Xerox lawsuit set for court hearing

Suit against Mustang publisher involves equipment leases

A lawsuit seeking $2 million, plus interest, from a Mustang publisher will be heard by a Canadian County judge Friday morning.

Xerox Corp. filed the suit against Tate Publishing & Enterprises LLC and its president and CEO, Ryan Tate, in 2016. It accuses the company of failing to pay what it owes on leases for digital presses and related equipment.

Since then, Xerox has repossessed the equipment, and now is pushing for a summary judgment against Tate and his company.

The lawsuit involves equipment Tate Publishing leased from Xerox in 2011 and in 2013, supporting documents show. As part of the leases, Tate Publishing agreed to pay Xerox monthly print and maintenance charges related to the equipment.

The lawsuit asserts Tate Publishing defaulted on its initial agreements to acquire and use the equipment, owing Xerox $593,308, in late 2015.

On Dec. 29, 2015, Tate Publishing entered into an account modification agreement with Xerox in which the firm agreed that it had defaulted on the initial deals.

The account modification agreement also set

up new payment schedules Tate Publishing agreed to, ranging from 49 to 72 months depending on the piece of equipment involved, and credited Tate Publishing with $100,000 as part of the restructured deal.

But the lawsuit, filed in Canadian County District Court in May, asserts Tate Publishing defaulted on its revised contract in February 2016. Xerox then obtained an order authorizing repossession of the equipment, which was executed in July.

In a November filing, Tate Publishing agreed it defaulted on its initial contract, and that it had not made any payments to Xerox as part of the restructured deal.

But Tate Publishing also asserted it doesn’t owe Xerox any money because it says the equipment the company provided was defective, and that Xerox misrepresented to Tate Publishing that it could meet its publishing needs.

Attorney James Vogt, who is representing Xerox in the case, said on Tuesday he couldn’t comment about the suit.

Meanwhile, it was unclear Tuesday who is representing Tate Publishing in the case. The firm’s attorney when the lawsuit initially was filed was Richard L. Hasley, of Oklahoma City. But in September, an order was granted allowing Hasley to withdraw from the case, as he was retiring.

Hasley was replaced by George H. Ramey and William D. Tharp, of Ramey & Tharp in Yukon.

On Dec. 1, Ramey & Tharp submitted an application to withdraw from the case as Tate Publishing’s representatives, as well, saying the Mustang publisher had failed to meet its financial obligations with the law firm.

A hearing on that issue, as well Xerox’s lawsuit, is set for 9 a.m. Friday before Canadian County District Judge Gary Miller.

Tate Publishing describes itself as a “Christian-based, family-owned, mainline publishing organization with a mission to discover and market unknown authors.” It also publishes and markets music.

Attempts to reach Ryan Tate on Tuesday were not successful.