UPDATED: Super-Vague Lawsuit Accuses Radio Host Outlaw Dave of Breach of Contract

Categories: Courts

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Lawsuit accuses Outlaw Dave of being an, uh, outlaw.
Popular Houston radio personality and bar owner "Outlaw" Dave Andrews has been sued by an investor in Andrews's Outlaw Dave's Worldwide Headquarters for allegedly using a $360,000 loan to "promote his personal broadcasting career" instead of paying bills and other operating costs.

The suit, filed in Harris County District Court by James Walker, also accuses the KPRC (AM 950) radio host of using "or knowingly allow[ing] others to use illegal drugs on the bar premise[s]." The suit also names Andrews's business partner, Duane Bradley, as a defendant.

Walker's attorney, David Pace, declined further comment. Andrews also declined to comment, stating only that the lawsuit was merely an "investor disagreement" and that his attorney expects to file a response by the end of the week.

According to the suit, Walker received a 20 percent ownership interest in ODWWHQ, LLC, which operates Outlaw Dave's Worldwide Headquarters on Washington Avenue, in exchange for covering the bar's lease, property taxes, alcohol permits and utilities. But after he put more than $360,000 into the company, Walker alleges, the duo shut him out of "significant decisions affecting operations" and withheld financial records.

Well, some financial records, anyway: Walker claims that even though Andrews denied him access to ODWWHQ's bank account, Walker "discovered" financial records that reeked of impropriety. The suit doesn't explain how these records were "discovered," and there's a similar lack of documentation to support the claims of drug use at the bar or how Andrews supposedly used Walker's loan to further his own radio career. (Of course, we're a long way from the discovery phase, but still -- it would have been nice if Walker and Pace had backed some of this stuff up rather than just cast vague, unsupported allegations.)

We'll be sure to keep our eye on this.

Update: Attorney Scott McLemore, representing Andrews and Bradley, just sent a statement to Hair Balls:

[Walker's] erratic actions in previously locking his fellow shareholders out of business bank records and accounts, without permission, and making unfounded claims of impropriety are perplexing. Walker's actions would indicate that he has a great deal more experience as a customer of a bar, than as an investor in one. The bar and restaurant business is not for the faint of heart, as anyone in the business can tell you. Nonetheless, Walker, who was a regular at the Davenport, asked to [become] a co-investor in the ODWWHQ bar, after advertising and being on Outlaw Dave's show, since 2009.

As an investor Walker had agreed to fund certain construction costs. He did not meet the obligations he made in exchange for shares in the company. Walker delayed and slowed his payments for construction and other operating expenses, claiming his own money problems as the reason. Unfortunately, instead of admitting his financial shortfalls, he has taken to bullying other shareholders and attempting a hostile takeover rather than biding his time in a long term investment, as he had agreed. My clients look forward to their day in Court and in responding to the allegations.

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