A new legal filing from the North Carolina Superior Court dismissed most allegations between Orange Peel Events and its former business partner, Asheville Pizza & Brewing. That dismissal includes allegations of breaching fiduciary-duties and bad-faith-termination. But a complaint centering on Asheville Pizza’s alleged misreporting finances, will move forward.
Orange Peel Events and Asheville Pizza & Brewing have been tangled in a legal dispute since early January. The North Carolina Superior Court heard the case in mid-July.
The dispute centers around the music venue, Rabbit Rabbit, that the two companies launched together in 2020 in downtown Asheville. The outdoor venue was a popular place on the South Slope for performances in the aftermath of the pandemic and it brought in major acts like Willie Nelson, Jason Isbell and Bon Iver.
The relationship between the businesses is complex. The Rabbit Rabbit property, located at 75 Coxe Ave., belongs to 75 Coxe Properties, LLC, which is co-owned by Asheville Pizza and Public Interest Projects, Inc., the latter being the parent company of Orange Peel Events. The basic agreement between the two entities was that Orange Peel Events would oversee booking, management, marketing and other aspects of concerts. Asheville Pizza was responsible for food, beverage and movies at the site.
According to the complaint, the businesses had a slew of disagreements over finances and management practices. In early January, Asheville Brewing rebranded the space as Asheville Yards Amphitheater and cut Orange Peel Event's team from operations, effectively terminating their business agreement. In response, Orange Peel Events filed a lawsuit, which was met by a countersuit from Asheville Pizza.
The surviving complaint comes from Orange Peel Events, which alleges that Asheville Pizza underreported revenue earned from events held at Rabbit Rabbit. It also alleges that Asheville Pizza neglected to reimburse Orange Peel Events for business expenses, including improvements made to the venue’s green room and other event-related supplies and services. It also alleges that Asheville Pizza overcounted its own reimbursements.
The lawsuit now moves onto the discovery phase, which can last from several months to a year. Concerts at the venue now known as Asheville Yards are slated to continue, with Michael Franti & Spearhead performing in mid-September.
