Gen Con Files For Chapter 11

Heartless Gamer writes to tell us that Gen Con LLC announced late last week that they have filed for Chapter 11. This move will not affect the still profitable Gen Con Indy event which will still happen August 14-17, 2008. "This action became necessary as a result of significant unforeseen expenses associated with attempts to expand its core business to encompass externally licensed events. [...] The protections afforded by Chapter 11 will allow Gen Con to further its efforts to address its liquidity needs, preserve value for its creditors and explore strategic alternatives for the business." Evan writes to add that this is the result of LucasFilm suing GenCon.

This is a result of Lucasfilm litigation

[Obiwan Kenobi (32807)]

Just FYI, this filing is a direct result of Lucasfilm suing Gen Con for a lot of deception regarding "Celebration IV" that occurred last year.

As taken from this story on TheForce.net [theforce.net], here is a summation of the charges:

1. Gen Con failed to uphold its legal obligations in terms of financial reporting, accounting and payments to Lucasfilm ($500,000 in damages)
2. Gen Con did not give auction proceeds to Make-A-Wish as they had agreed to do ($150,000 in damages)
3. Gen Con did not give Lucasfilm their share of the auction proceeds ($150,000 in damages)
4. Gen Con did this all unjustly ($150,000 in damages)"

Re:

[poetmatt (793785)]

FYI,

Its a "to be determined 500k" meaning they don't know that it's accurate. I don't know what Gencon did/didn't do, but bankruptcy stays any legal matters....therefore, until they get out of bankruptcy (or judge allows the case to move forward), Gencon gets a get out of jail free (temporarily).

Re:

[poetmatt (793785)]

Go look at groklaw for SCO's case. SCO did it intentionally, however, it's not a delay tactic. It's common bankruptcy law. Cases are put on hold unless there is a reason pleaded to the bankruptcy judge that the BK (bankruptcy) judge accepts to allow it to go forward...this in itself can be allowed at times to determine amounts owed.

However, note that all BK is allowed with the expectations to both a: get out of BK as fast as possible if possible, and b: if not possible, liquidate/pay off your creditors to t

Re:

[Afell001 (961697)]

A friend of mine went through a nasty divorce a few years back, and his wife was able to hold up the divorce proceedings for nearly a year by filing for bankruptcy. This made it so that she was able to collect separate maintenance checks (half his paycheck, since she "conveniently" quit her job a couple months before she filed) as well as live in the house he was paying for and forcing him to move out. Since the house and mortgage was in both their names, it was also tied up in the bankruptcy, which left hi

Re:

[poetmatt (793785)]

I hear you there. People don't realize how bad nuclear families are....if you have kids but are domestic, you don't sign on things together either. People live in this 1950's "lets get married and have a SO + kids together"...get tied down, get screwed. I'm sure maybe a girl one day will motivated me to get married but I'd certainly prefer a domestic partnership that is not legally bound or something...at least you have LESS to worry about like that, although not "nothing to worry about".

I don't know how di

Re:

[Moonpie Madness (764217)]

lawyers who abide these tactics are called "rambo" lawyers, and there is always two or three firms in every town that works this way. In fact, the next thing to do if you get divorced but want a fair deal and know your SO is going to be a jackass about it is to hire all the rambo attorneys, tell them your private info, and then drop them so they are barred from taking the case against you (since they have confidential information). The attorneys actually make a decent amount of money from these 'retainers

This was a triumph

[by Anonymous Coward]

I'm making a note here... HUGE SUCCESS!

Re:This is a result of Lucasfilm litigation

[Otter (3800)]

2. Gen Con did not give auction proceeds to Make-A-Wish as they had agreed to do ($150,000 in damages)

If true, which may well not be the case, that's got to have a pretty big load of bad karma attached to it...

Re:

[Macgrrl (762836)]

So, superficially this looks like a case of Hollywood accounting:

• GenCon ran an auction
• The agreement was that the proceeds would be split between Lucasfilm and the Make-a-Wish Foundation
• Lucasflim is disatisfied with the statement of earnings from the auction and believe the proceeds were greater than reported by GenCon
• Lucasfilm is suing saying - "come on, we all know you made more than that - cough it up"

My questions would be: What split was LucasFilm expecting? What costs could be legitimately deduct

Re:

[GaryPatterson (852699)]

Sure, sure, what else would Obi Wan Kenobi say? I call bias!

(kidding!)

Re:

[MsGeek (162936)]

Gen Con didn't just screw Make A Wish, they screwed the fans at Celebration IV. To give an example: they produced an insufficient amount of certain collectables that were supposed to be sold there, and then allowed DEALERS to buy what little they had produced. If you wanted an embroidered C-IV patch, they were made of unobtainium at the event itself. And now, I checked on eBay, and guess what? Look up item # 150215899090 and you will see the upshot of that policy.

I am looking forward to C-V. The Los Angeles

d20

[Webs 101 (798265)]

I guess Gen Con failed the saving throw.

Re:

[gEvil (beta) (945888)]

from the missed-their-saving-throw dept.

I guess Gen Con failed the saving throw.

Yeah, we got the joke the first time.

Re:

[Alascom (95042)]

d20 throws a +5 Funny at the GenCon... wow..

Anyone else hope

[Moryath (553296)]

that this might, JUST might, get them to move GenCon back to Milwaukee where it belongs?

I mean, seriously - they bitched and moaned about "not enough hotel space" being the prime factor when by moving it just one weekend later they WOULDN'T HAVE TO COMPETE FOR HOTEL SPACE WITH FUCKING WISCONSIN STATE FAIR.

Then the very next year at GenCon Indy - "not enough space in the dealers' room, we're growing out of all the hotel space we can find in Indy..." bah.

Move it back to Milwaukee where it belongs. I miss taking my buddies to The Safehouse.

Re:Anyone else hope

[Peter Mork (951443)]

As much as I love The Safehouse and its back door, you do realize that GenCon is called GenCon because it belongs in Lake Geneva, right? I fondly remember MECCA as much as the next guy, but to equate that location with GenCon denies the history of the event.

Re:

[isomeme (177414)]

Sometime around 1975, when I was about 13 years old, we were planning to visit my grandparents near Milwaukee one summer when I realized that the fabled GenCon would happen right in the middle of our visit. I managed to work out a ride to Lake Geneva for one day, a glorious day which still lives in my memory as THE GEEKIEST DAY EVAR. I won a copy of the SPI game StarForce in a raffle within moments of arriving, and it just got better from there.

So, yes: For some of us, Lake Geneva will always be the true

I really hope so.

[Viewsonic (584922)]

The Milwaukee GenCons were a thing of legend. It blew my mind when they were moving it. If I were a spiteful person, I might be happy about this news. But I'd rather they just come back home. Where they belong.

Re:

[elrous0 (869638)]

When Milwaukee gets rid of the smell, they can have it back.

Re:

[a42 (136563)]

Gen Con belongs in Milwaukee? Bzzt.

I've been to 10 Gen Cons, 5 in Milwaukee and 5 in Indy. Indy wins in every respect. Better hotel access, better convention area, better restaurants. The businesses surrounding the convention center go way out of their way to make attendees feel welcome. (Yes, it's totally self serving, but the businesses in Milwaukee didn't bother.)

Oh yeah. And Indy doesn't roll up the streets at 5pm. It's nice to get be able to find something to eat and/or drink after a long day of gaming

Re:

[kria (126207)]

Um, GenCon Indy is the thing that keeps the rest of GenCon's failures running. It's been hugely successful in Indy, and from what I understand the locals are much friendlier. I can't attest to friendlier, having never attended elsewhere, but I can definitely say they are friendly. Restaurants tuning tvs usually on sports channels to sci-fi channel and decorating with old hall banners, special pins over at Hard Rock, that kind of thing. I had heard that things were somewhat less amicable in the old locat

Re:

[elrous0 (869638)]

If by "Less amicable" you mean "hostile shithole," then yes.

If it's true

[rossz (67331)]

If what LucasFilm says of GenCon, then they need to be crushed. Stealing money from dying children? It would be very difficult to do something more scummy.

Re:

[drinkypoo (153816)]

I'm sure that perception is what LucasFilm is counting on. But is it true? Does anyone know anything about this?

Cue Martin Short nervously puffing on a cigarette.

[filthpickle (1199927)]

while representine GenCon

"maybe the kids wanted to be robbed....maybe that was their wish..."

no idea why that image popped into my mind.

Re:

[by Anonymous Coward]

Interesting take and some blatant BS.

BS first...Reneging on a (n alleged) promise to donate to charity is not stealing. Putting your hand in the cookie jar and taking a wad of cash out without permission would be.

And the interesting part...So GenCon is expected donate their proceeds to charity while Lucas gets to keep his...

Yeah, reneging on a promise to donate earnings to charity is not technially stealing...but it is every bit as immoral. And just as illegal.

No they didn't put their hand in the cookie ja

Oblig:

[San-LC (1104027)]

Gen Con LLC: You will not find a more wretched hive of scum and villainy.

Re:

[by Anonymous Coward]

regardless of the ends, Bigby's Crushing Litigation is a fearsome and evil magic.

Re:

[spun (1352)]

Silly troll. Gen Con is one of the oldest, biggest, and most prestigious gaming conventions in the world. You know, Dungeon's and Dragons? Video games? Oh, why do I even bother, you're just being insulting to get a rise out of people. Even if it was a furry/anime/cosplay thing, why do you care? No one is rubbing your face in it, making you watch. Do you hate America? You know, land of the free? Do you hate that people are free to do what they want? Would you like to tell everyone what they can and can't do?

Re:

[glwtta (532858)]

Heh, I admire the indignation, but you do realize that to the rest of society the Dungeons & Dragons and furry/anime/cosplay crowds are nigh indistinguishable?

(yes, I'm one of the people who would've appreciated a line in the summary about what the hell GenCon is)

Re:What the hell is a Gen Con

[spun (1352)]

Oh man, my finger slipped. You know, the apostrophe, it's so close to the... ah... Look over there! It's Bigfoot!

I thought you Australians had a sense of humor

[spun (1352)]

Heh. You know, I've never been to one of those things? I love sci fi, fantasy, and gaming, but I wouldn't go to a convention. I can't stand fanatics of any stripe, and I don't like (all male) circle jerks.

You do get that I was making fun at tjstork's expense, right? Slashdot is not only for people who love America. I wasn't saying that at all. I respect other's opinions, IF that opinion is worthy of respect. I respect people's right to have and share an opinion, too, but if my opinion of their opinion is th

Re:

[obeythefist (719316)]

I hear you! Unfortunately we learn very quickly that when an American is saying "Don't you love America?" it's usually a herald for much more frightening behaviors, so we do tend to take it very seriously!

I think perhaps the best way to celebrate games like Dungeons and Dragons is to get some friends together and go play it.

Re:

[An ominous Cow art (320322)]

One of the times I went to GenCon (1984 I think?), I met a very bright, interesting, attractive, non-fat girl. Until the day I die I'll regret losing touch with her. Sigh...

And apparently as punishment, the last time I went (1998?), somehow, of all the game tables in GenCon, I wound up at one with an ex-girlfriend and her boyfriend. Yeah, that was a good time... :-(

Now I'm all depressed.

Re:

[MBGMorden (803437)]

Don't know about GenCon, but at DragonCon there are a lot of non-fat very attractive chicks around too. I think a lot of them are just playing dress-up though rather than being true hot geek-girls (though a few are). A lot of girls love the thought of an early Halloween party which is essentially what DragonCon is for some people.

Indeed the selection of not-hot fat chicks is pretty significant too, but you take the good with the bad.

Fun event overall though, and the only one I still attend regularly (been

Re:Why am I not surprised?

[byennie (1126011)]

Really? Do you know the people who run GenCon?

GenCon is owned by Peter Adkison, the creator of Magic and former CEO of Wizards of the Coast. He's a gamer through and through and one of the most approachable guys on the planet of his stature. Peter made plenty off of WoTC's sale to Hasbro to do whatever he wanted - GenCon wasn't lining his pockets by any stretch of the imagination. This is the same man who responded to my unsolicited emails for help starting a gaming company. He answered any question I had, connected me with his personal contacts, and in return - just suggested that I pay it forward. I don't know anything about GenCon's legal issues, but I suspect neither do you.

I don't know the depth of their dealings. But unless you do, perhaps you should refrain from making generalizations. God forbid you ever achieve such a level of success and find people throwing stones at you. Reserving judgement isn't nearly as sensational, but it's often warranted.

Re:Why am I not surprised?

[Irish_Samurai (224931)]

I thought Richard Garfield [wikipedia.org] created magic.

Re:

[Lehk228 (705449)]

only a cocksucker with a marketing position would chose the latter.

Re:

[byennie (1126011)]

Peter did a whole lot more than just market Magic. If Garfield had something shrink wrapped and ready to go, he wouldn't have come to Wizards of the Coast in the first place.

That's why it's called a *partnership*. Flame all you want, but both sides need each other, and it's juvenile to suppose that anyone who can bring a product to fruition is some sort of soul-less marketing droid. What a miserable, woe is me attitude that is.

Re:

[Stu Charlton (1311)]

However, this comes down to who do you give credit to the success of Magic; the person who designed it, or one of the people who were responsible for giving it to the public.

Ahem [apple.com].

Re:

[Psychochild (64124)]

To be fair, you can only count Peter Adkison as one of the people who helped launch Magic: The Gathering. It was a large project, and the designer is Richard Garfield as another post indicated.

However, the rest of your post is spot-on. I had the pleasure of meeting Peter a few times, and he's a really approachable guy and a true gamer. I've had nothing but positive interactions with him.

I truly hope that the accusations mentioned in the Lucas lawsuit are without merit. However, if there is truth that th

Re:

[vertinox (846076)]

I don't know of the situation either, but in most organizations the owner and those who actually do the running or often different due to delegation and management issues. It could be quite possible he wasn't involved in what transpired and even then one has to really wonder about the whole issue with the donation issue with the charity organization.

That said, it is unknown if his hired hands were thieves with or without his knowledge, but even if there was no malice there appears to be incompetence at some

Re:

[91degrees (207121)]

There are plenty of small non-profit conventions that aren't.

Re:Why am I not surprised?

[Fozzyuw (950608)]

ALL "conventions", no matter what industry/hobby they are about, are run by thieves[...]Seriously.

That's because it takes too long to level a Paladin.

Re:

[Sitnalta (1051230)]

Well how do you know all convention organizers are thieves and liars? Do you know them? Just because some conventions are questionably run doesn't mean all of them are. Every aspect of PAX isn't personally run by Gabe & Tycho, but they still call the shots. So if there was anything shady going on they would, and have, excise it immediately.

Re:

[mlund (1096699)]

Peter Adkison owns GenCon.

Hasbro owns Dungeons & Dragons.

Hasbro bought Peter Adkison out of Wizards of the Coast (who owned D&D) over half a decade ago.

Re:

[taustin (171655)]

D&D and GenCon are owned by entirely different companies, and have no business connection whatsoever any more.

Which means we get to watch two companies crash and burn instead of just one.

Re:

[Fulminata (999320)]

Why? GenCon has had ten months to uphold their part of a deal which included donating proceeds to charity. If they haven't done so by now, then I'd say that legal action was the appropriate course for Lucasfilm to take.

Just because I might like going to GenCon doesn't change that.

Re:

[by Anonymous Coward]

Why? Well, for starters i don't believe in IP rights.

Er... what?

Lucasfilms shouldn't sue GenCon LLC for allegedly not turning over money specifically raised for certain causes at auction because you don't believe in IP rights?

Hell, $150k of it was supposedly auction money for MakeAWish.

"I'm sorry, little boy with terminal cancer. You don't get your wish because I don't believe in IP rights!" That's cold, dude. Also completely nonsensical. Someone got the auction money. If it was raised in a charity's n

Re:

[Isca (550291)]

ummm... for what? For tuning over their property to Gen Con to be auctioned off (with a big chunk going to charity)

This part of the lawsuit is pretty cut and dried. LucasFilms gives Gen Con LLC property, property is auctioned for $$, $$'s are not distributed as agreed before auction.