Arrows not going to USA / Orange think about legal actions

[steve nielsen]

Arrows given the week off & Orange in legal action


Maybe?
By Site correspondents

Yesterday’s lead story quoting ITV’s Ted Kravitz as saying that the team staff are about to be laid off, and the factory closed, has attracted a bit of attention. A number of sources available to this site went digging with this information and came up with three nuggets of gold.


The first comes from a like minded F1 fan site publisher, who favours the Brackley based British American Racing team. She has a number of good contacts within BAR, which has consequently led to more with other teams. In response to yesterdays ‘Factory to close’ headline she says, “An Arrows truckie I asked about this said he hadn’t heard anything about the factory closing at the moment, but no-one is there at the moment and the cars don’t have any engines in them.”

The latter part of this marries up with a forum post reporting that non-essential staff have been given this week off. This has led to forum discussion that the team simply cannot make the trip to the U.S. for the next Grand Prix in two weeks time. There had been suggestions that the team and it’s new American owner were aiming for the Indianapolis event anyway, but the truckie’s view, and the non-essential staff leave news, suggest that the team still have the necessary people on site ready to make the trip. During last week it was revealed here that the team intend to start packing for the trip starting on Friday the 20th - that’s one date this site will keep a close eye on.

Lastly, we move from two items of optimism to one of deep depression. Paddock talk at Monza suggests that title sponsor Orange are far from happy with the team’s behaviour over the last five Grands Prix, and are considering legal action in order claim back some of their sponsorship money.

The reasons behind the move are thought to be that Orange feel that their deal was for the cars and their branded livery to be on show for the entire season. The recent non-appearance of the team at the last three events is said to have angered the mobile communications company’s bosses, who are now considering joining the list of companies filing legal actions against Arrows. It is thought that lawyers for Orange are examining the fine print of the deal to check for such options.

www.allaboutarrows.co.uk

[slicktoast]

By the time the American sugar daddy pays off all the debts and legal suits he'll probably want to get rid of it for a '$ong' to Craig.

[Wrex]

I think we have to face the reality that Arrows is finished. Getting it for a song is no longer an option, the new owner will need to be paid to "buy" the team.

[Armco Bender]

Orange are far from happy with the team’s behaviour over the last five Grands Prix, and are considering legal action in order claim back some of their sponsorship money.

Getting blood out of a stone would be easier.They are flat broke........Gone to join Prost in the Hall of Grand Prix teams that went bust..

[Wrex]

Has Walkinshaws own greed blown it?

He had Craig Pollock (and whatever cash was behind him) interested in the team, and blew him off because he had another 'hot' investor willing to offer a better deal.

Where is it? Has he been tricked? Why would anyone 'purchase' the team now, when in a few weeks it will be worth nothing.

TW, your an idiot.

[Kenny W.]

Does all this change perspective on why Tom Walkinshaw was so eager to jump to PHART?

[Valve Bounce]

The whole thing has become a farce that, for some strange reason, the FIA is reluctant to deal with, preferring to let Arrows die a long lingering slow and painful death. Nobody seems interested in becoming involved in TW's death throes.

Valve

[Maxmil]

Originally posted by Valve Bounce
The whole thing has become a farce that, for some strange reason, the FIA is reluctant to deal with, Valve

I don't see why the FIA should "deal with it" Bounce. That is not their role in the sport. If they stepped in to help Arrows with their debts, there would just be no end to it. Appeals from all the "poor" teams whenever they couldn't pay their bills, etc., etc. I have no problem if Bernie either as an individual or as FOM extends financial assistance or whatever to help a struggling team, but I would not like to see the FIA get involved in the business side of F1. They have enough trouble tending their own garden already.

[Super Tourer]

You could argue that by doing nothing the FIA are not improving Arrow's situation - why?

Craig Pollock offered the opinion that concluding a sale with Arrow's is a difficult task because you are not exactly sure what you are buying. If the FIA made a ruling that Arrow's faced no sanction from the FIA, potential buyers would know that any FIA benefits and entry right's would remain with the team.

As long as the FIA maintain a wait and see policy, there will always be the feeling that buyers could end up with more of a white elephant than the team is already.

The FIA is waiting to see if Arrow's is, or has been insolvent, as opposed to the 'force majeure' situation it has used to miss races. One legal expert has pointed out that the fact that Arrow's has not paid it's staff or suppliers, does not neccesarily make it insolvent - it may chose not to pay these sums out whilst in negotiation for a sale, leaving these as liabilities to be met by the new buyer.

Whether there is a buyer or not - who know's. I don't think we will see Arrows hit the track again this year, then it's down to the legal people and FIA to establish the true position.

Perhaps what the FIA should do is issue Arrow's with an ultimatum, for example, if they don't provide the FIA with proof that they were not insolvent during the races they missed, by a deadline of the end of October, they will assume that they have no proof, were trading insolvently and therefore are excluded from the championship - maybe at the very least it may force either TW's or any potential buyers hand.

[RWC]

Arrows is now dead.
The owner won't even know what they owe when they buy it-and would they trust TW to tell them??
Let's face it,because there are more places available than teams to fill them,then arrows has absolutaly ZERO name value.You'd get far more promo value by starting a team from scratch.The workfrce are worth something?Yes! But not now--the well drilled team has allready lost it's best.

I once hoped the best for these underdogs,but TW's deceptive,crooked dealings have soured the whole
experience

No,arrows is dead and good riddance i say!!!!!