Producer Darren Bagert Awarded $500,000 Following Elvis Musical Dispute
Forbes has reported that digital production firm Pulse Evolution was order by a federal court to pay $524,196 to Broadway producer Darren Bagert for breaching their deal to develop a new musical about rock and roll king Elvis Presley.
Pulse Evolution, which specializes in making lifelike holograms, had acquired the rights to create a virtual version of Presley from the estate, and brought on Bagert to oversee the project, projected to cost between $15-25 million. In the agreement, Bagert had to "assemble a creative team, build a budget, and attend meetings with potential investors" in exchange for a production fee and 200,000 shares of its common stock.
However, Forbes reported that after Bagert fulfilled his side of the deal, Pulse Evolution announced a new partnership with American Idol's Simon Fuller. Fuller, who was now the largest shareholder of Pulse Evolution, would also join the team in developing the Elvis musical.
Bagert did continue to work on the project behind the scenes until last October, when he had enough and decided to bring Pulse Evolution to arbitration, claiming he was never paid and that the share he received were all restricted stocks.
John Trexler, founder of Pulse Evolution, "chose not to defend the matter in arbitration, as the arbitrator was clearly not suited to preside over securities matters." No one from Pulse Evolution showed up to the hearing, and the arbitrator awarded Bagert over $500,000, finding that the agreement was breached.
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