Gen Con Files For Chapter 11 120
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 (Score:5, Informative)
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:Anyone else hope (Score:5, Informative)
Re:Why am I not surprised? (Score:5, Informative)
Re:They aint seen nuthin yet (Score:3, Informative)
Hasbro owns Dungeons & Dragons.
Hasbro bought Peter Adkison out of Wizards of the Coast (who owned D&D) over half a decade ago.
Re:Why am I not surprised? (Score:2, Informative)
Re:This is a result of Lucasfilm litigation (Score:2, Informative)
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 the fullest of the assets that the bankrupt company has(the total liquidation kind of bankruptcy...whether that's 11 or 7, I forgot). Bankruptcy moves forward very quickly. If you stall, they can force you to appoint people to help you get back on your feet (and manage your money) well enough to get out of BK. This is not something about to be delayed multiple years. Additionally, once you hit BK, you cannot spend any money without court approval at all. So their finances are going to be open regardless of whether lucas is actually factual about the "we agreed to see their financials and they aren't showing us".
What's more likely is either a: Gencon's pulling a fast one or b: Gencon never read over a ton of legal fine print that fucked them over bigtime...there are ways to fight this in court, it's not common or easy. However, I don't get how Lucas is suing for anything with make a wish foundation. They don't represent them, and don't own them, so thats basically all bullshit. If Gencon gets a smart lawyer regardless of what they did, they'll have that dropped before it even comes to trial, as well as any false evidence.
IANAL but I read a lot on law, and study it (and bankruptcy books - family members are credit analysts) quite a bit.
Re:This is a result of Lucasfilm litigation (Score:3, Informative)
Re:Anyone else hope (Score:3, Informative)