Embattled Doomsdayers take another blow

[The Snout]

Well that's my headline anyway. I saw this at other places, didn't see this posted here so here you have it. Seems No Show Joe and CART have kissed and made up.


INDIANAPOLIS - August 20, 2003 - Championship Auto Racing Teams, Inc. ("CART") and Joseph F. Heitzler ("Heitzler") announced today that they have amicably resolved all of their legal disputes.
Heitzler is the former President, Chief Executive Officer and Chairman of the Board of Directors of CART and is currently the President and Chief Executive Officer of Grand, the promoter of two CART-sanctioned races in Mexico. According to CART's President and Chief Executive Officer Christopher Pook, CART looks forward to working with Heitzler and Grand in the future.

http://www.cart.com/News/Article.asp?ID=6869

[¡As-de-mim!]

Good news

[noise boy 2]

It was amicably resolved by paying Heitzler a large sum of money, not that they suddenly agreed that it was just a misunderstanding. Robert

[The Snout]

By hook or crook he's out of the way. Another tick on the to do list.

[Jay]

What had to happen, happened... next!

[Muzza]

Erm... Will anyone miss Heitzler?

What a clown.

[Kurt Maxwell]

Embattled Doomsdayers- Action sets sold separately-available only from the Indy Racing League.

Now CART can focus on what is important- keeping the SEC from their appointed tasks.

[indycool]

Well, Forrest Bond reported that the settlement was allegedly around $2 million, so add that to the "pookie" settlement claims out of shareholders' money for screwups, like Judd's $1.75 million. Then read the release and see that Heitzler is top executive of Forsythe's Mexico racing interests. Then take in the fact that former CART CFO Randy Dzierzawski is also in Forsythe's tent. Then take in the speculation of Forsythe owning the series and re-installing Heitzler as the big boy. Tell me how you like it.

[The Snout]

Originally posted by indycool
Well, Forrest Bond reported that the settlement was allegedly around $2 million, so add that to the "pookie" settlement claims out of shareholders' money for screwups, like Judd's $1.75 million. Then read the release and see that Heitzler is top executive of Forsythe's Mexico racing interests. Then take in the fact that former CART CFO Randy Dzierzawski is also in Forsythe's tent. Then take in the speculation of Forsythe owning the series and re-installing Heitzler as the big boy. Tell me how you like it.

Creative yes. Speculative definitely. Cigar, hmmmm, not yet.

[The Snout]

We missed any outstanding lawsuits or is that it ?
Operative word is outstanding.

[Flatspot]

Settled is settled. Indycool, blaming the Heitzler situation on Pook is absurd. First, Pook was hired to replace Heitzler, a decision that was made before Pook was even approached and a move which was precipitated primarily by Vaninni. Second, I don't beleive Pook has the authority to make such a settlement without board approval. Finally, the letter of intent from Open Wheel requires that all ongoing arbitration and litigation be settled prior to making the transaction. Pook and the BOD are doing the things necessary to get the job done. Heitzler being partnered with Forsythe in Mexico is ancient news.

I think the thread is aptly named.

[macdaddy]

As Flatspot made note that "all ongoing arbitration and litigation be settled prior to making the transaction," it got me to wondering...

Have the legal issues with Texas Speedway been resolved? My memory needs refreshing.

[The Snout]

Originally posted by macdaddy
As Flatspot made note that "all ongoing arbitration and litigation be settled prior to making the transaction," it got me to wondering...

Have the legal issues with Texas Speedway been resolved? My memory needs refreshing.

Well I pinched some more from elsewhere. Seems Texas TV and most the other actions have been settled for months. Haven't check what else is left.

Also, the recent SEC 10Q statement said CART also settled with Judd, Della Penna, PPI and ESPN.. Litigation expense was $1.4 million for the quarter ended June 30, 2003. This expense was partially attributable to an arbitration settlement of $1.75 million paid to Engine Developments Ltd., in a breach of contract case over a contract to purchase engines, a settlement of a breach of contract suit filed by two former team owners, DellaPenna Motorsports and Precision Preparation, Inc., and settlement of contract disputes with ESPN television over the canceled Texas Motor Speedway race. The expenses were partially offset by receipt of $1.0 million from proceeds received from a bankruptcy settlement regarding claims filed against EuroSpeedway Lausitz for loss of sanction fees and other damages that occurred when the 2002 event was canceled as a result of the bankruptcy of the promoter.

So as Pookie would say, there seems to be a lot less sh1t left in the house.

[macdaddy]

Thanks, Snout.

Now I remember about John Della Penna and PPI both filing lawsuits, but what were they about? (I know... I'm full of questions tonight). Breach of contract?

[The Snout]

Originally posted by macdaddy
Thanks, Snout.

Now I remember about John Della Penna and PPI both filing lawsuits, but what were they about? (I know... I'm full of questions tonight). Breach of contract?

Actually Macdaddy I was just thinking you must be up late over there, was thinking the kids may be giving you a rough night. In this game you get used to seeing certain members at certain times.

From memory I think the suits were about engine supply to them and how Toyota or Honda can't remember were supposed to be able to supply engines but they couldn't, hence Della Penna had to bail. I've probably ballsed up the explaination and I'm probably a little off but basically cause CART's rules say they had a right to engines but they couldn't get them they could file against CART. Indycool, make yourself useful and help me here.

[macdaddy]

Again... Thanks.

Amd yes, it is quite late here. (Or early). I often don't get home from work until 3-4am. But thankfully the kids are sleeping!

[The Snout]

No problem. In my earlier years I used to work in a Bakery, so I know what it's like to get home and flake out after a nights hard yakka (Translation from Australian to English, yakka = work.) Take it easy

[indycool]

Snout, macdaddy, my memory's a bit hazy on this but the Della Penna and PPI suits were over CART franchises they were unable to acquire through whatever motion and politics were taking place at the time. According to the 10Q, their suits were settled in May for a total of $400,000. It was a breach of contract-type thing.
Flatspot, Pook is partially to blame because of his public comments about Heitzler after he took office. That's where the libel/slander part of Heitzler suit came from and had to be significant in the settlement. That said, I'm not a Pook fan from all his public comments and my view may be colored by that.

[Liz]

Originally posted by Kurt Maxwell
Embattled Doomsdayers- Action sets sold separately-available only from the Indy Racing League.

Don't miss your chance to get a copy of the Limited Edition Release of Paul Tracy winning the IRL 500 while Embattled Doomsayer Castroneves Action Figure bleats "He passed me under yellow!" when hit on the head with massive Fist of Doom.

Action figure of Tony George comes with beaded purse loaded with bricks; spangle shoes sold separately.

[¡As-de-mim!]

Dow Jones Business News
Championship Auto/Biggs: Follows Walker Resignation
Thursday August 21, 2:40 pm ET
INDIANAPOLIS (Dow Jones)--One of Championship Auto Racing Teams Inc.'s directors, Robert D. Biggs, resigned from the board, citing personal circumstances.
A CART spokeswoman said the company is not making any comments beyond statments made in recent press releases and filings with the Securities and Exchange Commission (News - Websites).

A proxy filed with the SEC in June said Biggs, 60 years old, was the only new nominee among the eight being recommended for the board.
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This was the new guy brought in for his business acumen.