Lawsuit filed in service transaction

The marriage of airport shuttle services in Boulder County, consummated in February this year, is off to a rocky start, with the buyer of some assets of Flatiron Transportation LLC contending in a lawsuit that the seller failed to disclose material information that could have affected the purchase price.

Simon Chen, the Longmont-based operator of Eight Black Partnership LLC and Boco Airport Shuttle LLC, said in the lawsuit filed Friday that Green Ride Boulder and Green Ride Longmont seller Ross Alexander of Boulder did not disclose a settlement agreement he had reached with the U.S. Department of Justice over Americans with Disabilities Act compliance. The DOJ contends that Chen’s company is the successor company and subject to the terms of the undisclosed settlement agreement, the lawsuit said. The agreement with the DOJ may require Chen’s company to buy an Ada-compliant vehicle at a cost of about $100,000.

The lawsuit also accuses Alexander and the part of the Green Ride company that he retained of poaching employees, even though the sales agreement included a non-solicitation provision.

Finally, the lawsuit asked the court to clarify the promissorynote provisions of the sales agreement, which seem to have two methods to calculate the monthly payments on the note.

The buyer would prefer to have fixed monthly payments for 60 months instead of payments based on revenue.

Alexander, when contacted by telephone, said he had not yet been served with the lawsuit and would have no comment.

Chen said he would comment, “but it wouldn’t be right of me to do so. Let the process unfold,” he said.

The case is Eight Black Partnership LLC and Boco Airport Shuttle LLC versus Flatirons Transportation LLC and Ross Alexander. It is case number 2022cv30417 filed in Boulder County District Court.

This article was first published by Bizwest, an independent news organization, and is published under a license agreement.