INDEX NO. 651539/2019 FILED: NEW YORK COUNTY CLERK 03/13/2019 06:52 PM NYSCEF DOC. NO. 1 RECEIVED NYSCEF: 03/14/2019 S UP R E M E C O U RT OF T H E ST AT E OF N E W Y O R K C O U N T Y O F N e w Y or k I n d e x N o. C H RI S T O P H E R F E H N Pl ai ntiff( s), Su m mons - a g ai n stSli p k n ot, I n c or p or at e d; Sli p k n ot, I n c or p or at e d; K n ot M er c h L L C; S K Pr o d u cti o n s, L L C; S K T o uri n g, I n c.; K n ot T o uri n g L L C; R o b S h or e & A s s o ci at e s, I n c.; Mi c h a el S h a w n Cr a h a n p/ h/ a " Cl o w n"; C or e y T a yl or; a n d R o b ert S h or e, D at e I n d e x N o. P u r c h a s e d: D ef e n d a nt( s). T o t h e a b o v e n a m e d D ef e n d a nt( s) Sli p k n ot, I n c or p or at e d; Sli p k n ot, I n c or p or at e d; K n ot M er c h L L C; S K Pr o d u cti o n s, L L C; S K T o uri n g, I n c.; K n ot T o uri n g L L C; R o b S h or e & A s s o ci at e s, I n c.; Mi c h a el S h a w n Cr a h a n p/ h/ a " Cl o w n"; C or e y T a yl or; a n d R o b ert S h or e, Y o u a r e h e r e b y s u m m o n e d t o a n s w e r t h e c o m pl ai nt i n t hi s a cti o n a n d t o s e r v e a c o p y of y o u r a n s w e r, o r, if t h e c o m pl ai nt i s n ot s e r v e d wit h t hi s s u m m o n s, t o s e r v e a n oti c e of a p p e a r a n c e, o n t h e Pl ai ntiff' s att o r n e y wit hi n 2 0 d a y s aft e r t h e s e r vi c e of t hi s s u m m o n s, e x cl u si v e of t h e d a y of s e r v i c e ( o r wit hi n 3 0 d a y s aft e r t h e s e r vi c e i s c o m pl et e if t hi s s u m m o n s i s n ot p e r s o n all y d eli v e r e d t o y o u wit hi n t h e St at e of N e w Y o r k); a n d i n c a s e of y o u r f ail u r e t o a p p e a r o r a n s w e r, j u d g m e nt will b e t a k e n a g ai n st y o u b y d ef a ult f o r t h e r eli ef d e m a n d e d i n t h e c o m pl ai nt. T h e b a si s of v e n u e i s D ef e n d a nt s' r e si d e n c e w hi c h i s 2 3 2 M a di s o n A v e n u e, M e z z a n e, N e w Y or k, N Y 1 0 0 1 6 D at e d: , N e w Y or k Cit y, N Y M ar c h 1 3, 2 0 1 9 S RI P L A W b y _ /s/ _ _ _J_os_ _e _p _h _ _A._ _D_u_n_n_e_ _ _ _ _ _ _ _ _ J o s e p h A. D u n n e Att or n e ys f or Pl ai ntiff C H RI S T O P H E R F E H N 1 2 5 M ai d e n L a n e S uit e 5 C N e w Y or k, N Y 1 0 0 3 8 5 6 1. 4 0 4. 4 3 5 0 - M ai n 9 2 9. 2 0 0. 8 4 4 6 - Dir e ct j o s e p h. d u n n e @ sri pl a w. c o m 1 of 15 FILED: NEW YORK COUNTY CLERK 03/13/2019 06:52 PM NYSCEF DOC. NO. 1 INDEX NO. 651539/2019 RECEIVED NYSCEF: 03/14/2019 S UP RE ME C O U RT OF T HE ST ATE OF NE W Y O R K C O U NT Y OF NE W Y O R K I N D E X N O.: C H RI S T O P H E R F E H N , Pl ai ntiff , v. S LI P K N O T, I N C O R P O R A T E D, a N e w Y or k c or p or ati o n; S LI P K N O T, I N C O R P O R A T E D, a C alif or ni a c or p or a ti o n; K N O T M E R C H L L C, a D el a w ar e c or p or ati o n; S K P R O D U C TI O N S, L L C, a N e w Y or k li mit e d li a bilit y c o m p a n y; S K T O U RI N G, I N C., a D el a w ar e c or p or ati o n; K N O T T O U RI N G L L C; a D el a w ar e li mit e d li a bilit y c o m p a n y; R O B S H O R E & A S S O CI A T E S , I N C., a N e w Y or k c or p or ati o n; MI C H A E L S H A W N C R A H A N p / k/ a “ C L O W N ”; C O R E Y T A Y L O R; a n d R O B E R T S H O R E; D ef e n d a nt s. C O M P L AI N T Pl ai ntiff C H RI S T O P H E R F E H N, b y a n d t hr o u g h his u n d ersi g n e d c o u ns el, bri n g t his C o m pl ai nt a g ai nst D ef e n d a nt s, S LI P K N O T, I N C O R P O R A T E D, a N e w Y or k c or p or ati o n; S LI P K N O T, I N C O R P O R A T E D, a C alif or ni a c or p or ati o n; K N O T M E R C H L L C, a D el a w ar e c or p or ati o n; S K P R O D U C TI O N S, L L C, a N e w Y or k li mit e d li a bilit y c o m p a n y; S K T O U RI N G, I N C., a D el a w ar e c or p or ati o n; K N O T T O U RI N G L L C; a D el a w ar e li mit e d li a bilit y c o m p a n y; R O B S H O R E & A S S O CI A T E S , I N C., a N e w Y or k c or p or ati o n; MI C H A E L S H A W N C R A H A N p / k/ a “ C L O W N ”; C O R E Y T A Y L O R; a n d R O B E R T S H O R E, f or d a m a g es a n d e q uit a bl e r eli ef , a n d i n s u p p ort t h er ef or st at es as f oll o ws: S RI P L A W 1 2 5 M AI D E N L A N E , S UI T E 5 C N E W Y O R K ,N Y 10038 2 of 15 INDEX NO. 651539/2019 FILED: NEW YORK COUNTY CLERK 03/13/2019 06:52 PM NYSCEF DOC. NO. 1 RECEIVED NYSCEF: 03/14/2019 J U RI S DI C TI O N A N D V E N U E 1. T h e N e w Y or k S u pr e m e C o urt h as S u bj e ct M att er j uris di cti o n o v er t his a cti o n as t h e c o urt wit h ori gi n al g e n er al j uris di cti o n o v er ci vil dis p ut es i n N e w Y or k st at e. 2. T h e c o urt h as p ers o n al j uris di cti o n o v er t h e d ef e n d a nts p urs u a nt t o N Y C P L R § 3 0 1 i n t h at all D ef e n d a nts m ai nt ai n a pri n ci p al pl a c e of b usi n ess i n N e w Y or k, l o c at e d at 2 3 2 M a dis o n A v e n u e, M e z z a ni n e, N e w Y or k, N Y 1 0 0 1 6. A d diti o n all y, t h e c o urt h as p ers o n al j uris di cti o n o v er t h e d ef e n d a nts p urs u a nt t o N Y C P L R § 3 0 2 i n t h at all D ef e nd a nts s yst e m ati c all y e n g a g e i n b usi n ess a cti viti es, i n cl u di n g a d v ertisi n g a n d s elli n g m er c h a n dis e a n d e n g a gi n g i n c o m m er ci al a cti viti es r el at e d t o li v e p erf or m a n c e s i n N e w Y or k st at e, i n cl u di n g t h e b usi n ess a cti vit y a n d c o ntr a cts t h at gi v e ris e t o t h e c urr e nt dis p ut e. 3. V e n u e is pr o p er p urs u a nt t o N Y C P L R § 5 0 3 i n t h at all D ef e n d a nts m ai nt ai n a pri n ci p al pl a c e of b usi n ess i n N e w Y or k c o u nt y, l o c at e d at 2 3 2 M a dis o n A v e n u e, M e z z a ni n e, N e w Y or k, N Y 1 0 0 1 6. P A R TI E S 4. C hrist o p h er F e h n is a citi z e n of t h e st at e of Mi c hi g a n. 5. D ef e n d a nt S LI P K N O T, I N C O R P O R A T E D, a N e w Y or k c or p or ati o n ( “ S LI P K N O T N Y ”), m ai nt ai ns its pri n ci p al pl a c e of b usi n ess at 2 3 2 M a dis o n A v e n u e, M e z z a ni n e, N e w Y or k, N Y 1 0 0 1 6, a n d h as d esi g n at e d P A R A C O R P I N C O R P O R A T E D , as its a g e nt f or s er vi c e of pr o c ess, at 2 8 0 4 G at e w a y O a ks Dri v e # 1 0 0, S a cr a m e nt o, C A 9 5 8 3 3. 6. D ef e n d a nt S LI P K N O T, I N C O R P O R A T E D, a C alif or ni a c or p or ati o n ( “ S LI P K N O T C A ”), m ai nt ai ns its pri n ci p al pl a c e of b usi n ess at 2 3 2 M a dis o n A v e n u e, M e z z a ni n e, N e w Y or k, N Y 1 0 0 1 6, a n d h as d esi g n at e d C or p or ati o n S er vi c e C o m p a n y i n C alif or ni a as its a g e nt f or s er vi c e of pr o c ess. 2 S RI P L A W 1 2 5 M AI D E N L A N E , S UI T E 5 C N E W Y O R K ,N Y 10038 3 of 15 FILED: NEW YORK COUNTY CLERK 03/13/2019 06:52 PM NYSCEF DOC. NO. 1 7. INDEX NO. 651539/2019 RECEIVED NYSCEF: 03/14/2019 D ef e n d a nt K N O T M E R C H L L C, a D el a w ar e c or p or ati o n ( “ K N O T M E R C H ”), m ai nt ai ns its pri n ci p al pl a c e of b usi n ess at 2 3 2 M a dis o n A v e n u e, M e z z a ni n e, N e w Y or k, N Y 1 0 0 1 6, a n d h as d esi g n at e d C or p or ati o n S er vi c e C o m p a n y, 2 5 1 Littl e F alls Dri v e, Wil mi n gt o n, D E 1 9 8 0 8 as its a g e nt f or s er vi c e of pr o c ess. 8. D ef e n d a nt S K P R O D U C TI O N S, L L C, a N e w Y or k li mit e d li a bilit y c o m p a n y ( “ S K P R O D U C TI O N S ”), m ai nt ai ns its pri n ci p al pl a c e of b usi n ess at 2 3 2 M a dis o n A v e n u e, M e z z a ni n e, N e w Y or k, N Y 1 0 0 1 6, a n d h as d esi g n at e d E S T E N B A U M D A N N E N B E R G & K L EI N, L L P , 1 8 3 M a dis o n A v e n u e, 1 9t h Fl o or, N e w Y or k, N Y 1 0 0 1 6 as its a g e nt f or s er vi c e of pr o c ess. 9. D ef e n d a nt S K T O U RI N G, I N C., a D el a w ar e C or p or ati o n ( “ S K T O U RI N G ”), m ai nt ai ns its pri n ci p al pl a c e of b usi n ess at 2 3 2 M a dis o n A v e n u e, M e z z a ni n e, N e w Y or k, N Y 1 0 0 1 6, a n d h as d esi g n at e d U NI T E D C O R P O R A T E S E R VI C E S, I N C., 8 7 4 W al k er R d, St e C, D o v er, D E 1 9 9 0 4 as its a g e nt f or s er vi c e of pr o c ess. 1 0. K N O T T O U RI N G L L C, a D el a w ar e C or p or ati o n ( “ K N O T T O U RI N G ”), m ai nt ai ns its pri n ci p al pl a c e of b usi n ess at 2 3 2 M a dis o n A v e n u e, M e z z a ni n e, N e w Y or k, N Y 1 0 0 1 6, a n d h as d esi g n at e d C or p or ati o n S er vi c e C o m p a n y, 2 5 1 Littl e F alls Dri v e, Wil mi n gt o n, D E 1 9 8 0 8 as its a g e nt f or s er vi c e of pr o c ess. 1 1. R O B S H O R E & A S S O CI A T E S , I N C., a N e w Y or k c or p or ati o n ( “ R S A ”), m ai nt ai ns its pri n ci p al pl a c e of b usi n ess at 2 3 2 M a dis o n A v e n u e, M e z z a ni n e, N e w Y or k, N Y 1 0 0 1 6, a n d h as d esi g n at e d C O R P O R A TI O N S E R V I C E C O M P A N Y, 8 0 St at e Str e et, Al b a n y, N Y 1 2 2 0 7 as its a g e nt f or s er vi c e of pr o c ess. 3 S RI P L A W 1 2 5 M AI D E N L A N E , S UI T E 5 C N E W Y O R K ,N Y 10038 4 of 15 INDEX NO. 651539/2019 FILED: NEW YORK COUNTY CLERK 03/13/2019 06:52 PM NYSCEF DOC. NO. 1 1 2. RECEIVED NYSCEF: 03/14/2019 MI C H A E L S H A W N C R A H A N p/ k/ a “ C L O W N ” is a n i n di vi d u al w h o s er v es as dir e ct or a n d offi c er of S LI P K N O T N Y a n d S LI P K N O T C A w h o lists his a d dr ess f or b ot h e ntiti es as 2 3 2 M a dis o n A v e n u e, M e z z a ni n e, N e w Y or k, N Y 1 0 0 1 6. 1 3. C O R E Y T A Y L O R is a n i n di vi d u al w h o s er v es as a dir e ct or a n d offi c er of S LI P K N O T N Y a n d S LI P K N O T C A w h o lists his a d dr ess f or b ot h e ntiti es as 2 3 2 M a dis o n A v e n u e, M e z z a ni n e, N e w Y or k, N Y 1 0 0 1 6. 1 4. R O B E R T S H O R E is a n i n di v i d u al w h o d o es b usi n ess i n N e w Y or k C o u nt y, N e w Y or k, at 2 3 2 M a dis o n A v e n u e, M e z z a ni n e, N e w Y or k, N Y 1 0 0 1 6, a n d is t h e C hi ef E x e c uti v e Offi c er of R S A. F A C TS 1 5. Pl ai ntiff F E H N, at all ti m es r el e v a nt t o t his a cti o n, w as a m e m b er of t h e h e a v y m et al b a n d S LI P K N O T . 1 6. S LI P K N O T w as ori gi n all y f o u n d e d i n D es M oi n es, I o w a i n 1 9 9 5. 1 7. C R A H A N as k e d F E H N t o j oi n S LI P K N O T i n 1 9 9 8. 1 8. F E H N a gr e e d. 1 9. F E H N h as b e e n a m e m b er of S LI P K N O T c o nti n u o usl y fr o m 1 9 9 8 t o t h e pr es e nt. 2 0. C R A H A N is a m e m b er of S LI P K N O T. 2 1. T A Y L O R is a m e m b er of S LI P K N O T. 2 2. S LI P K N O T h as r e c or d e d a n d r el e as e d 5 (fi v e) st u di o al b u ms si n c e 1 9 9 8. 2 3. F E H N h as c o m p os e d w or ks of S LI P K N O T. 2 4. F E H N h as p erf or m e d o n all of S LI P K N O T’s al b u ms si n c e 1 9 9 8. 2 5. F E H N r e c ei v e d cr e dit f or all his p erf or m a n c es o n S LI P K N O T’s al b u ms. 2 6. F E H N is a c o - a ut h or of all t h e p erf or mi n g arts w or ks of S LI P K N O T. 4 S RI P L A W 1 2 5 M AI D E N L A N E , S UI T E 5 C N E W Y O R K ,N Y 10038 5 of 15 INDEX NO. 651539/2019 FILED: NEW YORK COUNTY CLERK 03/13/2019 06:52 PM NYSCEF DOC. NO. 1 2 7. RECEIVED NYSCEF: 03/14/2019 T h e b usi n ess of S LI P K N O T w as ori gi n all y o p er at e d as a g e n er al p art n ers hi p u n d er I o w a l a w. 2 8. S LI P K N O T b e g a n as a n ass o ci ati o n of t w o or m or e p ers o ns t o c arr y o n as c o- o w n ers of a b usi n ess f or p r ofit, t o wit t h e b a n d S LI P K N O T, f or a n i n d efi nit e p eri o d of ti m e. 2 9. F E H N b e c a m e a g e n er al p art n er of t h e S LI P K N O T g e n er al p art n ers hi p i n 1 9 9 8. 3 0. Ot h er g e n er al p art n ers i n cl u d e d C R A H A N a n d T A Y L O R w h o ar e c o nsi d er e d t h e l e a d ers of t h e b a n d S LI P K N O T. 3 1. T h e S LI P K N O T g e n er al p art n ers hi p w as a p art n ers hi p at will. 3 2. F E H N r e p os e d tr ust a n d c o nfi d e n c e i n t h e fi d elit y a n d i nt e grit y of C R A H A N a n d T A Y L O R t o o p er at e t h e S LI P K N O T g e n er al p art n ers hi p f or t h e m ut u al b e n efit of t h e p art n ers, i n cl u di n g F E H N. 3 3. F E H N’s r el ati o ns hi p w it h C R A HA N a n d T A Y L O R w e nt b e y o n d t h at of a c o n v e nti o n al b usi n ess r el ati o ns hi p b e c a us e it w as l o n g-t er m, w as n ot n e g oti at e d at ar ms -l e n gt h, a n d b e c a us e F E H N tr ust e d C R A H A N a n d T A Y L O R t o o p er at e t h e S LI P K N O T g e n er al p art n ers hi p f or t h e m ut u al b e n efit of t h e p art n ers, i n cl u di n g F E H N. 3 4. F E H N r e c ei v e d a s h ar e of t h e pr ofits of t h e b usi n ess of t h e S LI P K N O T g e n er al p art n ers hi p, i n cl u di n g a s h ar e of t h e pr ofits fr o m m er c h a n disi n g a n d t o uri n g. 3 5. F E H N’s s h ar e of t h e pr ofits w er e s e p ar at e a n d disti n ct fr o m a n y p a y m e nt t o hi m f or s er vi c es as a n i n d e p e n d e nt c o ntr a ct or or of w a g es or ot h er c o m p e ns ati o n as a n e m pl o y e e. 3 6. T hr e e f e d er all y r e gist er e d tr a d e m ar ks f or S LI P K N O T (t h e “ S LI P K N O T M A R K S ”) ar e iss u e d a n d o utst a n di n g: 5 S RI P L A W 1 2 5 M AI D E N L A N E , S UI T E 5 C N E W Y O R K ,N Y 10038 6 of 15 INDEX NO. 651539/2019 FILED: NEW YORK COUNTY CLERK 03/13/2019 06:52 PM NYSCEF DOC. NO. 1 RECEIVED NYSCEF: 03/14/2019 a. R e gistr ati o n N o. 2, 5 6 6, 4 4 8 f or “ S E RI E S O F P R E -R E C O R D E D [ C D R O M S,] C O M P A C T DI S C S, D V D S, A U DI O C A S S E T T E S, P H O N O G R A P H A L B U M S A N D VI D E O T A P E S, F E A T U RI N G M U SI C ” i n Cl ass 9; b. R e gistr ati o n N o. 2, 5 6 8, 9 4 6 f or “t- s hirts, s w e at s hirts, l o n g sl e e v e s hirts, s ki h ats, b as e b all c a ps, h o c k e y j ers e ys a n d j a c k ets ” i n Cl ass 2 5; a n d c. R e gistr ati o n N o. 2, 5 6 6, 4 4 7 f or “ e nt ert ai n m e nt s er vi c es, n a m el y, li v e p erf or m a n c es b y a m usi c al gr o u p ” i n Cl ass 4 1. 3 7. All t h e S LI P K N O T M A R K S w er e a p pli e d f or i n 1 9 9 9 aft er F E H N j oi n e d S LI P K N O T. 3 8. T h e S LI P K N O T M A R K S r e pr es e nt e d t h e g o o ds a n d s er vi c es of t h e S LI P K N O T g e n er al p art n ers hi p at t h e ti m e t h e y w er e a p pli e d f or. 3 9. T h e S LI P K N O T M A R K S r e pr es e nt e d t h e g o o d will of t h e S LI P K N O T g e n er al p art n ers hi p t o f a ns of t h e S LI P K N O T b a n d at t h e ti m e t h e y w er e a p pli e d f or. 4 0. T h e S LI P K N O T M A R K S w er e t h e pr o p ert y of t h e S LI P K N O T g e n er al p art n ers hi p at t h e ti m e t h e y w er e a p pli e d f or a n d w h e n t h e y w er e iss u e d. 4 1. All t h e S LI P K N O T M A R K S w er e a p pli e d f or a n d iss u e d t o S LI P K N O T C A . 4 2. S LI P K N O T C A w as n ot f or m e d u ntil A u g ust 2 9, 2 0 0 3 w h e n its Arti cl es of I n c or p or ati o n w er e fil e d wit h t h e C alif or ni a S e cr et ar y of St at e. 4 3. S LI P K N O T C A w as n ot i n e xist e n c e w h e n t h e S LI P K N O T M A R K S w er e a p pli e d f or a n d iss u e d. 4 4. N o n e of t h e S LI P K N O T M A R K S ar e s u bj e ct t o a n y assi g n m e nt of r e c or d. 4 5. F E H N n e v er a gr e e d t o t h e assi g n m e nt of t h e S LI P K N O T M A R K S t o S LI P K N O T C A or t h eir o w n ers hi p b y S LI P K N O T C A. 6 S RI P L A W 1 2 5 M AI D E N L A N E , S UI T E 5 C N E W Y O R K ,N Y 10038 7 of 15 INDEX NO. 651539/2019 FILED: NEW YORK COUNTY CLERK 03/13/2019 06:52 PM NYSCEF DOC. NO. 1 4 6. RECEIVED NYSCEF: 03/14/2019 T h e I o w a li mit e d li a bilit y c o m p a n y S LI P K N O T M E R C H A N DI SI N G, L L C w as f or m e d o n A u g ust 2 8, 2 0 0 0 a n d m ai nt ai n e d as a n a cti v e e ntit y u ntil it w as a d mi nistr ati v el y diss ol v e d o n A u g ust 9, 2 0 1 3. 4 7. T h e I o w a li mit e d li a bilit y c o m p a n y S LI P K N O T T O U RI N G, L L C w as f or m e d o n A u g ust 2 8, 2 0 0 0 a n d m ai nt ai n e d as a n a cti v e e ntit y u ntil D e c e m b er 9, 2 0 1 6 w h e n Eri c Bri n er, a n e m pl o y e e of R S A, fil e d a St at e m e nt of T er mi n ati o n wit h t h e I o w a S e cr et ar y of St at e. 4 8. S K P R O D U C TI O N S w as f or m e d i n N e w Y or k o n A u g ust 8, 1 9 9 7. 4 9. S LI P K N O T N Y w as f or m e d i n N e w Y or k o n M a y 1 0, 2 0 0 6. 5 0. S K T O U RI N G w as f or m e d i n D el a w ar e o n M a y 1 2, 2 0 1 1. 5 1. K N O T T O U RI N G w as f or m e d i n D el a w ar e o n M ar c h 2 7, 2 0 1 4. 5 2. K N O T M E R C H w as f or m e d i n D el a w ar e o n M ar c h 2 7, 2 0 1 4. 5 3. F E H N, t o t h e b est of his i nf or m ati o n, k n o wl e d g e a n d b eli ef, is n ot n o w a n d h as n e v er b e e n a n o w n er, s h ar e h ol d er, m e m b er, m a n a g er, offi c er, dir e ct or, h el d a n y i nt er est i n or h a d a n y k n o wl e d g e of t h e b usi n ess of, ass ets of, or o p er ati o ns of S LI P K N O T M E R C H A N DI SI N G, L L C of I o w a, S LI P K N O T T O U RI N G, L L C of I o w a, S K P R O D U C TI O N S, S LI P K N O T N Y, S K T O U RI N G, K N O T T O U RI N G, K N O T M E R C H, S LI P K N O T N Y or S LI P K N O T C A. 5 4. At all r el e v a nt ti m es. R S A, b y a n d t hr o u g h S H O R E, h as b e e n t h e b usi n ess m a n a g er f or F E H N, S LI P K N O T, a n d S LI P K N O T’s m e m b ers i n cl u di n g C R A H A N a n d T A Y L O R. 5 5. As b usi n ess m a n a g er f or F E H N, S LI P K N O T, a n d S LI P K N O T’s m e m b ers i n cl u di n g C R A H A N a n d T A Y L O R, R S A a n d S H O R E h a v e pr o vi d e d a d vi c e a n d c o u ns el si m ult a n e o usl y t o F E H N, C R A H N, T A Y L O R a n d t h e ot h er m e m b ers of S LI P K N O T. 7 S RI P L A W 1 2 5 M AI D E N L A N E , S UI T E 5 C N E W Y O R K ,N Y 10038 8 of 15 FILED: NEW YORK COUNTY CLERK 03/13/2019 06:52 PM NYSCEF DOC. NO. 1 5 6. INDEX NO. 651539/2019 RECEIVED NYSCEF: 03/14/2019 F E H N r e p os e d tr ust a n d c o nfi d e n c e i n t h e fi d elit y a n d i nt e grit y of R S A a n d S H O R E. 5 7. F E H N’s r el ati o ns hi p wit h R S A a n d S H O R E w e nt b e y o n d t h at of a c o n v e nti o n al b usi n ess r el ati o ns hi p b e c a us e it w as l o n g-t er m, w as n ot n e g oti at e d at ar ms -l e n gt h, a n d b e c a us e F E H N tr ust e d R S A a n d S H O R E t o m a n a g e a n d d e v el o p his c ar e er . 5 8. R S A a n d S H O R E h a v e a ct e d i n vi ol ati o n of t h eir fi d u ci ar y d uti es o w n e d t o F E H N b y f a v ori n g a n d e nri c hi n g C R A H A N a n d T A Y L O R at t h e e x p e ns e of F E H N a n d t o t h e d etri m e nt of F E H N. C O U NTI B R E A C H O F FI D U CI A R Y D U T Y A G AI N S T C R A H A N A N D T A Y L O R 5 9. Pl ai ntiff i n c or p or at e s t h e all e g ati o ns of p ar a gr a p hs 1 t hr o u g h 5 8 of t his C o m pl ai nt as if f ull y s et f ort h h er ei n. 6 0. T h e S LI P K N O T g e n er al p art n ers hi p w as f or m e d i n I o w a a n d is s u bj e ct t o t h e pr o visi o ns of t h e I o w a U nif or m G e n er al P art n ers hi p A ct, I o w a C o d e - 2 0 1 7, Titl e XII, C h a pt er 4 8 6 A. 6 1. At all r el e v a nt ti m es, F E H N, C R A H A N a n d T A Y L O R h a v e b e e n m e m b ers of t h e S LI P K N O T g e n er al p art n ers hi p. 6 2. C R A H A N a n d T A Y L O R o w e d fi d u ci ar y d uti es t o t h eir p art n er F E H N i n c o n n e cti o n wit h t h e o p er ati o n of t h e p art n ers hi p, t h e di visi o n of p art n ers hi p pr ofits, a n d t h e m a n a g e m e nt of p art n ers hi p ass ets. 6 3. C R A H A N a n d T A Y L O R br e a c h e d t h eir fi d u ci ar y d uti es t o F E H N b y , a m o n g ot h er t hi n gs: 8 S RI P L A W 1 2 5 M AI D E N L A N E , S UI T E 5 C N E W Y O R K ,N Y 10038 9 of 15 INDEX NO. 651539/2019 FILED: NEW YORK COUNTY CLERK 03/13/2019 06:52 PM NYSCEF DOC. NO. 1 RECEIVED NYSCEF: 03/14/2019 a. A p pl yi n g f or a n d m ai nt ai ni n g t h e S LI P K N O T M A R K S o n b e h alf of S LI P K N O T C A i nst e a d of t h e S LI P K N O T g e n er al p art n ers hi p; b. Cr e ati n g, o p er ati n g, a n d o w ni n g i nt er ests i n S LI P K N O T M E R C H A N DI SI N G, L L C of I o w a, S LI P K N O T T O U RI N G, L L C of I o w a, S K P R O D U C TI O N S, S LI P K N O T N Y, S K T O U RI N G, K N O T T O U RI N G, K N O T M E R C H, S LI P K N O T N Y a n d S LI P K N O T C A, all of w hi c h utili z e d a n d e x pl oit e d t h e ass ets a n d g o o d will of t h e S LI P K N O T g e n er al p art n ers hi p a n d w hi c h b e n efit e d fr o m t h e t al e nt a n d eff orts of t h e S LI P K N O T g e n er al p art n ers, wit h o ut c o m p e ns ati n g t h e p art n ers hi p; c. E nri c hi n g t h e ms el v es o ut of pr o p orti o n t o t h e eff orts a n d u n di vi d e d i nt er est s of t h e ot h er g e n er al p art n ers, i n cl u di n g t h os e of F E H N ; d. F aili n g t o pr o vi d e i nf or m ati o n o n t h e o p er ati o n of t h e p art n ers hi p c o nsist e nt wit h t h e d uti es o w e d b et w e e n p art n ers; e. Vi ol ati n g t h e g e n er al st a n d ar ds of c o n d u ct o w e d b et w e e n p art n ers ; a n d f. C o m mitti n g s u c h ot h er a n d f urt h er br e a c h es as m a y b e d et er mi n e d i n dis c o v er y a n d pr o v e n at tri al. 6 4. T h e a cti o ns of C R A H A N a n d T A Y L O R h a v e d a m a g e d F E H N a n d t h e S LI P K N O T p art n ers hi p. 6 5. F E H N is e ntitl e d t o a n a c c o u nti n g of t h e b usi n ess of t h e S LI P K N O T p art n ers hi p fr o m its i n c e pti o n t hr o u g h a n d i n cl u di n g t h e pr es e nt. 6 6. F E H N is e ntitl e d t o t h e i m p ositi o n of a c o nstr u cti v e tr ust o n t h e S LI P K N O T m ar ks f or t h e b e n efit hi ms elf a n d t h e S LI P K N O T p art n ers hi p. C O U NTI I B R E A C H O F I M P LI E D I N F A C T C O N T R A C T 9 S RI P L A W 1 2 5 M AI D E N L A N E , S UI T E 5 C N E W Y O R K ,N Y 10038 10 of 15 FILED: NEW YORK COUNTY CLERK 03/13/2019 06:52 PM NYSCEF DOC. NO. 1 INDEX NO. 651539/2019 RECEIVED NYSCEF: 03/14/2019 A G AI N S T C R A H A N, S K P R O D U C TI O N S, S LI P K N O T N Y, S K T O U RI N G, K N O T T O U RI N G, K N O T M E R C H, S LI P K N O T N Y a n d S LI P K N O T C A 6 7. Pl ai ntiff i n c or p or at e s t h e all e g ati o ns of p ar a gr a p hs 1 t hr o u g h 5 8 of t his C o m pl ai nt as if f ull y s et f ort h h er ei n. 6 8. C R A H A N r e q u est e d F E H N t o p erf or m s er vi c es f or C R A H A N a n d t h e S LI P K N O T g e n er al p art n ers hi p, a n d its s u c c ess ors i n i nt er est i n cl u di n g b ut n ot li mit e d t o S LI P K N O T M E R C H A N DI SI N G, L L C of I o w a, S LI P K N O T T O U RI N G, L L C of I o w a, S K P R O D U C TI O N S, S LI P K N O T N Y, S K T O U RI N G, K N O T T O U RI N G, K N O T M E R C H, S LI P K N O T N Y a n d S LI P K N O T C A. 6 9. C R A H A N, i n di vi d u all y or b y a n d t hr o u g h his a g e nt R S A, r e p e at e d his r e q u ests v er b all y t o F E H N t o p erf or m s er vi c es f or C R A H A N fr o m 1 9 9 8 t o t h e pr es e nt, at i nt er v als of l ess t h a n o n e y e ar, i n cl u di n g i n c o n n e cti o n wit h e a c h a n d e v er y S LI P K N O T al b u m, e a c h a n d e v er y S LI P K N O T t o ur a n d i n di vi d u al t o ur d at e, a n d at all ot h er S LI P K N O T pr o m oti o n al e v e nts, r e c or di n g s essi o ns, a n d m e eti n gs, i n cl u di n g n u m er o us s u c h e v e nts o c c urri n g wit hi n t h e l ast si x y e ars. 7 0. F E H N pr o vi d e d s er vi c es t o C R A H A N a n d t h e S LI P K N O T g e n er al p art n ers hi p, a n d its s u c c ess ors i n i nt er est i n cl u di n g b ut n ot li mit e d t o S LI P K N O T M E R C H A N DI SI N G, L L C of I o w a, S LI P K N O T T O U RI N G, L L C of I o w a, S K P R O D U C TI O N S, S LI P K N O T N Y, S K T O U RI N G, K N O T T O U RI N G, K N O T M E R C H, S LI P K N O T N Y a n d S LI P K N O T C A. 7 1. F E H N’s s er vi c es w er e r e n d er e d u n d er cir c u mst a n c es t h at C R A H A N a n d t h e S LI P K N O T g e n er al p art n ers hi p, a n d its s u c c ess ors i n i nt er est i n cl u di n g b ut n ot li mit e d t o S LI P K N O T M E R C H A N DI SI N G, L L C of I o w a, S LI P K N O T T O U RI N G, L L C of I o w a, S K P R O D U C TI O N S, S LI P K N O T N Y, S K T O U RI N G, K N O T T O U RI N G, K N O T M E R C H, 10 S RI P L A W 1 2 5 M AI D E N L A N E , S UI T E 5 C N E W Y O R K ,N Y 10038 11 of 15 INDEX NO. 651539/2019 FILED: NEW YORK COUNTY CLERK 03/13/2019 06:52 PM NYSCEF DOC. NO. 1 RECEIVED NYSCEF: 03/14/2019 S LI P K N O T N Y a n d S LI P K N O T C A u n d erst o o d w er e b ei n g p erf or m e d f or t h e m a n d n ot s o m e ot h er p ers o n or e ntit y. 7 2. F E H N’s s er vi c es w er e n ot r e n d er e d gr at uit o usl y b ut wit h t h e e x p e ct ati o n of c o m p e ns ati o n. 7 3. F E H N w as n ot c o m p e ns at e d f ull y or r e as o n a bl y f or his s er vi c es p erf or m e d. 7 4. T h e r e as o n a bl e v al u e of t h e s er vi c es p erf or m e d b y F E H N a n d t h e m ar k et v al u e of t h os e s er vi c es f ar e x c e e d e d a n y a m o u nts p ai d t h er ef or e b y C R A HA N a n d t h e S LI P K N O T g e n er al p art n ers hi p, a n d its s u c c ess ors i n i nt er est i n cl u di n g b ut n ot li mit e d t o S LI P K N O T M E R C H A N DI SI N G, L L C of I o w a, S LI P K N O T T O U RI N G, L L C of I o w a, S K P R O D U C TI O N S, S LI P K N O T N Y, S K T O U RI N G, K N O T T O U RI N G, K N O T M E R C H , S LI P K N O T N Y a n d S LI P K N O T C A. 7 5. F E H N is e ntitl e d t o d a m a g es c a us e d b y t h e br e a c h, i n cl u di n g i nt er est t h er e o n. C U NJ US T A G AI N S T C R A H A N, S K P R O D U K N O T T O U RI N G, K N O T M E R C H, 7 6. O U N T I II E N RI C H M E N T C TI O N S, S LI P K N O T N Y, S K T O U RI N G, S LI P K N O T N Y a n d S LI P K N O T C A Pl ai ntiff i n c or p or at e s t h e all e g ati o ns of p ar a gr a p hs 1 t hr o u g h 5 8 of t his C o m pl ai nt as if f ull y s et f ort h h er ei n. 7 7. C R A H A N r e q u est e d F E H N t o p erf or m s er vi c es f or C R A H A N a n d t h e S LI P K N O T g e n er al p art n ers hi p, a n d its s u c c ess ors i n i nt er est i n cl u di n g b ut n ot l i mit e d t o S LI P K N O T M E R C H A N DI SI N G, L L C of I o w a, S LI P K N O T T O U RI N G, L L C of I o w a, S K P R O D U C TI O N S, S LI P K N O T N Y, S K T O U RI N G, K N O T T O U RI N G, K N O T M E R C H, S LI P K N O T N Y a n d S LI P K N O T C A. 7 8. C R A H A N, i n di vi d u all y or b y a n d t hr o u g h his a g e nt R S A, r e p e at e d his r e q u ests v er b al l y t o F E H N t o p erf or m s er vi c es f or C R A H A N fr o m 1 9 9 8 t o t h e pr es e nt, i n cl u di n g i n 11 S RI P L A W 1 2 5 M AI D E N L A N E , S UI T E 5 C N E W Y O R K ,N Y 10038 12 of 15 FILED: NEW YORK COUNTY CLERK 03/13/2019 06:52 PM NYSCEF DOC. NO. 1 INDEX NO. 651539/2019 RECEIVED NYSCEF: 03/14/2019 c o n n e cti o n wit h e a c h a n d e v er y S LI P K N O T al b u m, e a c h a n d e v er y S LI P K N O T t o ur a n d i n di vi d u al t o ur d at e, a n d at all ot h er S LI P K N O T pr o m oti o n al e v e nts, r e c or di n g s essi o ns, a n d m e eti n gs, i n cl u di n g n u m er o us s u c h e v e nts o c c urri n g wit hi n t h e l ast si x y e ars. 7 9. F E H N pr o vi d e d s er vi c es t o C R A H A N a n d t h e S LI P K N O T g e n er al p art n ers hi p, a n d its s u c c ess ors i n i nt er est i n cl u di n g b ut n ot li mit e d t o S LI P K N O T M E R C H A N DI SI N G, L L C of I o w a, S LI P K N O T T O U RI N G, L L C of I o w a, S K P R O D U C TI O N S, S LI P K N O T N Y, S K T O U RI N G, K N O T T O U RI N G, K N O T M E R C H, S LI P K N O T N Y a n d S LI P K N O T C A. 8 0. F E H N’s s er vi c es w er e r e n d er e d u n d er cir c u mst a n c es t h at C R A H A N a n d t h e S LI P K N O T g e n er al p art n ers hi p, a n d its s u c c ess ors i n i nt er est i n cl u di n g b ut n ot li mit e d t o S LI P K N O T M E R C H A N DI SI N G, L L C of I o w a, S LI P K N O T T O U RI N G, L L C of I o w a, S K P R O D U C TI O N S, S LI P K N O T N Y, S K T O U RI N G, K N O T T O U RI N G, K N O T M E R C H, S LI P K N O T N Y a n d S LI P K N O T C A u n d erst o o d w er e b ei n g p erf or m e d f or t h e m a n d n ot s o m e ot h er p ers o n or e ntit y. 8 1. F E H N’s s er vi c es w er e n ot r e n d er e d gr at uit o usl y b ut wit h t h e e x p e ct ati o n of c o m p e ns ati o n. 8 2. F E H N w as n ot c o m p e ns at e d f ull y or r e as o n a bl y f or his s er vi c es p erf or m e d. 8 3. C R A H A N a n d t h e S LI P K N O T g e n er al p art n ers hi p, a n d its s u c c ess ors i n i nt er est i n cl u di n g b ut n ot li mit e d t o S LI P K N O T M E R C H A N DI SI N G, L L C of I o w a, S LI P K N O T T O U RI N G, L L C of I o w a, S K P R O D U C TI O N S, S LI P K N O T N Y, S K T O U RI N G, K N O T T O U RI N G, K N O T M E R C H, S LI P K N O T N Y a n d S LI P K N O T C A w er e u nj ustl y e nri c h e d b y t h e r e c ei pt of F E H N’s s er vi c es wit h o ut h a vi n g t o p a y t h e f ull or r e as o n a bl e v al u e t h er ef or e. 8 4. F E H N is e ntitl e d t o d a m a g es i n t h e a m o u nt b y w hi c h t h e d ef e n d a nts w er e u nj ustl y e nri c h e d. 12 S RI P L A W 1 2 5 M AI D E N L A N E , S UI T E 5 C N E W Y O R K ,N Y 10038 13 of 15 INDEX NO. 651539/2019 FILED: NEW YORK COUNTY CLERK 03/13/2019 06:52 PM NYSCEF DOC. NO. 1 RECEIVED NYSCEF: 03/14/2019 C O U NTI V B R E A C H O F FI D U CI A R Y D U T Y A G AI N S T R S A A N D S H O R E 8 5. Pl ai ntiff i n c or p or at es t h e all e g ati o ns of p ar a gr a p hs 1 t hr o u g h 5 8 of t his C o m pl ai nt as if f ull y s et f ort h h er ei n. 8 6. At all r el e v a nt ti m es, R S A a n d S H O R E o w e d a fi d u ci ar y d ut y t o F E H N i n c o n n e cti o n wit h t h eir m a n a g e m e nt of F E H N’s c ar e er a n d t h e S LI P K N O T b a n d. 8 7. R S A a n d S H O R E br e a c h e d t h eir fi d u ci ar y d uti es t o F E H N b y, a m o n g ot h er t hi n gs: a. Cr e ati n g, m a n a gi n g a n d o p er ati n g S LI P K N O T M E R C H A N DI SI N G, L L C of I o w a, S LI P K N O T T O U RI N G, L L C of I o w a, S K P R O D U C TI O N S, S LI P K N O T N Y, S K T O U RI N G, K N O T T O U RI N G, K N O T M E R C H, S LI P K N O T N Y a n d S LI P K N O T C A, all of w hi c h utili z e d a n d e x pl oit e d t h e ass ets a n d g o o d will of t h e S LI P K N O T g e n er al p art n ers hi p a n d w hi c h b e n efit e d fr o m t h e t al e nt a n d eff orts of t h e S LI P K N O T g e n er al p art n ers, f or t h e b e n efit of C R A H A N a n d T A Y L O R al o n g, a n d wit h o ut c o m p e ns ati n g eit h er t h e S LI P K N O T p art n ers hi p or F E H N; b. M a n a gi n g t h e aff airs of t h e S LI P K N O T b a n d s o as t o e nri c h C R A H A N a n d T A Y L O R o ut of pr o p orti o n t o t h e eff orts a n d u n di vi d e d i nt er ests of t h e ot h er g e n er al p art n ers i n t h e S LI P K N O T p art n ers hi p, i n cl u di n g t h os e of F E H N; c. F aili n g t o pr o vi d e F E H N wit h i nf or m ati o n o n t h e o p er ati o n of t h e p art n ers hi p c o nsist e nt wit h his o w n ers hi p i nt er est, a n d b y r estri cti n g i nf or m ati o n o n t h e o p er ati o n of t h e S LI P K N O T p art n ers hi p a n d ot h er e ntiti es t o C R A H A N a n d T A Y L O R; a n d 13 S RI P L A W 1 2 5 M AI D E N L A N E , S UI T E 5 C N E W Y O R K ,N Y 10038 14 of 15 INDEX NO. 651539/2019 FILED: NEW YORK COUNTY CLERK 03/13/2019 06:52 PM NYSCEF DOC. NO. 1 RECEIVED NYSCEF: 03/14/2019 d. C o m mitti n g s u c h ot h er a n d f urt h er br e a c h es as m a y b e d et er mi n e d i n dis c o v er y a n d pr o v e n at tri al. 8 8. T h e a cti o ns of R S A a n d S H O R E h a v e d a m a g e d F E H N. 8 9. F E H N is e ntitl e d t o a n a c c o u nti n g of all t h e b usi n ess m a n a g e d b y R S A a n d S H O R E f or F E H N t hr o u g h a n d i n cl u di n g t h e pr es e nt. D at e d: N e w Y or k, N e w Y or k M ar c h 1 3, 2 0 1 9 R es p e ctf ull y s u b mitt e d, J os e p h A. D u n n e J o el B. R ot h m a n J o n a h A. Gr oss b ar dt S RI P L A W 1 2 5 M ai d e n L a n e, S uit e 5 C N e w Y or k, N Y 1 0 0 3 8 M ai n: ( 5 6 1) 4 0 4- 4 3 5 0 Dir e ct: ( 9 2 9) 2 0 0- 8 4 4 6 j os e p h. d u n n e @sri pl a w. c o m j o el.r ot h m a n@sri pl a w. c o m J o n a h. gr oss b ar dt @sri pl a w. c o m w w w.sri pl a w. c o m D a ni el M. N o vi c k, Es q. N o vi c k L a w P L L C 1 0 3 3 D e m o n br e u n St., S uit e 3 0 0 N as h vill e, T N 3 7 2 0 3 Dir e ct: ( 6 1 5) 7 6 1- 9 9 4 9 d a ni el @ m usi c m a k erl a w. c o m w w w. m usi c m a k erl a w. c o m Att or n e ys f or Pl ai ntiff, C hrist o p h er F e h n 14 S RI P L A W 1 2 5 M AI D E N L A N E , S UI T E 5 C N E W Y O R K ,N Y 10038 15 of 15