
A Manhattan judge on Monday, April 13, 2026, found the ultra-exclusive Core Club in contempt after the members-only hotspot allegedly blew off a prior court order tied to its operations at 711 Fifth Avenue. The move cranks up the pressure in the club’s already bitter showdown with developer Michael Shvo and opens the door to potential penalties and tighter court oversight of how the lobby is staffed.
According to Crain's New York Business, the contempt ruling stems from accusations that Core ignored an earlier injunction spelling out how lobby access and security were supposed to work at Shvo’s building. Crain’s reports the judge concluded the club did not live up to a clear directive, crossing the line into contempt in the process.
How the club allegedly flouted the order
Lawyers for the landlord told the court that Core’s front-of-house staff were not consistently checking members’ identification before granting elevator access, a practice they blasted as a “flagrant disregard” for the judge’s prior order, according to Bisnow. Core’s attorney, Marc Kasowitz, fired back in filings, dismissing Shvo’s move as “another meritless attempt to manufacture a default where none exists.”
Background to the dispute
The contempt finding is just the latest twist in a legal slugfest that already features dueling lawsuits and cross-claims. Core has sued Shvo seeking roughly $600 million in damages, while Shvo has accused the club of falling behind on rent and has secured a separate judgment tied to a loan. The landlord has alleged the tenant owed about $3.6 million in unpaid rent, and a judge previously issued a Yellowstone injunction to freeze the status quo while the money fight plays out, according to reporting from The Real Deal and court filings on Justia.
Legal implications of a contempt finding
Under established precedent, a civil contempt ruling can trigger coercive fines, per-day penalties, or other conditional measures that are designed to force compliance rather than punish outright, although judges can also award attorneys’ fees to the party that was harmed. The U.S. Supreme Court’s Mine Workers v. Bagwell decision, as published on Justia, along with New York case law, lays out how courts distinguish between coercion and punishment in crafting remedies. If sanctions are ultimately imposed here, they could include daily fines, fee awards, or targeted directives requiring Core to adjust its lobby procedures until the judge is satisfied that the order is being followed.
A spokesperson for Shvo said the company would lean on its court papers to speak for themselves, while Core’s legal team has denied any intentional defiance of the injunction and stated in filings that the club is current on rent, according to reporting. The contempt ruling is expected to set off a new round of motions and hearings in New York County Supreme Court as both sides push for enforcement and whatever leverage they can get.









