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Hagar files Cabo Wabo lawsuit: Fresno developer, his company 'devalue' the brand, rocker alleges.(Fresno Bee (CA) Via Acquire Media NewsEdge) Jan. 27--Rocker Sammy Hagar has taken his dispute with Cabo Wabo Fresno developer Milt Barbis to federal court. Hagar's Red Head Inc. has filed a federal lawsuit against Fresno Rock Taco LLC, the Barbis-run company that operated Fresno's Cabo Wabo location at Granite Park from August to December. The suit, filed in late December in U.S. District Court in San Francisco, is seeking an undetermined amount of damages and asks that the court compel Fresno Rock Taco to turn over its financial records. Prior to Hagar's suit, Granite Park as a whole was facing legal action alleging more than $3 million in unpaid bills. "The Fresno Cabo Wabo Cantina is a disaster, as is the entire Granite Park development," reads Red Head Inc.'s suit, which is 79 pages long and lists eight complaints, such as trademark infringement, breach of contract and false advertising. "The mismanagement by defendant and its principal Barbis, their failure to pay employees, vendors, lenders, and even the City of Fresno, and the poor quality of the goods and services they have offered under the Cabo Wabo brand have denigrated and continue to devalue the Cabo Wabo brand and the name and likeness of Sammy Hagar with which the Cabo Wabo brand is inextricably associated." Barbis on Monday declined to comment, saying his first public response to the lawsuit will be a filing in federal court. On Friday, a judge ruled that Fresno Rock Taco has until Feb. 18 to respond to the complaint. Hagar's lawsuit notes that Barbis is not named as a defendant "at this time." But, it adds, Barbis is a member of Rock Taco "and has at all times acted as the manager of Rock Taco and the Fresno Cabo Wabo." The suit further alleges that Fresno Rock Taco hadn't paid royalties the entire time the restaurant was open and that the one check it did send was refused payment. It also says that Barbis diverted revenue from Cabo Wabo toward his other projects at Granite Park and refused access to Cabo Wabo's financial records. The relationship between Hagar and Barbis dissolved publicly in December, when Hagar issued a statement saying he terminated his licensing agreement with Barbis. The lawsuit says the Hagar/Barbis spat started in November, when Hagar's camp notified Fresno Rock Taco it was breaching their agreement. Once the Cabo Wabo relationship ended, Barbis announced plans to merge the Cabo Wabo space with Memphis Blues, the Southern-themed restaurant next door. The Cabo Wabo name was changed to The Barrel Room. The large mural of Hagar has been painted over and the Cabo Wabo sign removed. The new venue attempted to stay open during the change-over, even hosting a well-attended concert with blues star Tommy Castro on Jan. 8. Shortly afterward, it was announced that The Barrel Room would be postponing upcoming concerts with Elvin Bishop and Eddie Money, and the restaurant/venue would be closed indefinitely for remodeling. Hagar's lawsuit is another blow to a project that was to revitalize a neighborhood long ignored in the city's flight to the north. The particulars of Granite Park's vision have changed often over the past decade, but the essence remains unchanged: restaurants and nightspots for every taste in the family, small-scale but unique retailers, recreational options such as amusement rides and athletic fields, and a hotel serving a statewide customer base. To date, only three restaurants are up and running. Since mid-December, three lawsuits have been filed against Barbis or companies he is connected to, alleging he has failed to pay them for goods and services. Many subcontractors have filed mechanic's liens seeking payment for work done at Granite Park. All told, the project faces legal action alleging more than $3 million in unpaid bills. Barbis on Friday said Granite Park is victim of a cash-flow crunch caused in large part by the economic downturn and tight credit markets. He said he is working on a new financing deal that would pay the bills and fund construction of the entire project. The reporters can be reached at [email protected], [email protected], (559)441-6479 or (559) 441-6272. To see more of The Fresno Bee, or to subscribe to the newspaper, go to http://www.fresnobee.com Copyright (c) 2009, The Fresno Bee, Calif. Distributed by McClatchy-Tribune Information Services. For reprints, email [email protected], call 800-374-7985 or 847-635-6550, send a fax to 847-635-6968, or write to The Permissions Group Inc., 1247 Milwaukee Ave., Suite 303, Glenview, IL 60025, USA. |