What happens when a 50-50 owner partnership in your media properties turns sour?
Just ask Charles L. Jordan III and Tim Walker of Mason, Texas.
Jordan has accused Walker of embezzling funds through what Jordan calls his wholly owned LLC — III&W Broadcasting.
Walker counters that he’s a 50% owner of the company, which operates two FMs in Hill Country.
How did the matter get resolved?
Louisiana-based attorney Mark Balkin, of Hardy, Carey, Chautin & Balkin LLP, is to thank for mediation, thus avoiding a prolonged legal battle.
III&W Broadcasting is the licensee of Class C2 KHLB-FM 102.5 and Class C3 simulcast partner KZZM-FM 101.7. Both stations are licensed to the Texas town of Mason, located to the west of Austin.
According to Walker, he and Jordan share ownership of the stations. Jordan denies this, and further states Walker has been stealing money from III&W.
Interesting, the III&W name clearly represents Jordan and Walker — something that could have been brought up litigation, had this matter gone to court.
That won’t happen, as a legally binding settlement agreement that absolves Jordan of any liability has finally been submitted to the FCC. This agreement, which officially transfers Walker’s confirmed 50% ownership in III&W to Jordan, was originally codified in November 2015. However, it was not notarized until March 1, 2016 and was not filed with the FCC until this week.
III&W became the owner of KHLB and KZZM in September 2013. As noted at the time of the station’s $80,000 purchase from Munbilla Broadcasting, both Jordan and Walker were listed as co-owners in the asset purchase agreement submitted in a Form 314 with the Commission.