Wednesday, February 4, 2015

L-A Radio: Emmis Files Suit To Keep iHM From Poaching

Big Boy
Emmis Radio, LLC, a subsidiary of Emmis Communications Corporation Tuesday filed suit against Kurt Alexander, also known as “Big Boy” on its KPWR 106.7 FM /Power106 Los Angeles radio station KPWR-FM, for breach of contract.

Emmis is seeking a preliminary and permanent injunction to prevent the long-time media personality and host of its morning show from moving to competitor iHeartMedia, Inc. in addition to millions of dollars in damages.

Emmis first discovered the 45-year-old Alexander working as a body guard more than 20 years ago, and has invested substantially over the years in helping him develop into the star that he is today.

Emmis’ complaint, filed in Superior Court for the State of California, County of Los Angeles, Central District, asserts that Alexander, who remains under contract to Emmis through February 28, 2015, breached his employment agreement by failing to honor its “right of first refusal” provision to match an offer from an Emmis competitor.

The offer from iHM is a reported $3.5 million plus other royalties and perks, including the use of a private jet.   He was making about $1.45 million a year -- plus bonuses and a car -- with KPWR.

KPWR 106.7 FM (25 Kw) Red=60dBu Coverage Area
Under the terms of Alexander’s employment agreement, he specifically agreed that if he received an offer from an Emmis competitor – and Emmis agreed to provide employment on terms “substantially similar” to the competitor – Alexander would enter into a new and exclusive employment agreement with Emmis, and would not move to a competitor radio station.

Despite acknowledging Emmis’ matching offer, Alexander turned his back on his radio home of more than 20 years and plans to move to a Los Angeles-area radio station operated by iHeartMedia, which would immediately launch a new format as a director competitor to Emmis.

“Big Boy has been a beloved member of the Emmis family for more than two decades, and we are particularly dismayed by his breach after we agreed to meet the iHeart terms,” said Jeff Smulyan, chairman, president and chief executive officer of Emmis Communications. “I am personally saddened by his actions and the impact they will have on our brand and our people.”

Emmis says that because of "the immediate and immeasurable damage that Big Boy's breach of his commitment would have, Emmis felt it had no other option than to protect itself and enforce its rights by way of the lawsuit. " Emmis will be requesting a hearing on the preliminary injunction prior to expiration of his deal on February 28.

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