(CelebrityAccess News Service) — The US District Court for the District of New Jersey ruled on June 9 that (1) it denied Clear Channel Entertainment’s request to dismiss John Scher's non-compete and (2) vacated the temporary restraining order that allows Scher to promote concerts prior to a jury trial.
Scher can continue to promote the 15 shows that Metropolitan Talent has already booked since the March 14 ruling that said Clear Channel cannot interfere with Scher's ability to promote concerts. Most of them are over the next two months. However, Scher is not allowed to book any new shows until the trial–a jury trial–is held about six months down the road.
The judge also suggested that both Scher and CCE try to settle the case before a trial, which Scher says he is doing. "I and any other independent promoter really can't compete with Clear Channel," Scher told CelebrityAccess. "Clear Channel is the third in line to inherit Metropolitan Entertainment Group. There was Ogden, then Covanta and Mitch Slater. Clear Channel was not the cause of this problem. I have a lot of life long friends who are at Clear Channel."
Clear Channel released the following statement to CelebrityAccess:
"We are pleased with the judge’s decision today to enforce the non-compete agreement that was signed by Mr. Scher. Mr. Scher was compensated substantially but failed to perform his obligations under that agreement. The judge’s decision simply validates the position we’ve held throughout this legal process."
Scher disputes Clear Channel's statement. "Not only wasn't I fairly compensated," he declares to CelebrityAccess, "I wasn't compensated at all. I owned 13-and-a-half percent of the company when it was sold, and two weeks after Mitch Slater bought the company, Ogden/Cavanta went bankrupt, and I never got compensated."
"That I failed to perform my obligations are matters for the jury to determine. I steadfastly performed my obligations and did not promote any shows until the temporary restraining order was given. The judge did not rule that I failed to perform my obligations. I absolutely performed all my obligations." – By Bob Grossweiner and Jane Cohen
