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December 20, 2003 Coliseum is named defendant in lawsuit An attorney for a former Generals coach says the coliseum is part of a plan to avoid paying a court judgment. BY MATT WILLIAMS Staff Writer 
Jeff Brubaker GREENSBORO - The attorney for former Greensboro Generals coach Jeff Brubaker has asked a judge to add the Greensboro Coliseum Complex as a defendant in a lawsuit to collect $109,752 in back pay from team owners. If approved, the motion would put the city-owned complex in the middle of a two-year battle by Brubaker to collect pay from Generals owners after he was fired in April 2001. Brubaker's attorney, Ervin Brown, said the coliseum has become part of an effort by Generals majority owner Art Donaldson to use a series of financial transactions to avoid paying the court-ordered judgment. The motion also requests that businessmen Don Brady and Bill Black be added as defendants in the suit because they have leased the team from Donaldson. City Attorney Linda Miles said she hadn't received official notice of the motion but would object to the city being added as a defendant in the suit. "I can't see what way the city would be involved in a fight between Jeff Brubaker and Art Donaldson," Miles said. The case stems from a lawsuit filed by Brubaker in 2001 claiming that he was wrongfully fired as coach after leading the minor-league hockey team for two seasons. In January, a jury ruled in favor of Brubaker, awarding Whim. $109,752 for salary he would have earned in the final year of his contract. A judge ordered the Generals' holding company, Greensboro Professional Sports, to pay the judgment, but authorities were unable to collect the money. According to court documents, shortly after Brubaker was fired, Donaldson shifted the responsibility for running the team from Greensboro Professional Sports to another company he owned, Piedmont Professional Sports. Later, Greensboro Professional Sports transferred its ECHL franchise to a third holding company owned by Donaldson, Triad Professional Sports. Because of the transfers, GPS didn't have any assets to pay the court judgment. After learning of the transfers, Brubaker filed a second lawsuit in March naming Donaldson, the three holding companies and minority owners Rocco Scarfone and Allen Steele as defendants and said the transfers were a "subterfuge" to evade responsibility for paying the judgment. Scarfone and Steele have since been dropped as defendants in the suit. The coliseum became involved in June, when Managing Director Matt Brown worked out an agreement where Donaldson's Triad Professional Sports would lease the team to a company headed by Brady and Black called the Generals Brigade. Brady and Black then turned over responsibility for operating the Generals to the coliseum for this season. Under the agreement, the city is responsible for all of the team's expenses and collects all of its revenues. Brady and Black's ownership group has also pledged to contribute $200,000 toward the cost of operating the team. Brubaker's attorney said the transfers to Brady and Black and then to the coliseum further Donaldson's attempt to avoid paying the judgment. In addition, Ervin Brown said the coliseum should be included in the suit because it has a vested interest in the case's outcome. "They are necessary and indispensable parties because they've gotten wrapped up in this," Brown said. Brown said the intent of the suit is to hold Donaldson responsible for paying the judgment, but Brubaker wouldn't object if the coliseum were to take financial responsibility instead. "We won't mind if they pay," Brown said. Black declined to comment on the lawsuit. Brady said he had not received notice of the motion. Matt Brown and Donaldson did not respond to requests for comment. Ervin Brown said if a court rules in Brubaker's favor, a judge could order that the Generals franchise be returned to GPS, where it could be seized to pay the judgment. If that happened, Brady and Black's group could lose its lease of the Generals and the coliseum could not operate the team. According to internal memos, city officials were aware that they were stepping into a legal battle between Donaldson and Brubaker when they were finalizing the takeover of the Generals. In late June, Matt Brown and Donaldson were working out an agreement for the coliseum to buy $66,700 in office and hockey equipment from Triad Professional Sports. City Attorney Linda Miles wrote to Brown and other staffers that Donaldson's company was being sued and that a court could rule that the equipment the city was buying was obtained fraudulently. Donaldson and Scarfone responded by agreeing to repay the city if a court were to seize the equipment from the city. Brubaker said in an interview that it was Matt Brown who recruited him to coach the Generals in 1999 and said at the time, Brown made personnel decisions for the team. Donaldson said in a deposition that either Matt Brown or Brown's brother-in-law James Roscetti brought Brubaker to his attention. At the time, Roscetti was a part-owner of the team with Donaldson. A judge may order a hearing to hear arguments on Ervin Brown's motion. The suit is scheduled to go to trial after the beginning of the year. Contact Matt Williams at 373-7004 or mwilliams@news-record.com GENERALS OWNERSHIP TRANSFERS Greensboro Professional Sports, L.L.C. Owned the Generals' franchise and operated the team from 1998-2001. Art Donaldson is the majority owner. Piedmont Professional Sports, L.L.C. Operated the Generals for the 2001-02 season. Donaldson is the majority owner. Triad Professional Sports, L.L.C. Took over the Generals' franchise and operated the team for the 2002-03 season. Donaldson is the majority owner. Generals Brigade, L.L.C. Leased the Generals from Triad Professional Sports in 2003 for $1. Ownership is led by Don Brady and Bill Black. Greensboro Coliseum Entered into an agreement with Generals Brigade to operate the Generals for the 2003-04 season. The coliseum is owned by the city. |