Michigan Showboat Company Files for Chapter 7 Bankruptcy Relief
Tap to Call - (877) 250-8242

Michigan Showboat Company Files for Chapter 7 Bankruptcy Relief

August 13, 2013

By

Share this article

SHARE

 

Just a few weeks after cancelling an annual concert 24 hours before it was supposed to start, the leaders of Michigan’s Chesaning Showboat Music Festival have filed for Chapter 7 bankruptcy, according to a report from the Bay City Times.

The president of the company, Scott Hewitt, filed for bankruptcy in U.S. District Court in Bay City. The festival’s petition says it has less than $100,000 in assets, but more than $250,000 in debts, according to sources.

In recent years, a wave of performance companies have filed for bankruptcy, including orchestras, theater groups, musical theaters, and similar operations.

After the recession struck, consumers reduced their spending on entertainment, which put a serious debt in the total revenues of entertainment companies across the country, many of which had to find solutions for debt relief.

The Showboat Music Festival was no exception. According to Hewitt, who responded to reporters through a written statement, the "largest contributor to the shows' cancellation was the lack of ticket sales."

The first sign that the festival was in trouble was when it cancelled its event on July 15. Sources say the event was supposed to feature KC and the Sunshine Band, the Charlie Daniels Band, Bret Michaels, and Theory of a Dead Man.

But on the day before the event, organizers were forced to cancel it due to low ticket sales, and the Showboat Music Festival now owes a significant amount of money to several different people.

Most notably, the four bands scheduled to appear are all listed as creditors in the festival’s bankruptcy filing, and they may be collectively owed tens of thousands of dollars, according to reports.

Sources note that the company already paid $25,000 to the agency representing Bret Michaels, but that it still owes the musician and former reality television star $35,000.

In addition, the festival still owes roughly $20,000 to the members of Theory of a Deadman, as well as KC and the Sunshine Band and the Charlie Daniels Band.

Finally, the music festival is also looking to discharge a $50,000 debt owed to Star Tickets, a Michigan-based outfit that served as the ticketing agent for the summer festival and has already filed a lawsuit against Hewitt and the company.


Back to Newspaper Home


Tap to Call - (877) 250-8242

Copyright © 2018 MH Sub I, LLC. All rights reserved. ® Self-help services may not be permitted in all states. The information provided on this site is not legal advice, does not constitute a lawyer referral service, and no attorney-client or confidential relationship is or will be formed by use of the site. The attorney listings on this site are paid attorney advertising. In some states, the information on this website may be considered a lawyer referral service. Please reference the Terms of Use and the Supplemental Terms for specific information related to your state.Your use of this website constitutes acceptance of the "Terms & Conditions", "Supplemental Terms", "Privacy Policy" and "Cookie Policy."