Posted in Business Litigation, Partnership Law
Truth is stranger than fiction and it plays out in court rooms all across the country, often involving small businesses and the people who own them. One such story involves Vicki’s Vodka, a now defunct business formerly owned by reality TV star and insurance agency owner Vicki Gunvalson and professional poker play Robert Williamson, III. Like any good reality TV show, this business apparently featured owners involved in double dealing, back stabbing and lying.
Gunvalson, of Bravo’s Real Housewives of Orange County fame, and her ex-boyfriend Brooks Ayers were sued in 2013 by Robert Williamson, III, in a Nevada court for $250,000 because they allegedly conspired to commit fraud in their Vicki’s Vodka venture. The lawsuit was filed, dismissed after an alleged settlement and then re-filed because that settlement was allegedly breached, according to Radar Online.
Williamson, a poker player by trade, alleges Gunvalson breached a contract, was involved in fraud, failed to live up to good faith dealings, engaged in misrepresentation and “conspired to unjustly enrich herself.” Ayers was named as a co-defendant in the action, but was recently dismissed from the case, along with claims that he defamed, extorted and intentionally inflicted emotional distress upon Williamson.
Williamson’s lawsuit alleges,
- Gunvalson and Williamson created Vicki’s Vodka and Gunvalson gave Ayers 16.67% ownership of the business without notifying Williamson.
- Ayers sold his interest to Williamson for $50,000.
- Gunvalson later “demanded” the ownership interest purchased by Williamson from Ayers be given back to her.
- Ayers and Gunvalson used the purchase to extort money from Williamson “without the intent to honor the intent of the transaction.”
- Ayers and Gunvalson intended to “lure Robert Williamson III into the purchase of Brooks’ interest” without the intent to comply with the contract and make the company successful.
As part of her defense, Gunvalson has claimed she was pressured into signing a settlement with Williamson, also according to Radar Online. She alleges Williamson threatened her in before the start of a live broadcast of “Watch What Happens Live” in July 2013, where they were both guests. Williamson allegedly placed the contract in front of her and threatened if she didn’t sign he would tell the press she had defrauded him in the vodka venture.
Gunvalson claims she feared Williamson would create a scene on the broadcast and slander her, possibly endangering a renewed contract with Bravo. She signed the agreement and gave Williamson two checks totaling $50,000, but he later filed the lawsuit weeks later. It’s still pending.
Like so many Hollywood stories of things going horribly wrong, this one has many lessons for those of us not famous enough to regularly appear on cable TV.
- Want to start a business with someone? Call my office so we can discuss the matter and I can craft an agreement amongst the parties that will protect your interests and clearly spell out the rights and responsibilities of the partners.
- If you’re involved in a lawsuit never sign a proposed settlement agreement without it being reviewed by an attorney who can answer your questions and apprise you how it impacts your legal rights and responsibilities. You need to fully understand what’s being proposed before you can fully consent to the agreement.
If you’re involved in a business ownership arrangement that may be going as sour as Vicki’s Vodka, contact my office so we can talk about what’s happening, your legal rights and how they can be protected.
Business Litigation Law: Frequently Asked Questions
When legal disputes arise within a company or between businesses, business litigation often becomes necessary to resolve them. Whether it’s about contracts, partnerships, or other business matters, understanding how business litigation works is essential for any business owner. As an Orange County, CA business litigation lawyer, we are often asked a variety of questions about this area of law. Below, we answer some of the most common questions to help guide you through what to expect.
What Is Business Litigation?
Business litigation involves the legal process used to resolve disputes that arise in the business world. These disputes can involve anything from contract breaches to partnership disagreements, intellectual property conflicts, or shareholder issues. It can take place in court, but there are also other ways to resolve disputes, such as mediation or arbitration. The goal is to reach a resolution that protects the interests of the business, whether that involves financial compensation or enforcing contractual obligations.
How Long Does Business Litigation Usually Take?
The length of a business litigation case can vary depending on the complexity of the dispute, the willingness of both parties to negotiate, and the court’s schedule. Some cases may be resolved in a few months, especially if a settlement is reached early. Others, particularly those that go to trial, may take a year or more to fully resolve. It’s important to remember that litigation can involve various stages such as discovery, motions, and sometimes even appeals, which can add to the overall timeline.
What Are The Most Common Types Of Business Litigation Cases?
Contract disputes, partnership disagreements, intellectual property issues, and employment law violations are among the most common types of business litigation disputes. Contract disputes often arise when one party does not fulfill the terms of an agreement. Partnership disputes can occur when business owners disagree about the direction or management of the company. Intellectual property cases usually involve the protection of trademarks, patents, or trade secrets. Employment litigation may involve disputes over wrongful termination, wage issues, or discrimination claims.
Can Business Disputes Be Settled Out Of Court?
Yes, many business disputes are settled out of court through negotiation, mediation, or arbitration. Settling out of court can save both time and money, and it gives both parties more control over the outcome. Mediation involves a neutral third party who helps facilitate a resolution, while arbitration is a more formal process where an arbitrator makes a binding decision. These alternatives are often encouraged to help avoid the time and cost of a lengthy court battle.
How Can A Legal Professional Help?
A business litigation lawyer plays a crucial part in representing your interests throughout the dispute resolution process. Whether your case is resolved through negotiation or goes to trial, your lawyer will handle everything from filing legal documents to arguing your case in court. They will also offer advice on strategy, explain your legal options, and work to protect your business from potential liabilities. Having an attorney on your side is important to make sure your business’s legal rights are properly defended.
Get Legal Guidance For Your Business Dispute
Although challenging, with the right legal guidance, business disputes can be effectively managed. If you find yourself facing a business-related legal issue, working with an experienced Orange County business litigation lawyer can help you manage the process and achieve the best possible outcome.
Our team will provide comprehensive legal guidance across a range of key business areas, ensuring your enterprise is supported at every turn. If you have further questions about how business litigation may affect your company, contact our team for a consultation. Our friends at Focus Law LA can help guide you in the right direction to protect your business interests.
