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By Lillian Boyd, Dana Point Times
The Dana Point Chamber of Commerce is at a standstill as far as pursuing litigation against the company that formerly handled race registrations for the Turkey Trot and currently owes the chamber $239,000.
When RacePartner, a national race registration company based in West Palm Beach, Fla., did not send its allotted payment from entry and registration fees to the Chamber in the days following the contractual payday of Nov. 17, 2017, Chamber executive director Bev Jorgensen reached out to Kirk St. Johns, the “captain” of RacePartner, to find out why. Breach of contract charges ensued.
In March, the Dana Point Times reported that RacePartner neglected to reimburse the Chamber in full for registrations processed since October 2017, breaching the contractual agreement between the two organizations. The original total payment due to the Chamber equated to $259,000, of which $20,000 was offered as a good-faith payment in January.
Jorgensen said in a March interview that St. Johns admitted RacePartner had been robbing from Peter to pay Paul.
“Thankfully, we have had an incredibly forward-thinking Board (of Directors), for the past two years specifically,” Jorgensen said. “We have put away money and have contingency plans for emergencies like these.”
RacePartner was forced to file bankruptcy by its creditors over the summer, said Steven Rosen, the Chamber attorney and a current board member. That move protects the company from litigation while a trustee determines how to split assets among parties who have submitted claims against RacePartner. The Chamber submitted its claim for the owed amount to the trustee in September.
“It’s unlikely the Chamber will be paid what it’s owed in full through bankruptcy,” Rosen said. “If pursuing the remaining amount owed through litigation is what’s best for our members, that’s what we’ll consider. … For now, we’re waiting on what the designated trustee will determine.”
Registrations for the Dana Point Turkey Trot are being handled by the organization ACTIVE this year. Meanwhile, the Chamber’s options to pursue litigation against RacePartner will be determined by how the company’s bankruptcy pans out. Jorgensen says the Chamber is thriving either way.
Editor’s Note and Disclaimer: Picket Fence Media Associate Publisher Lauralyn Loynes is an active member of the Dana Point Chamber of Commerce Board of Directors.