Update: This story was updated on Oct. 16, 2024 with a statement from Tal and Oren Alexander.
Whether it’s refining your business model, mastering new technologies, or discovering strategies to capitalize on the next market surge, Inman Connect New York will prepare you to take bold steps forward. The Next Chapter is about to begin. Be part of it. Join us and thousands of real estate leaders Jan. 22-24, 2025.
Tal and Oren Alexander have gone through some rocky months, becoming the recipients of multiple lawsuits alleging that they have sexually assaulted and raped women, ultimately spurring them to part ways with their former cofounders of Official Partners.
Now, white-label brokerage Side, which backed Official, has also sued the brothers for breach of contract, alleging that the brothers and the firm failed to pay back a promissory note and uphold a security agreement that date back to Aug. 2022.
The suit was filed on Friday in U.S. District Court in San Francisco, HousingWire reported.
The complaint states that Official Partners agreed to pay Side the principal sum of a redacted amount, plus interest, as outlined in terms that were agreed upon in the note. The complaint also says that the Alexanders also signed the note as guarantors.
“Official Partners has never missed a payment,” Oren and Tal Alexander said in a statement sent to Inman via an email from their attorney, James P. Cinque. “This lawsuit is an incredibly greedy attempt by Side to take over the business of Official Partners.”
After the lawsuits against the brothers alleging sexual assault came to light, Official’s other cofounders — Nicole Oge, Andrew Wachtfogel and Richard Jordan — attempted to distance themselves from the brothers. At that time, Oren and Tal stepped away from their roles at the firm and their licenses were no longer active with Side. The lawsuit complaint notes that the dissociation of their licenses was done with the brothers’ “full knowledge and consent.”
After negotiations with the brothers fell through, Oge, Wachtfogel and Jordan decided to forfeit their ownership in the company and officially left the firm on Aug. 15.
The lawsuit from Side alleges that in mid-July, the brokerage demanded payment from Official, but the firm refused. Side also demanded that the Alexanders abide by their obligations made in the security agreement, the details of which were redacted. Only Tal and Oren Alexander are named as defendants in the lawsuit, along with Official Partners New York — Ogen, Wachtfogel and Jordan, although mentioned in the complaint, are not defendants.
“When the business loan that is the subject of the lawsuit was extended to Official in 2022 and renegotiated in April 2024, Side had no knowledge of the allegations against the Alexander brothers,” a Side spokesperson told Inman in an email. “We would not have entered into a financial agreement and continued doing business with them, had we known.”
Given that Official and the Alexanders did not comply with Side’s request, the firm was compelled to sue, the complaint states.
Side is requesting damages that cover the unpaid balance of the promissory note, as well as accrued interest, attorneys fees and a jury trial. Side also requested that the court issue orders requiring something of the Alexanders, which was redacted as well. Inman has reached out to Tal and Oren Alexander for comment.
Prior to launching Official in 2022, the Alexanders had a team at Douglas Elliman for about 10 years.
Get Inman’s Luxury Lens Newsletter delivered right to your inbox. A weekly deep dive into the biggest news in the world of high-end real estate delivered every Friday. Click here to subscribe.
