Joel R. Glucksman
Partner
201-896-7095 jglucksman@sh-law.comFirm Insights
Music Festival Production Company Files Chapter 11
Author: Joel R. Glucksman
Date: February 13, 2014
Key Contacts
Back
Music festivals have experienced a resurgence in recent years, with the growing popularity of shows such as Coachella and Ultra.
One of the newest festivals BottleRock, which took place in Napa Valley, could have a shaky future, as the BR Festivals LLC – the company that produced the show – filed for Chapter 11 protection under U.S. bankruptcy law on Feb. 5.
BottleRock 2013 included some of the country’s biggest acts, such as the Kings of Leon, Train and the Zac Brown Band, but it seems that the festival’s producers took on a tremendous amount of debt in the process. According to the Napa Valley Register, BR Festivals has $4.5 million in liabilities and assets of $610,000.
Tens of thousands of people attended the first-ever BottleRock festival, which allowed the company to bring in $11.2 million in gross receipts, and that was without food and beverage funds. But, the financial losses for the event reached around $8 million – which put BR Festivals in a position wherein it was unable to pay its creditors – and have made it unable to fund the second concert this year.
Bob Vogt and Gabe Meyers, who were running BR Festivals, claimed one of the biggest reasons the company ran into financial troubles is because investor Jason Johnson pulled $3 million in capital on the eve of the 2013 BottleRock show, which made it impossible for the company to pay its bills, according to The Wall Street Journal.
Under the Chapter 11 reorganization plan, BR Festivals will have a new owner who would be able to continue with BottleRock 2.0, which is expected to take place from May 30 to June 1 in Napa Valley. The lineup has yet to be announced.
- Practices: Corporate Transactions & Business, Bankruptcy & Creditors' Rights, Bankruptcy Litigation
- Locations: Red Bank, NJ, New York City, Little Falls, NJ
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Related Posts
See all
Zoning Laws Explained: What You Need to Know Before Buying Property
Before buying property, it is critical to determine whether local zoning laws may affect your plans. If you plan to redevelop the property, you will want to confirm that local zoning regulations permit development as intended. If acquiring property that is already developed, you must verify that the use is permitted in the underlying zoning […]
Author: Wendy Rubinstein Quiroga
Special Needs Trusts in New Jersey: Planning for Your Loved One’s Future
For parents of a child with a disability, estate planning raises concerns that go well beyond deciding who will inherit their assets. Parents may spend years making sure their child has the right care, services, and support. Eventually, they must also confront a difficult question: Who will take over when they can no longer do […]
Author: George McGowan
What Every Real Estate Investor Should Know Before Buying a Rental Property
Before buying a New Jersey rental property, an investor should verify realistic operating numbers, the property’s legal and regulatory status, lead-based paint and flood compliance, the existing leases and tenant protections, and the right ownership structure. A rental property is more than a piece of real estate; it is an operating business subject to legal, […]
Author: Donald M. Pepe
Can You Change an Irrevocable Trust in New Jersey?
In New Jersey, an irrevocable trust can sometimes be modified even though its name suggests otherwise, and one of the primary tools for doing so is a process called decanting. Whether decanting is available depends on the specific terms of the trust and the discretion given to the trustee. Key takeaways: New Jersey has no […]
Author: Marc J. Comer
How Intellectual Property Valuation Will Impact Business Transactions
Intellectual property valuation determines the monetary value of a business’s IP assets, and it drives outcomes in licensing deals, joint ventures, mergers and acquisitions, financing, and ownership disputes. The most valuable assets of a business are often the things that cannot be seen or touched: a proprietary process, a copyrighted work, brand recognition, or the […]
Author: Jay McDaniel
Data Center, Dark Fiber, and Lit Services Agreements in New Jersey: Key Terms and Legal Pitfalls
For New Jersey data center owners and operators, a service agreement may look routine when it is signed. The network is functioning, the vendor is meeting its installation schedule, and the parties have agreed on pricing and performance specifications. The provisions that seem most important at that stage are often the technical ones. That changes […]
Author: George McGowan
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Sign up to get the latest from our attorneys!
Explore What Matters Most to You.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.