KKD is going to mount a vigorous defence against the California lawsuit. This will require hundreds, probably thousands, of hours by lawyers paid hundreds of dollars per hour plus documentation expences plus travel expences plus misc. expences. And this is just one of several lawsuits to be dealt with. Hours spent by Cooper dealing with lawsuits, of course, are 900 dollars per hour. Takes a lot of donut sales.
Dear Mr. Mugerian,
You really shouldn't be so rude. Just because The Lord in his infinite wisdom gave you the brains that were meant for poor Sixfigures, doesn't mean that you have a monoply on them.
Father Boyfucher just the other day gave a wonderful sermon on humility. Perhaps, I can get a copy and send it to you.
<Discovery will be interesting in this case b/c KKD has no (valid) financials and the judge will have to "do something" about that. It could be he puts the entire case on some sort of inactive status pending KKD's disclosure. I honestly could not guess what else the judge could do. There is the possibility of sanctions, but I don't know that a state court judge is going to try to push harder than the SEC.>
As you've repeatedly demonstated that you have no grasp of business issues, it doesn't come as a surprise that you think discovery in this case is dependent on audited financials from KKD, and that a judge would allow the plaintiff to be forced into bankruptcy while the defendant continues running the 4 corners offense.
My guess is the plaintiff's attorneys and the judge aren't as dull-witted and lazy as you obviously are. There's plenty of discovery material and plenty of people to give depositions on the issues raised in the plaintiff's complaint. This case can be decided whether or not KKD has completed the restatement of its past financials.
The lack of valid financials is going to be completely irrelevant. The interrogatory served on KKD is going to say "produce all of your documents", not "produce all of your documents that are deemed to be valid." Unfortunately for us, it will be weeks and months before interrogatories are filed, and even then, weeks until KKD has to respond. If KKD tries to get the documents deemed confidential and proprietary, it will be interesting to see if the Court goes along with it - the nondisclosure of financial information by this outfit because the numbers aren't "ready" is clearly a bull
As exciting as it may seem and as much as I wish it would accelerate the eventual and overdue accurate market pricing of this worthless stock, this lawsuit will have nil effect on KKD - the parties will spend months going back and forth, it can be managed in a manner that will make it just another line item on the list of KKD consultant/legal expenditures that Silverpoint probably reserved for in their projections on their takeover here, but on the other hand, it is interesting in that maybe Silverpoint didn't accurately predict that the franchisees would not gentle into that good night.
Why is it big news worthy of multiple wire headlines that a defendant in a civil suit is going to defend themselves? Who has ever seen a defendant say "All of the allegations in the lawsuit are accurate. We are going to provide the plaintiff with every penny that they asked for - check is in the mail."?