Jerry Dickerson Presents, Inc. v. Concert/Southern Chastain Promotions

579 S.E.2d 761, 260 Ga. App. 316, 2003 Fulton County D. Rep. 1006, 2003 Ga. App. LEXIS 355
CourtCourt of Appeals of Georgia
DecidedMarch 14, 2003
DocketA03A0680
StatusPublished
Cited by17 cases

This text of 579 S.E.2d 761 (Jerry Dickerson Presents, Inc. v. Concert/Southern Chastain Promotions) is published on Counsel Stack Legal Research, covering Court of Appeals of Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Jerry Dickerson Presents, Inc. v. Concert/Southern Chastain Promotions, 579 S.E.2d 761, 260 Ga. App. 316, 2003 Fulton County D. Rep. 1006, 2003 Ga. App. LEXIS 355 (Ga. Ct. App. 2003).

Opinion

Eldridge, Judge.

This case asks us to examine, inter alia, whether a “joint venture” entered into by two separate businesses for purposes of meeting the City of Atlanta minority business enterprise (“MBE”) criteria formed a legal “partnership.” Because the facts of record do not demonstrate that a partnership relationship existed between the two businesses, we answer in the negative.

Named-defendants Alex Cooley, Peter Conlon, and Stephen Selig III are partners in the business of promoting music events in various venues in and around Atlanta; they formed several corporations in furtherance thereof, including named-defendants High Cotton, Inc. (“HCI”) and Southern Promotions, Inc. (“SPI”). In the late 1980s, HCI and SPI created a Georgia joint venture, named-defendant Concert/ Southern Chastain Promotions (“C/S”), for the purposes of promoting and presenting live performance concerts at Chastain Park Amphitheater (“Chastain”) owned by the City of Atlanta (the “City”). Jerry Dickerson Presents, Inc. (“Dickerson”), a minority-owned concert promotion business, was not a party in C/S.

On December 21, 1990, C/S and named-defendant Robert W. Woodruff Arts Center d/b/a named-defendant Atlanta Symphony Orchestra (the “Symphony”) formed Chastain Ventures (“Ventures”) through a “Joint Venture Agreement” (the “Agreement”) for the “limited purposes of entering into a contractual arrangement with the City of Atlanta . . . for a lease ... of the facilities at Chastain, subleasing the use of Chastain on certain dates ... to promoters.” In the Agreement, the Symphony and C/S contracted to share all liabilities and profits. The Agreement also states that the Symphony and C/S,

agree that they will use their best efforts to ensure that the Joint Venture complies with the requirements of Article M, Minority and Female Business Enterprises ... or any other minority business participation program which may subsequently be adopted by the City of Atlanta and the goals set forth in the Lease, with respect to the production and promotion of Event Dates by minority business enterprises.

In furtherance thereof, the Agreement states that,

[r]ental payments for the use of Event Dates . . . that are subsequently contracted with respect to by [C/S] and a minority business enterprise . . . shall be the same as charged to [the Symphony and C/S].

Dickerson was not a party to the Agreement.

*317 That same day, December 21, 1990, Ventures entered into a ten-year lease (the “Lease”) with the City, running from January 1, 1991, through December 21, 2000, and including an option to renew. By the terms of the Lease, Ventures agreed to,

endeavor to sublease thirty-five percent (35%) of the available event-dates ... to qualified minority business enterprise promoters. The City will identify those qualified minority business enterprises with which Ventures will endeavor to meet these goals. 1

Dickerson was not a party to the Lease or mentioned therein.

Several days later, on January 18,1991, Ventures and Dickerson entered into an “Agreement to Sublease” (the “Sublease”) in order to facilitate the goal to sublease 35 percent of the available Chastain event dates to minority-owned businesses. The Sublease specifically stated that its initial term was to commence on February 1, 1991, and end five years later, with the option for one five-year extension. The terms of the Sublease permitted Dickerson to sublet from C/S 13 event dates at Chastain (“Dickerson Dates”). The Sublease states,

The purpose of this Agreement shall be to provide the basic terms and conditions upon which Dickerson will sublease the Dickerson Dates and Dickerson will promote and produce events on the Dickerson Dates, at Chastain, in compliance with the intent of . . . the provisions of the Lease regarding minority participation.

The Sublease also provides that Dickerson could enter into an arrangement to “co-promote” the Dickerson Dates with C/S, thereby creating “Dickerson-C/S Association Dates” (“Association Dates”). In the event of such co-promotion arrangement, Dickerson would pay no rental fee for the Dickerson Dates but would, instead, receive payment for the sublease of the Dickerson Dates to C/S. Also, in the event of such co-promotion arrangement, Dickerson would have no liability for debts and expenses; while, in the absence of such arrangement, “[a]ll liabilities, debts, expenses, losses, and payments incurred in connection with promoting and producing of events on each of the Dickerson Dates . . . shall be the responsibility of Dicker *318 son.” Thereafter, the terms of the Sublease created an “exclusivity” clause wherein Dickerson agreed that,

it will not contract with any promoter other than [C/S] .... and Ventures agrees that it will not contract with any other minority business enterprise regarding the promotion and production of events held on the Dickerson Dates.

The Sublease also contained a nontransfer provision wherein,

Neither Ventures nor Dickerson shall have the right to assign, convey, exchange, sell ... or otherwise transfer in any way all or any part of its interest in this [Sublease] without the prior written consent of the other party. Any purported transfer of an interest in this [Sublease] shall be null and void and have no effect whatsoever.

Additionally, the Sublease stated that, “No joint venture is to be created or implied by the existence of this Agreement.” The Sublease is the only contract between Ventures and Dickerson and “constitutes the entire agreement of the parties.”

Reflecting the Sublease’s exclusive co-promotion arrangement with C/S, Dickerson and C/S contemporaneously executed a “Promotion and Consulting Agreement” (“PC Agreement”). The PC Agreement was to run for the term of the Sublease. Pursuant to the PC Agreement, C/S was allowed to sublet the Dickerson Dates from Dickerson in exchange for 35 percent of the net profits received from such dates — but only up to an annual aggregate of $70,000. In the PC Agreement, Dickerson was to assist C/S in the co-promotion and production of concerts and other events held on the Association Dates; however, the terms of the PC Agreement were clear that,

[C/S] shall be the managing promoter of all of the events held on the Concert/Southern-Dickerson Association Dates, and all promotion and production activities carried on by Dickerson shall be at the direction, and subject to the prior written approval of Concert/Southern.

In addition, under the terms of the PC Agreement: (a) C/S was entitled to all of the revenues generated from the Dickerson Dates, excluding the $70,000 fee therefor; (b) all expenses, losses, and debts incurred through promotion and production of the Association Dates were the responsibility of C/S to be subtracted from revenues; and (c) neither party was to be liable for the indebtedness or obligations of the other. The PC Agreement also stated that, “No joint venture is to be created or implied by the existence of this Agreement” and that *319

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Bluebook (online)
579 S.E.2d 761, 260 Ga. App. 316, 2003 Fulton County D. Rep. 1006, 2003 Ga. App. LEXIS 355, Counsel Stack Legal Research, https://law.counselstack.com/opinion/jerry-dickerson-presents-inc-v-concertsouthern-chastain-promotions-gactapp-2003.