Model Karolina Kurkova and her husband, actor and broker Archie Drury, are suing the Fisher Island Club, alleging in a dramatic lawsuit that the board has been acting illegally and used intimidation tactics to threaten the couple, forcing them to leave the ritzy enclave.
The couple was recently expelled from the membership-only Fisher Island Club. The board, Kurkova and Drury allege, has been operating under amended bylaws that are invalid.
The lawsuit, filed in Miami-Dade Circuit Court last week, also alleges that two of the five board members have engaged in self-dealing, using their positions to gain new development business that would or already is benefitting Douglas Elliman. The two board members are David Chene, co-founder and co-managing partner of asset management firm Kennedy Lewis, who serves as chairman of Douglas Elliman’s board of directors; and financial services executive Mark Zeitchick, also on Elliman’s board.
Elliman, the lawsuit alleges, wants to position itself as the exclusive broker for the last remaining undeveloped parcel on Fisher Island, which TransMontaigne Partners is selling to a developer. Elliman is the exclusive broker for Madar Group’s Residences at Six Fisher Island. The lawsuit alleges that Related Group may be the mystery buyer purchasing TransMontaigne’s site. (That sale could close in May.)
Fisher Island Club said in a statement to The Real Deal that it denies all the allegations made in the complaint, which it calls “nothing more than disgruntled former members.” It said the plaintiffs were expelled based on their alleged attempt to defraud the club and circumvent its rules.
“Allegations by plaintiffs that certain club board members used their influence for personal or corporate gain are patently false, unjustified and are nothing short of scandalmongering,” the statement reads.
Douglas Elliman declined to comment. Chene and Zeitchick did not respond to requests for comment.
Drury alleges that the issues with Fisher Island Club started when Drury left Elliman, where he was an agent, at the end of 2022. Drury is now licensed with the Side-backed NobleRoc Real Estate. Kurkova and Drury had lived on Fisher Island with their children for many years, according to the complaint. Their two club memberships, each costing $250,000, were purchased in 2013 and 2018.
Two LLCs owned by Kurkova and Drury own six condos on Fisher Island, at Marina Village 1 and 2, and Seaside Villas, records show. They paid a combined $5.2 million for the units between 2013 and 2022.
The club is subject to state laws governing nonprofits. It’s not a homeowners’ or condo association, but it’s central to living on the island, one of the wealthiest pockets of South Florida. The club’s amenities include a beach club, championship golf course, tennis courts, marinas, restaurants, a spa, fitness center, theater and more.
Residents on the island have included tennis pro Caroline Wozniacki and her husband, former NBA player David Lee; Oprah Winfrey; actress Julia Roberts; and former Elliman CEO Howard Lorber. The billionaires’ playground is only accessible by boat, ferry or helicopter.
A spokesperson for Kurkova said her experience on Fisher Island “highlights the urgent need for state lawmakers and the [Department of Business and Professional Regulation] to step in, enforce compliance and protect property rights.”
Drury, Kurkova and two LLCs they own allege that the board, including its General Counsel Desiree Cuason, have been operating without a valid board of directors, failed to comply with valid bylaws, and breached their fiduciary duties and other obligations to club members. Drury and Kurkova allege they’ve been deprived of their property rights and cite damages in the millions of dollars.
“Florida’s private clubs and HOAs wield unchecked power, leaving property owners exposed to unfair governance, financial exploitation and rule by self-interested boards,” Kurkova’s spokesperson wrote in a statement. “Without immediate reform, these organizations will continue to operate as unregulated fiefdoms — putting homeowners, businesses and Florida’s real estate market at risk.”
On Monday, a few days after the lawsuit was filed, the club sent an email stating that its third amended bylaws, which Drury and Kurkova allege are invalid, are valid. Those bylaws, which the club said it passed in 2020, reduced the number of directors on the board to five from seven, among other changes.
Intimidation tactics
Jennifer Atlman, Drury and Kurkova’s attorney, said the third amended bylaws “detrimentally impact” residents. The second amended bylaws, she said, do not allow for successive terms, while the latest version does. The latest version also states that if members sue the club, they will be expelled, Altman said.
“It’s unfortunate because this is a place where people should be able to go and really enjoy their life,” Altman said.
The complaint alleges that Chene and/or Zeitchick approached Kurkova and Drury’s now-former employee, “cornered him and patted him down to ensure he did not have a recording device and threatened him.” Chene and/or Zeitchick allegedly told this person “if he did not provide false testimony against plaintiff Drury he would simply be ‘collateral damage.’”
Click to view the complaint by Karolina Kurkova and Archie Drury
In November 2023, Drury was informed via letter that he allegedly “engaged in inappropriate conduct towards the club, other club members, and /or club members’ property over the preceding two years,” but failed to identify the conduct, according to the lawsuit. In a follow-up, the club’s general counsel, Cuason, referred to a time when Drury accidentally got into another Fisher Island resident’s white Range Rover instead of his own. When he realized he was in the wrong car, he turned around.
“It was an innocent mistake in taking the wrong identical vehicle, it was not taken off the Fisher Island premises and the owner of the vehicle did not press charges, acknowledging it was inadvertent and not a theft,” according to the lawsuit. Still, Drury was suspended for six months.
Even if he intentionally took the wrong Range Rover, it didn’t happen on club premises. “Defendant had no jurisdiction of the claimed infractions even if the allegations were true,” the lawsuit states.
Drury’s second suspension occurred two weeks after the first went into effect, after he ordered takeout for his daughter on Christmas Eve from La Trattoria, which is part of the club. Kurkova was not on the island.
“Drury received a letter from Ms. Cuason — again not in a manner prescribed by Florida Statutes but by email — advising him that he committed a ‘flagrant violation of his suspension’ by retrieving his daughter’s food — a daughter and family member who had not been suspended or otherwise disciplined and who was only two years old and could not retrieve the food herself,” the lawsuit alleges.
The intimidation tactics alleged in the complaint also include the club allowing Chene’s wife to “follow Drury and his minor child around the Island taking video of him,” violating the club’s rules and policies; ignoring the plaintiffs’ request to provide their tenant Marine Max access to the marina, which led Marine Max to break its lease; ignoring requests to designate one of the plaintiffs’ club equity memberships to a tenant with a one-year lease; and refusing to timely answer questions that would allow them to rent their units out.
Business dealings
Kennedy Lewis, Chene’s firm, was one of the buyers interested in the TransMontaigne site, according to the complaint. The lawsuit alleges that Chene used his board position to try to facilitate that deal and that Chene was also trying to lead a redevelopment of the beach club. Minutes from the meeting where this was discussed were “not initially posted as they were required to be,” the lawsuit alleges.
When club members learned about the proposed sale and redevelopment, “they became irate,” according to the complaint. The board allegedly responded by warning members that they could be suspended if they expressed their concerns or disagreements.
Drury and Kurkova’s attorney, Altman, said the conduct outlined in the complaint is “egregious” and a “power grab.”
With the Residences at Six Fisher, the single-family home project for which Elliman is currently leading sales, buyers receive membership to the club for free, Altman said.
“That’s a $350,000 value, just the buy-in for the membership. They’re getting substantial commissions from selling those units,” she said. This, Altman said, “allows [the board] to wield control over who they allow into the club membership, because there’s only 1,100 club memberships, period.”
In its statement to TRD, the club said it has the right to enforce its rules and standards of behavior.
The club has sought to shut down any disruption, and said it has been transparent about capital projects that it’s embarking on. In an email sent to members in December obtained by TRD, the club said “group text threads/chat rooms are serving to create disharmony across Fisher Island Club.” The club strongly urged members to “cease any attempts to undermine and disrupt the club’s capital projects, and also to end aggressive attacks on club leadership,” or risk being suspended for a period of 30 days.
“Please: Sowing discord runs directly counter to our goal to be ‘best in class,’ the email states. “In the interest of both etiquette and harmony, we thank you for your adherence to all of our club policies, as we work to maintain and elevate the member experience.”
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