There aren’t many things more American than football and rock & roll. When members of the rock band KISS decided to purchase an arena football team to be based in Los Angeles, many were excited for the sport to come back to the city.
In 2013, Gene Simmons and Paul Stanley, members of KISS, along with longtime manager Doc McGhee became co-owners of an Arena Football League (AFL) expansion team. The team was named the LA KISS, and was branded with the band KISS’ signature style. The KISS logo is plastered everywhere, and the games are characterized by loud music and pyrotechnic displays that mimic the band’s concerts. The development of the team was such an entertaining mix of music and sports that AMC filmed a documentary which covered the …show more content…
According to the complaint, Bouchy would have his team print an extra 3,000 tickets to the game, which were then distributed to a broker and multiple scalpers. The money earned from tickets purchased on the street was then allegedly split between Bouchy, the broker, and the scalpers.
In addition to defrauding the team by scalping tickets, Bouchy is accused of hiding the true financial state of the team. When selling his majority interest in the team, Bouchy advised Pearsall of $88,044 in debts and liabilities. However, the lawsuit alleges that Bouchy failed to disclose over $450,000 in outstanding loans and other expenses.
Finally, Bouchy used his connections with the KISS band to entice Pearsall into buying his share of the Predators for $247,583. According to the complaint, Pearsall alleges that Bouchy told him that he could recover $500,000 by holding a KISS concert in the 2013 Arena Bowl in Orlando. Unfortunately for Pearsall, this event only earned about $200,000 before …show more content…
When purchasing a company, it is paramount that the buyer understands all of the potential pitfalls involved.
Before signing any contracts, it is essential that an attorney reviews the transaction and helps the buyer complete due diligence on the sale. The buyer should spend a significant amount of time speaking with the seller about that company’s characteristics and any potential problems which could arise. In addition to making sure the business is a good fit for the buyers’ interests and personality, extended conversations can help a buyer determine if he or she needs a partner or additional help to manage the company.
Both the buyer and the buyer’s attorney should work to uncover any possible facts which may make the sale a bad idea. The buyer should discuss current and former employees or partners, as well as any potential areas for legal liability. An accountant should examine the company’s records for any inconsistencies or red flags, and the attorney should make sure that the business has all of the licenses and permits that are required to operate. Finally, the buyer and the attorney should conduct a thorough search of the news and the court system to check for any hidden legal
In 2013, Gene Simmons and Paul Stanley, members of KISS, along with longtime manager Doc McGhee became co-owners of an Arena Football League (AFL) expansion team. The team was named the LA KISS, and was branded with the band KISS’ signature style. The KISS logo is plastered everywhere, and the games are characterized by loud music and pyrotechnic displays that mimic the band’s concerts. The development of the team was such an entertaining mix of music and sports that AMC filmed a documentary which covered the …show more content…
According to the complaint, Bouchy would have his team print an extra 3,000 tickets to the game, which were then distributed to a broker and multiple scalpers. The money earned from tickets purchased on the street was then allegedly split between Bouchy, the broker, and the scalpers.
In addition to defrauding the team by scalping tickets, Bouchy is accused of hiding the true financial state of the team. When selling his majority interest in the team, Bouchy advised Pearsall of $88,044 in debts and liabilities. However, the lawsuit alleges that Bouchy failed to disclose over $450,000 in outstanding loans and other expenses.
Finally, Bouchy used his connections with the KISS band to entice Pearsall into buying his share of the Predators for $247,583. According to the complaint, Pearsall alleges that Bouchy told him that he could recover $500,000 by holding a KISS concert in the 2013 Arena Bowl in Orlando. Unfortunately for Pearsall, this event only earned about $200,000 before …show more content…
When purchasing a company, it is paramount that the buyer understands all of the potential pitfalls involved.
Before signing any contracts, it is essential that an attorney reviews the transaction and helps the buyer complete due diligence on the sale. The buyer should spend a significant amount of time speaking with the seller about that company’s characteristics and any potential problems which could arise. In addition to making sure the business is a good fit for the buyers’ interests and personality, extended conversations can help a buyer determine if he or she needs a partner or additional help to manage the company.
Both the buyer and the buyer’s attorney should work to uncover any possible facts which may make the sale a bad idea. The buyer should discuss current and former employees or partners, as well as any potential areas for legal liability. An accountant should examine the company’s records for any inconsistencies or red flags, and the attorney should make sure that the business has all of the licenses and permits that are required to operate. Finally, the buyer and the attorney should conduct a thorough search of the news and the court system to check for any hidden legal