Thursday, August 05, 2010

All I need now is some legal worries...

Ugh - this whole dissolving a company thing is for the birds. For one we're not really *dissolving* it - we're just laying off all the employees & hoping that we can still sell our film in the coming months. The second sucky thing is that our investor (well, the financial dept) changed the structure of their funding from "investment" to "interest bearing loan" without ever telling us....which obviously doesn't legally change things unless we agree. And therein lies the problem. How do you bite the hand that has been SO generous to you over the past 3 years - allowing you to create, make your schedule, fulfill a dream while at the same time not getting screwed over? If we had been told additional monies were a loan at the time of the change, we probably would've done things differently - like, negotiated a better interest rate, talked to a banker, a lawyer, etc. I am not personally liable for anything but our company is & if we choose to go forward & make films with other investors in the future, this *new* old agreement would mean we'd have to pay old "investments" back first...which pretty much kills any chance of having new investors.

Part of me is so angry that we were handed post-dated (by a year & a half) Promissory Notes making this change & are just supposed to accept it! What? You can't just *do* that when you're running a business. It's not legal. And with no explanation it really makes the two partners (Jason & myself) feel pretty uneasy.

And I personally feel bad. I mean, we explained everything how we saw it - 100% honestly, truthfully, bared to the bone and the response we got back was full of vitriol & great "disappointment." What? This is why I have no backbone & cannot stand any sort of confrontation. I FEEEEEL bad. I want to curl up & die because I don't want people to not like me, be mad at me, etc (even though I have done nothing wrong - this is how you get screwed over in life - why do I know this & it still hurts?).

Most of me just wants to wash my hands of all of it...unfortunately it is not that easy.


Odie Langley said...

Really sorry you have hit this bump in the road. Hope you find a way to get through it without too much pain. Thinking kind thoughts of you and yours.

feisty said...

it sounds extremely complicated and frustrating and confusing. sorry, man, that sucks.

Meigan said...

I really want to wring your *finance department's* neck right now. Seriously!!!!!!!!!! That is so so so wrong!!!

And I see what a tough position you are in. I am so sorry to hear this. Do you have some legal guidance on your side of this?


Kate said...

Get some legal guidance. That's really all you can do. And being upfront and honest is the best you can do. Laying down and "taking it" is not really an option in the business world. I know you hate it. I know it. I'm the same way. But get a lawyer and let them have the hard conversations. That's what you pay them for.

Cello Mama said...

I'm sorry this has happened, but my two cents - BITE THAT DAMN HAND. He's being underhanded and it's not legal. If you did not sign anything agreeing to terms of a loan, you are NOT legally obligated to pay on it. Period. You need to hold your ground now - or he will just keep pushing that issue.

You are not being ungrateful. You are responding to his unethical business practices. It's possible to do that in an assertive yet polite way, to start. But he thinks he can just pull this over on you to fix his financial situation and you need to make sure he knows you are no easy meat. You need to make clear to him that you will not stand for this, and perhaps this will just go away without needing to spend thousands on attorney fees.

If that doesn't work, get a lawyer and do not have interactions with this guy again without attorney involvement. He has broken faith with you, and should not be trusted from this point forward.

Sorry for the "yelling", but I'm just so totally pissed off on your behalf right now I can't help it.