The Palm Beach Post

INTERNET FIRM RUNS AFOUL OF PACKERS, OTHER TEAMS

Sports franchises, others say they’re owed nearly $1.4M in lost fees.

- By Jeff Ostrowski Palm Beach Post Staff Writer

Saying they’re owed nearly $1.4 million by Forte Interactiv­e of West Palm Beach, six race organizers in Maryland and Wisconsin on Tuesday filed a petition to push the company into involuntar­y bankruptcy.

That’s in addition to three Major League Baseball teams and a California Chamber of Commerce that have sued the West Palm internet marketing firm. In all, the 10 organizers of 5Ks, bike rides and triathlons across the country say more than $2.5 million in entry fees collected by Forte Interactiv­e have disappeare­d.

Forte Interactiv­e’s RacePartne­r. com site collected entry fees and never turned them over, according to a blue-chip list of litigants that includes the NFL’s Green Bay Packers and Major League Baseball’s Chicago Cubs, San Francisco Giants and Milwaukee Brewers.

The largest creditor in Tuesday’s filing in U.S. Bankruptcy Court in West Palm Beach is Corrigan Sports Enterprise­s of Elkridge, Maryland. The company says in the filing that it’s owed $943,000 by Forte Interactiv­e.

Bellin Memorial Hospital and Bellin Health Foundation of Green Bay, Wisconsin, say they’re owed a combined $250,000, while the Green Bay Packers are seeking the return of $90,220 in missing race fees. Door County Triathlon and Fall 50, both of DePere, Wisconsin, are seeking a combined $100,000.

The creditors seek to force Forte Interactiv­e into a bankruptcy litigation, which would place the settlement of the company’s debts under the supervisio­n of a federal bankruptcy judge and trustee.

For nearly two decades, Forte Interactiv­e was a growing operation, with three dozen employees and an enviable stable of high-profile clients. Once headed by entreprene­ur Clay Williams, the company was taken over in late October by Kirk St. Johns, a turnaround specialist who lives in West Palm Beach.

In interviews, St. Johns said he believes Forte Interactiv­e used race entry fees to pay salaries and rent. Forte Interactiv­e and another company owned by Williams, Achieve Agency, moved out of their downtown West Palm Beach office space after their landlord filed an eviction suit.

In separate civil suits filed in 2017 and 2018, the Cubs, Giants and Brewers said t hey ’ re owed more than $900,000 for entry fees for races that took place in 2017. And the Giants have already won a judgment for $621,836.

The Giants said Forte Interactiv­e never turned over fees paid by thousands of runners who competed in the Giant Race series of events in San Francisco, Sacramento, San Jose and Scottsdale, Arizona, in 2017.

Last week, Chicago Cubs Charities, a nonprofit affiliated with the 2016 World Series champions, sued Forte Interactiv­e in Palm Beach County Circuit Court. The organizati­on says Forte Interactiv­e owes it $141,429 in registrati­on fees paid by runners who participat­ed in the Cubs’ annual Run to Wrigley Field 5K race in April 2017.

Forte Interactiv­e bounced a check for that amount in March 2017, Chicago Cubs Charities said in its suit.

The Milwaukee Brewers and the Brewers Community Foundation sued in February in Wisconsin. That suit says Forte owes $142,833 in fees from the Famous Racing Sausages 5K Run/Walk and the Hitting 4 The Cycle bike race.

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