A three-year-old eviction proceeding against Weidong Wang, owner of Baba Sushi restaurant at 205 Thames St., was recently decided after being transferred to Providence Superior Court.

The plaintiff, Gladding Shops, LLC, is owned by Marianne, Thomas and Benjamin Bergenholtz of Hope Street, who restored and developed the historic property, located on Thames Street between State and Church streets.

The initial agreement was for $4,200 per month in “Base Rent” and 10 percent Wang’s “net revenue.” The plaintiff alleged that that defendant failed to pay rent for three and a half years, from July 10, 2018, through 2021, as well as failing to be on site at the restaurant two days per week as he was contractually obligated. The Plaintiff also noted that the sublease ended on July 10, 2021, without renewal, and that the defendant has remained in possession of the property.

The complaint sought back payment for rent in the amount of $33,600 and 10 percent of the restaurant’s net revenue, from July 10, 2018, to the date of judgment.

On Aug. 3, 2017, Marianne Bergenholtz and Wang executed a non-binding letter summarizing a proposal for the property that would feature a restaurant operated by the defendant in exchange for rental payments of $4,200 per month for five (5) years with a five-year option to renew. On Jan. 19, 2018, the Bergenholtzs and defendant met at his Worcester restaurant. The parties eventually executed a sublease for the property. Marianne Bergenholtz testified that the sublease was for three years, beginning on the date the sublease was executed, Jan. 19, 2018. She also stated that they did not collect rent from Wang for the first ten months of the sublease. She confirmed that the sublease was a “triple net lease,” which called for payment of taxes, insurance, and rent. These monies went unpaid.

Further, Marianne Bergenholtz testified that they did not receive monthly reports from Wang, as were required by the sublease; Wang did not spend his contractually obligated two days per week at the restaurant; and he did not pay the agreed-upon 10 percent of his monthly revenue.

In his defense, Wang insisted that he did not know what he was signing in January of 2018 and that he would never have agreed to giving a portion of his restaurant’s net revenue to the landlords. His testimony generally described that he believed he would pay portions of his profits to the plaintiff and his continued position that the lease was invalid.

The Bergenholtzs initially sought to evict the restaurant three years ago, in December of 2021. Separately, in September, 2021, Wang sued his landlords, alleging breach of fiduciary duties, violation of Rhode Island’s Partnership Act, breach of contract, unjust enrichment, and declaratory judgment against plaintiff. Ultimately the eviction case was transferred to Superior Court as of April 2023, and the matter was heard in June of 2024.

The final decision, published Dec. 9, ruled for the plaintiff as to the validity of the lease, with the court finding that the January 2018 lease simply contained the incorrect date upon which the agreement was to be effective. According to the decision, “Plaintiff has proven, by clear and convincing evidence introduced through Marianne and Thomas’ testimony, that the couple and Wang signed the operative lease in January of 2018 at Wang’s office … Marianne’s testimony appeared truthful and credible that the lease was to last three years.”

The decision continued, undermining the credibility of Wang’s testimony.

“Although the Court is sympathetic to Wang’s limited English proficiency, his claims that he did not see the lease and that he simply trusted the Bergenholtzs is difficult to believe … Wang owns three restaurants in Massachusetts and one in Rhode Island. He is a sophisticated business operator that clearly does not blindly enter into agreements without reading the fine print.”

The court awarded a total of $370,232.76 to the Plaintiff: $4,200 for each of the eight months starting in April 2019 up until November 2019 in which Defendant failed to pay any base rent; $5,908 representing the deviant amount Defendant failed to pay full base rent in between December 2019 and the date of trial; and $330,724.76 in the percentage of net revenue Plaintiff was owed under the operative lease.

The end of the decision reads, “Counsel shall meet and confer to prepare an appropriate order awarding possession of the Premises,” before remanding the matter to the Rhode Island District Court.

“We’re pleased with this decision by Judge Stern,” said Marianne Bergenholtz. “We are already in negotiations with a new, exciting restaurant being created just for that property. Good things to come.”

Reached on Tuesday night at the restaurant, the manager, who did not share her name, denied any knowledge of the lawsuit and its outcome. “We are open and we will continue to be open,” she said.

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