Celebrity News

Essex dispute’s boiling point

A battle over Lower East Side hot spot Sons of Essex boiled over when the warring owners called the cops on each other during dinner.

Partners Matt Levine and Michael Shah both announced this week they’re kicking the other out of the business — and a day after the dueling proclamations, Levine arrived at Essex where, a spy said, “They tried to kick him out, Matt made a scene, and people from the kitchen got involved, then the cops were called.”

But a source close to Levine countered he wasn’t kicked out, but arrived Wednesday to have a staffer call the cops on him. Levine, in turn, called police on the worker, but then he and Shah met and amicably resolved the situation. (An agreement drawn up Wednesday between the parties and obtained by Page Six reads, “the videotapes of today’s activities will not be destroyed or tampered with.”)

On Tuesday, Shah, of developer DelShah Capital, announced he’d “parted ways” with Levine “effective immediately.” Levine released a competing statement: “It’s far from the truth that I am no longer involved. I am the managing partner and owner of Sons of Essex . . . our lawyers are handling the rest.” Two-year-old Essex has welcomed Justin Bieber, Will Ferrell, Julianne Hough, Carmelo Anthony and the Olsens.

A source says the tension at the restaurant is due to “creative differences.” And that DelShah’s developing “a huge money-making hotel at 53-61 Gansevoort,” plus a venture at 170 Mercer St. and Pop Burger on Ninth Avenue, but has “a contract with Levine giving him first right to operate its commercial property,” which Shah wants out of.

A source said Shah was also using funds from Essex to pay employees at other ventures, including Petaluma. But Shah told us Levine was “retained on a management agreement that was terminable,” and his right of first refusal was only applicable under certain circumstances. He added there’s “no truth” to the allegation that funds from Essex were being used for payments at other ventures.

Both sides are trying to reach a settlement by May 3, and have agreed to only enter Essex during business hours.