budget while creating “Hugo”. In 2016, he spent $40 million of his own money to produce “Silence”. The project only yielded $7 million.
Even with these recent flops and Scorsese’s refusal to pay $18,000 to Extech, it is highly unlikely that foreclosure will be ordered by a judge.
You do not have to be rich or famous to get into a dispute with a contractor or fall behind on taxes and mortgage payments. If you are having trouble paying your taxes or mortgage, you need guidance. Elias Dsouza has been helping people get back on track financially for over 15 years. Contact Dsouza and Strachan Lawgroup Group for a free consultation.