East Hampton, N.Y., neighbors James Chanos and Marc Spilker are at odds over a hedge.
Not a hedge fund something each is an expert on, as their day jobs in Manhattan attest but a hedge between their adjoining properties on Long Island. Mr. Chanos is president of Kynikos Associates LP, a short-selling hedge fund management company he founded in 1985. Mr. Spilker is managing director and head of the global alternative asset management unit of Goldman Sachs. Neither hedge row protagonist responded to an offer to comment on the situation.
According to published reports, Mr. Chanos called the police earlier this month to stop a landscaping crew hired by Mr. Spilker to widen a shared path to an Atlantic Ocean beach. The crew was reported to use an earthmover to flatten a 6-foot-high hedge that Mr. Chanos said was on his property. Mr. Chanos sent an e-mail expressing his displeasure to friends and Goldman Sachs executives, including a photo of the destruction of the shrubs, according to www.portfolio.com. Mr. Chanos attorney, William Esseks, told local reporters that village zoning laws only require a 2-foot side path.
Mr. Spilkers attorney, Christopher Kelley, told local reporters that Mr. Chanos driveway and hedge reduced the path shared by five mansions on Further Lane in East Hampton to about one-quarter of what is stipulated in the easement.
Village of East Hampton officials inspected the scene and sided with Mr. Spilker on the permitted path width. Dan Reichl, East Hampton code enforcement officer, said while the existing path is between four and four and one-half feet wide, the 1969 village easement code is clear: The beach path should be 15 feet wide.