Do you know anything about a unit being built in Las Vegas this month and the work allegedly involving the Hayes brothers? Take a look at the unpaid invoices filed with your suit so you know what site I am referring to. Do you know anything about an attorney alleging to represent your company also allegedly offering to represent owners with their suits against Elite? Of course, consult with your attorneys before responding.
Official Response of SBT
My name is John Rodesiler, and I am the 100% owner and president of Supreme Building Technologies, Inc. (“SBT”).
As this website reported, SBT has filed a lawsuit against Elite Manufacturing, LLC. In the lawsuit, SBT is seeking to recover approximately $1.7 million from Elite due to work performed by SBT for which Elite has not paid.
I would like to respond to all of the comments made on this website regarding Cuppy’s Coffee, Elite, and SBT, but my attorneys have limited what I can say as long as the lawsuit is pending.
I can tell you, however, that SBT is not related in any way to Cuppy’s or Elite. As I mentioned, I am the only owner of SBT, and I have no ownership interest in Cuppy’s or Elite.
I do not receive any salary or payments from them (other than the amounts due to SBT on construction contracts).
SBT does not consult with Cuppy’s or Elite on business issues, and they do not consult with SBT.
In fact, conversations between SBT and Elite have been contentious for months, as the main discussion has been about Elite’s failure to pay SBT for work it has performed.
While some on this website have questioned whether SBT’s lawsuit is part of a plan to assist Elite, I can assure you that is not the case at all.
SBT entered into contracts with Elite, and SBT has sued Elite to receive payment under those contracts.One attorney on this site has even gone so far as to concoct a story about how SBT is colluding with Cuppy’s and/ or Elite by filing this lawsuit.
That attorney should know better than to say defamatory things about SBT based upon nothing but his suspicions.
In fact, his post shows a complete lack of understanding about this situation and about business in general.
Others on this site have claimed that Rob Folk “represents” SBT. That is not true, as Mr. Folk has never been an employee, consultant, or agent of SBT. SBT understands that the franchisees are frustrated and tempted to look wherever they can to place blame.
However, I ask that everyone keep an open mind about SBT and wait to see how the evidence unfolds in SBT’s case against Elite.
SBT has been owed substantial amounts from Elite for over a year. SBT has been attempting to collect these amounts, while at the same time trying to keep afloat to service Cuppy’s franchisees who are looking to Elite to take care of them. However, we are now to the point we SBT needs to obtain funds from Elite to even continue to operate. Unfortunately, we have been forced to begin exercising our lien rights to protect our position. Please know that no money received from these liens would ever be given to or shared with Elite, Cuppy’s or anyone associated with them.
SBT has learned that Dale Nabors, the president of Elite, recently held conference calls with Cuppy’s franchisees. As you know, many Cuppy’s franchisees have paid Elite to construct their facilities, but Elite has not constructed those facilities. We have been told that during these calls Mr. Nabors stated that Elite has paid SBT and that SBT has mismanaged or otherwise misused that money. This could not be further from the truth. The obligations owed by Elite to SBT are real, SBT has not been paid by Elite, and SBT’s lawsuit has no purpose other than to recover those funds so that SBT can be paid for, and complete, the work it has started for Elite on behalf of Cuppy’s franchisees.
Again, please do not buy into the paranoia and unfounded speculation about SBT that seems to have become rampant on this website. I cannot wait until SBT’s case against Elite moves forward and the evidence starts to come forward.
John
John
I also cannot wait for the case to move forward and all evidence to come out LOL....you may not like it
SBT Invoices
Why they sent one agreement signed by both parties with invoices for one job and not all of them seems odd. I almost bet they don't have a signed agreement for all jobs with Elite. SBT built-out the cafe's and built modulars so as the contractor and/or builder they would know where the projects were at all times. That can not be an excuse for them to blame Elite for lack of communication.
I would think that the modular and kiosk invoices should say MBM that is who were supposed to build them unless they merged the companies and never told anyone. Plus the invoices just told how much is actually paid for the buildings which was $29,699 times 2 = $59, 398 and is that not sad since they sell the 10 x 26 for $169,900 or more now. Plus what they charge for inlines (depending on how large) people can see how much it actually cost Elite and how much they made themselves there.
SBT: The Mathmatical Dimwits!
Apparently SBT can't do math very well. In the invoices attached to the complaint they charge Elite $40,000 for our cafe. THEY HAVEN'T DONE $20,00 WORTH OF STINKING WORK! Yet, oh sit down in your chair ....
SBT has put an $80,000+ lien on our cafe! Oh please, SBT produce a LINE ITEM invoice for every minute of your time and every ounce of product you supplied. Oh wait .......... YOU CAN'T!
Excuse me SBT, you have not delivered $20,000 worth of crap to my cafe, yet you invoice Elite $40,000 and you put a lien on our cafe for $80,000+. Apparently you must have one of those mob connected accountants. I'm sure the IRS would love to have a word with him/her.
Oh by the way SBT I hope you're not charging for the 1st set of blueprints you did. You know the ones where you did a complete set of approved blueprints for THE WRONG SUITE! after you were sent 12+ photos, a video and an initial layout with "Cuppys" clearly written in the space indicating what suite to draw the blueprints for.
SBT, you need to go back to elementry school!
Re: SBT: The Mathmatical Dimwits!
How can one put a $80,000 lein on nothing but a set of crappy plans?
Lien on me...
I wonder if they deducted the amount subsidized from the state of IN from their labor costs. From my understanding they recoup part of their workers' hourly wages from the Economic Development Corporation.
> I believe the references to the mob are off-base. I think the mob would be much more efficient than this. They also understand the concept of laying low when the heat's on. And they also understand that some part of the business ought to be legitimate - if only for appearances. <
On the last point, does anyone know if Cuppy's Coffee has ever collected a single royalty payment. I thought I saw a comment somewhere that they not only have never collected royalties, but they don't even have procedures in place to do so.
Does anyone know if that's true?
It's actually quite easy
You just create an invoice of our thin air, despite not having done any actual work, and then file a lien for double the amount!
Lien: Easier filed than enforced
Guest wrote: You just create an invoice of our thin air, despite not having done any actual work, and then file a lien for double the amount!
Not so fast. Sure, anyone can file a bogus lien. But that is why there are procedures to lift such liens, and seek damages against the bogus filer.
Here it is alleged that the liens filed are in excess not only of the amount of work performed but are double what the lienor is claiming in a different lawsuit.
Moreover, the circumstances of Cuppy's/Elite/SBT are such that the contracts may be voidable on the basis of fraud. From the facts presented, the lienee should go to a local attorney familiar with their state lien law and take aggressive action against SBT and their cronies.
There are people out there who are aware of the interlocking involvement of certain investors in these companies, and they should do the right thing and step up to stop this ongoing fleecing of these victims.
Paul Steinberg
Franchisee Attorney, New York City, Ph: 212-529-5400
Re: Official Response of SBT
http://dockets.justia.com/docket/court-inndce/case_no-1:2008cv00163/case_id-55142/
SBT not related in any way?
SBT President John Rodesiler states, "I can tell you, however, that SBT is not related in any way to Cuppy’s or Elite."
That hasn't been as clear to everyone else, including Elite and cuppy's, it seems. A reporter for the Fort Wayne paper was told by company officials that SBT was "part of" Elite Manufacturing, which she reported in this story. One would expect SBT and/or Elite to request a printed clarification.
Cuppy's Coffee seemed to refer to Elite and Supreme interchangeably. Although the City Council meeting minutes that list Rodesiler and Folk as representing SBT say that state funding was awarded to Supreme Building Technologies, a story appearing on Cuppy's blog picture and state that "Angola IN city officials, Dick Hickman and Julie Cole, tour the Elite Manufacturing plant. The visit came upon the news of state employee funding for the manufacturing company...With more than 20 projects in the works, Elite Manufacturing is expecting to hire more staff, with the help of state funding, to meet all their customer’s needs." This story was written and published by Cuppy's.
Question is: Where's the money?
The building with two names
Up until about the weekend of the 4th, the plant in Angola had the name Elite / Supreme Building Technologies. After that weekend only SBT remains. This is no secret, they were in the same building. It was on the same 10' long street sign. This is why they (the city officials) toured the "elite" plant. Side Note: No one in this area knows what the hell those guys are doing! And it's a shame that these guys are so toxic that people start to blast against a whole town! Interestingly, it seems that once Mr. Hayes made his departure, the sign went down like a five dollar....well you know.
The building with two names
I know for a fact that the signs were changed WAY before the 4th of July holiday. The signs were changed in early June. Maybe you should know your facts before you comment!
Paul should consider relocating to Angola...
Guest wrote ...it seems that once Mr. Hayes made his departure, the sign went down like a five dollar....well you know.
Five dollars? Paul, you should definitely consider Indiana. Rent some office space at the Love Shack on Wohlert... You could live like Eliot Spitzer there.
Sean
PS Remember that song Indiana Wants Me? It could take on a whole new meaning for you.
[Comment sponsor: iSTOLE It ]
Suggested signage for 1501 Wohlert. & lawyer questions
RE: The building with two names <i>Up until about the weekend of the 4th, the plant in Angola had the name Elite / Supreme Building Technologies.</i>
I'd suggest they go with a digital or scrolling LED sign so that they can change out their entities easily... Elite Manufacturing... Modular Buildings of Monroe... Superior Canopy... Supreme Building Technologies...
The bank signs can include the time (11:39), temperature (82F) and current rate of return on deposits (-100%).
____________________________
Questions for the lawyers:
Exhibit 1 of the SBT complaint contained the typical payout schedule between Elite and SBT. Wouldn't it have been customary for there to be a similar payout schedule between the franchisee's lender or the franchisee and Elite... requiring cash to be released as work was completed? Was Elite paid these amounts - $80K - $150K - up front in a lump sum? If so, why?
____________________________
Trial Questions:
If, at the time that the SBT lawsuit was filed against Elite, Doug Hibbing, Brian Hayes and Brice Hayes simultaneously had ownership stakes in SBTand were employees of Elite or one of its parents, might they be subpoened to testify against themselves? Or can they plead the "fif"
Will Lou Mangianello represent both sides?
Will Danny Jones be responsible for both collecting and NOT paying out any resulting judgements?
How will they possibly find 12 jurors in the Angola/Ft. Wayne, IN metroplex who did not work at, live in a modular home built by, or aren't owed money by one of these companies?
Or will they be allowed to just have one juror with 12 different names?
Sean Kelly
seankelly[at]ideafarm.net
[Comment sponsored by: iSTOLE It Franchising Corp.]
Line Item Invoices Needed
SBT needs to supply itemized invoices. This "general" crap doesn't cut the mustard.
Would you pay an invoice that said "amount due $40,000" if all you had was a set of blueprints?
ARE YOU KIDDING! Heck no! You would ask for a timesheet accounting of all time, labor & materials to back up the $40,000.
Guess what? SBT doesn't have it.
Sean, grab a whiskey
Sean writes: Will Lou Mangianello represent both sides?
Obviously Sean has not had his second whiskey this morning, and his brain is still asleep.
Sean: anybody knows that the Consigliere always represents the family interests.
Paul Steinberg
Franchisee Attorney, New York City, Ph: 212-529-5400
Si. Veramente Paulo ha ragione
La fidelta parmi gli avvocati Italiani e per tutte nella fammiglia.
Ma, gli avvocati di Frascati son burlati del amor. (Lawyers from Frascati are lousey in bed)--
Richard Solomon, FranchiseRemedies.com, has over 45 years experience with franchise litigation and crisis management. He is a graduate of The Citadel and The University of Michigan Law School
SBT not related in any way?
Sean, take a look at the blog titled "Tangled Web". This was written in response to Paul Steinberg's blog titled "Supreme Building Technologies Suit" dated 7-15-08. This is a very, very interesting story from what sounds like a company who had the inside scoop.
My brain hurts... I been Cuppied...
I read Tangled Web .
Holy schmoly, my brain's been Cuppied once again. And I've been following this.
These guys do deserve an award... Maybe the University of Nigeria will give them an honorary Phd in obfuscation.
Sean Kelly
seankelly[at]ideafarm.net
As a former special prosecutor for economic crimes,
I can tell you for certain that this cries out for presentation to a grand jury,
This scenario is - if true - definitely felony fraud and embezzlement.--
Richard Solomon, FranchiseRemedies.com, has over 45 years experience with franchise litigation and crisis management. He is a graduate of The Citadel and The University of Michigan Law School
Say it isn't So, Richard
What, a company can take say $200k for a person in order to build a restaurant, not do anything and this is fraud?
Hmm, wadda you know.
Anyone in this or a similar situation?
Michael Webster PhD LLB
Franchise News
no money, no store
You can find the names and locations of stores on the list of unpaid invoices filed with the lawsuit. Take a look at the dates and maybe you can calculate an estimate of how many people have received nothing so far. Dale has told everyone that they will be built out as soon as possible. Time will tell if he can keep his word but owners who are burning cash are going through a lot of pain.
Maybe Cuppys and companions could trade their fairness
award from Alvin and the Chipmunks for leniency.--
Richard Solomon, FranchiseRemedies.com, has over 45 years experience with franchise litigation and crisis management. He is a graduate of The Citadel and The University of Michigan Law School
Cuppy's Custody Battle
I'd imagine that award has been whisked off to an undisclosed location. Like OJ's Heisman, it's going to be a collector's item.
Especially since it was printed before the AAFD name change to AAFD&C.
American Association of Dealers, Franchisees & Cuppy's
Sean
Curator, Museo de Cuppee
seankelly[at]ideafarm.net
No parar mientes en drunken Irishman Kelly
The award got packed along with the cash. It is on the beach towel in Mexico,next to Morg.
Hey, Guest - whoever you aren't - not that it matters...
Please stop being redundant,--
Richard Solomon, FranchiseRemedies.com, has over 45 years experience with franchise litigation and crisis management. He is a graduate of The Citadel and The University of Michigan Law School
due diligence
Hey John,
Have you ever heard of due diligence?
Did you talk to Drew Baretz or Susan Boyd before entering into an agreement with Morg?
Pretty stupid to not have done that. You were advised to.
I don't believe for a minute you're not in bed with morg, ben et al.
Re: due diligence
Hey guess what! Weren't Drew and Susan taking money too?? I heard they were involved in law suits over lousy work and over charging. Why would John want to talk to them? Sounds like they were much like Medina in the first place! Maybe they should have stayed together and then SBT, John, Brian and the rest of them wouldn’t have gotten screwed.
SBT and Nabors initial statements sound the same
It looks like who ever wrote Dale Nabors statement also wrote the SBT statement. They sound very similar.
Re: SBT and Nabors initial statements sound the same
Where is Dale's statement?



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