{"id":69252,"date":"2014-06-24T13:41:00","date_gmt":"2014-06-24T13:41:00","guid":{"rendered":"https:\/\/0de2709a84.nxcli.net\/0-kjasnb\/2014\/06\/24\/upscales-bernard-bronner-sues-former-rainforest-partners\/"},"modified":"2018-12-18T04:01:59","modified_gmt":"2018-12-18T04:01:59","slug":"upscales-bernard-bronner-sues-former-rainforest-partners","status":"publish","type":"post","link":"https:\/\/www.blackfilm.com\/read\/upscales-bernard-bronner-sues-former-rainforest-partners\/","title":{"rendered":"Upscale’s Bernard Bronner Sues Former Rainforest Partners Will Packer and Rob Hardy"},"content":{"rendered":"

Upscale’s Bernard Bronner Sues Former Rainforest Partners<\/strong>Posted by Wilson Morales<\/p>\n

June 24, 2014<\/p>\n

A Reprint from TheHumorMillMag<\/a><\/p>\n

\"Upscale<\/a>According to EURweb<\/strong>, Bernard Brothers president and CEO Bernard Bronner<\/strong> recently filed a lawsuit against Rainforest Films. The Upscale Magazine publisher is suing Will Packer, Rob Hardy,II, TRF Productions, LLC<\/strong> for inter alia, breaches of fiduciary duty, gross mismanagement, misappropriation of corporate assets, waste of corporate assets and abuse of control.<\/p>\n

Bronner, who invested more than $500,000 to start Rainforest with Packer and Hardy as well as raised more than $250,000 for the company, claims to have received \u201conly a fraction of the initial amount that he invested in Rainforest (and the amounts solely raised from his personal business and social contacts)\u201d despite the fact that Hardy and Packer have made \u201cmillions of dollars\u201d from the success of the company.<\/p>\n

\"Will<\/a>The trio\u2019s business relationship dates back to the year 2000 independent film \u201cTrois<\/a>.\u201d Bronner invested more than $500,000 in the film in exchange for a return on his investment and \u201ca profit\u201d based on \u201cTrois\u2019\u201d performance at the box office. \u201cTrois\u201d ultimately became the film that put Rainforest on the map as it grossed more than $1,200,000.00 in box office receipts and became the fastest African-American distributed film to surpass the $1 million mark.<\/p>\n

The movie\u2019s success paved the way for other successful Rainforest films such as \u201cThe Gospel<\/strong>\u201d ($15,700,000.00 in box office sales), \u201cStomp the Yard<\/strong>\u201d ($75, 500,000.00 ), \u201cThis Christmas<\/strong>\u201d (roughly $50,000,000.00) \u201cObsessed<\/strong>\u201d ($73,800,000.00), \u201cTakers<\/strong>\u201d ($69,000,000.00), \u201cThink Like a Man<\/strong>\u201d ($96,000,000.00 worldwide), \u201cRide Along<\/strong>\u201d (nearly $150,000,000.00) and \u201cAbout Last Nigh<\/strong>t\u201d ($50,000,000.00 in gross receipts as of April 25, 2014)<\/p>\n

\"Rainforest<\/a>Despite the success, Bronner claims there was inner turmoil at Rainforest. According to the suit, the Bronner Bros. Hair Care owner and other \u201cTrois\u201d investors were not fully compensated for their investment, despite the film\u2019s success.<\/p>\n

The suit further states that Bronner was systematically shut out of Rainforest by Hardy and Packer, who Bronner claims assumed control of everyday operations and limited information he received as well as his decision-making authority. Salary increases for Hardy and Packer that were made without Bronner\u2019s knowledge were also noted in the suit as well as unsuccessful attempts by Bronner to obtain financial information for Rainforest. As for his payment, the suit stated that Bronner didn\u2019t receive any payments for 2002, 2004, 2007, 2008 and 2009. When asked about the financial status of Rainforest, Hardy and Packer repeatedly told Bronner that the company, despite its success, was making \u201clittle to no profit.\u201d<\/p>\n

\"Trois\"<\/a>The suit mentioned that despite receiving compensation in 2011, Bronner has yet to recoup his initial capital investment in Rainforest. In addition, Bronner claims that funds from the company were obtained by Packer for personal use and that he did not authorize or approve efforts by Packer and Hardy to dissolve Rainforest in May.<\/p>\n

Bronner alleges in the suit that Hardy and Packer\u2019s conduct was \u201coppressive\u201d and \u201cunfairly prejudicial\u201d to him and Rainforest shareholders. In addition, the executive claims Hardy and Packer committed fraud in withholding financial information as well as \u201cviolated and breached their fiduciary duties of good faith, loyalty, oversight, and supervision.\u201d Other allegations cited in the suit include lack of candor, gross mismanagement, waste of corporate assets, unjust enrichment, abuse of control and misappropriation of corporate assets.<\/p>\n

\"bernard<\/a>Bronner, who is demanding a trial by jury, is seeking judgement against Hardy and Packer for the allegations as well as an award of punitive damages, among other things.<\/p>\n

EUR reached out to Producer Will Packer\u2019s spokesperson for a comment, but as of this posting there has been no response.<\/p>\n

Statement from Will Packer and Rob Hardy:<\/strong><\/p>\n

\"Rainforest<\/a>\u201cThe two of us have been friends for over 20 years and will continue to support each other personally and professionally. Our respective personal careers have taken us in different directions and we have decided it is necessary to dissolve Rainforest Films. Bernard was a valuable supporter at a key time for Rainforest, and we remain grateful for his assistance. We also understand his disappointment about the shareholders majority vote decision to dissolve Rainforest. We wish only the best for Bernard and all the other Rainforest shareholders. When the emotionalism subsides, we hope Bernard will feel the same and realize that his frivolous course of action is personal, misguided and petty.\u201d \u2013 Rob Hardy & Will Packer<\/strong><\/p>\n

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