Per the Associated Press - not only the stake in Curlin is property of the plantiffs but also the 20% share of his winnings too. Looks like that fat Breeders’ Cup check will be re-distributed. With over $5M in track purses, this means $1M+ will go towards the phen-fen folks … or rather a more likely 60% to their lawer and 40% to them 
Back of the envelope math:
$1,000,000 purse monies redistributed
$600,000 in legal fees in Ms. Angela Ford
$400,000 to 418 plantiffs or $956.94 each
A bit more info: AP 4:53 pm EST “Plaintiffs lawyers say Curlin now up for sale after judge’s order”
“I don’t want to speculate on what Curlin is worth,” said Angela Ford, an attorney who represents the new owners. “Let’s just say my clients are pleased as they find out.”
Mike Meuser, an attorney for Sanan and Padua Stables, confirmed the possible sale and said his client prefers a public auction that would also give the current owners a right to bid.
“The best way for us to find out [Curlin’s value] is to have an auction,” Meuser said.
“Curlin has been [Cunningham and Gallion’s] most well-known asset that is available to satisfy the judgment,” Ford said
But Curlin is not alone …
[Judge] Wehr’s ruling also entitles the plaintiffs to other horses owned by Midnight Cry Stable, which would include the winner of Thursday’s feature race at Churchill Downs, Stormin Baghdad.
But a Bloodhorse article said
http://news.bloodhorse.com/viewstory.asp?id=41844
An attorney representing Jess Jackson’s Stonestreet Stables issued a statement Nov. 2 clarifying the position of the owner-partner.
“The order … entered by Judge (William) Wehr in Boone County circuit court applies only to the 20% interest in Curlin owed by Mr. Gallion and Mr. Cunningham through Tandy LLC. That entity has done business using the name Midnight Cry Stables,” Lexington-based attorney Richard Getty said. “The order has absolutely has no effect in the other ownership interests in Curlin, none of which have been sold.”
Getty declined to comment further, other than to say: “We are evaluating the overall situation.”
An attorney representing the fen-phen plaintiffs suggested on the day of the ruling that Curlin would be sold, possibly at public auction. “All of the partners in Curlin believe that their interests are best served by selling the horse now,” attorney Angela Ford said at the time.
Contacted Nov. 2, Ford said she stands by the statement. “That’s what I was led to believe,” she said. “I guess maybe things can change.”
I really don’t understand this case. For one, I thought this was just a hearing about their being jailed and to find out where the funds are. I must have missed something. This deal seems odd-These people are owed $64 million. How can you give 400+ people ownership of a stable when you don’t have a worth for it yet? And like someone said, who is going to pay the costs?
I also can’t believe another lawyer would get a huge cut of the 64 million; that really isn’t fair to the people to have to pay lawyers fees again.
Ok Cothers…so if we all throw in a couple bucks each…:yes: let the bidding begin!
This just in:
http://news.bloodhorse.com/viewstory.asp?id=41857
This makes much more sense to me. However, in some way, it seems sad that a horse like Curlin might be going through a sale, although I am sure he could give a rats ass
I’m in!! :yes:
Seriously, if it were possible, I’d do it in a heartbeat. But the real point is that it’s terribly sad that the horses are paying the price for the owners who have their heads up their butts. I understand the court’s decision, but it still saddens me for the animals. (does that make sense? I’m not very good at putting it into words)
Kenike, it makes sense. it is sad that it seems like he is not treated like a living animal, just a piece of property. Of course he gets the best care, but it just shows that these people probably could not tell his head from his a$$ until someone told them which end crosses the finish line first. 
Pity what money and power can do to you.
yeah, that’s what I was trying to get at, but it didn’t come out that way.
It’s been a long couple of days…but that’s not horse-related
Jackson, Bolton buy out Sanan’s interest in Curlin
http://www.thoroughbredtimes.com/sales-news/2007/November/06/jess-jackson-buys-curlin.aspx
[QUOTE=miss_critic;2786548]
Jackson, Bolton buy out Sanan’s interest in Curlin[/QUOTE]
So software multi-multi millionaire Satish Sanan sold his Padua Stables’ 29% stake in Curlin. Then one could say that the purchase price paid by Jess Jackson and George Bolton should’ve determined his market value at the height of his career.
I suspect if Satish cut them a break (and didn’t hyper inflate Curlin’s value) then it could be used as leverage for perhaps a private and clean sale of Tandy LLC’s 20% stake in the next week. Who knows Satish may have said he’s worth just $20M now and gets $5,501,00 but as a future bonus he’ll be granted say 8 coverings a year for 5 year. Since the rate hasn’t been set, then the value of that isn’t necessarily known. 400+ people and their attorney aren’t going to want future breeding stakes - they’ll want their money now so some negotiating room for Jackson/Bolton to work that upfront cash price down.
Then again Ms. Ford, the attorney for the fen-phen crew might still push for public auction to determine maximum ‘market value’ for the awarded Midnight Cry Stables/Tandy LLC piece her clients now own.
Oy…is this going to be a mess?
[QUOTE=Glimmerglass;2786631]
Then again Ms. Ford, the attorney for the fen-phen crew might still push for public auction to determine maximum ‘market value’ for the awarded Midnight Cry Stables/Tandy LLC piece her clients now own.[/QUOTE]
Doesn’t majority rule? In other words, how can 20% of the owners decide what 80% of the ownership does?
[QUOTE=miss_critic;2786773]
Doesn’t majority rule? In other words, how can 20% of the owners decide what 80% of the ownership does?[/QUOTE]
Not necessarily.
The new owners of Tandy LLC’s 20% stake obviously don’t want to be the horse business and just want to liquidate their court-awarded stake at the highest price. Accordingly that minority stake would (I presume) until they are bought out do everything within their legal means to prevent the devaluation of Curlin and reduce costs. Reducing costs can mean taking him out of training and going into retirement, thus cancelling the higher premium insurance on an active race horse.
The sooner that Bolton/Jackosn can buy out that stake the sooner they can make longer term decisions.
In case anyone has this image of Curlinl being walked through a Fasig-Tipton sale you can dismiss that With just 20% of him “for sale” you can’t offer him in the ring but say “all you get is the right rear leg, mane, withers, and one of his eyes”!
The problem for Bolton/Jackson is what the class-action folks think (under advisement I’m sure from a blookstock agent) Curlin is worth. A breeding operation may want to buy that 20% stake on the market now to ensure they have a say in where he goes to stand at stud. So they might bid up the price.
Looks like if (and when) Curlin is sold trainer Kenny McPeek will (or asserts he will) get first crack at that revenue before the 418 plaintiffs or their lawyer do
Courier-Journal 11-12-07 “Trainer McPeek sues fen-phen lawyers over Curlin”
McPeek filed the suit on Friday in Jefferson Circuit Court alleging that the stable [Midnight Cry] breached a contract calling for him to get a 5 percent commission on the purchase and selling price of Curlin and other racehorses.
McPeek also contends the stable reneged on another part of the deal calling for him to get two lifetime breeding rights on each horse retired to stud.
Oh and how much is Curlin being valued at? Well I was way off the mark with my thought of him at $30 million …
Curlin’s value now has been estimated at $60 million to $70 million.
I think that is insane but go figure. He won a BCC and just one leg of the Triple Crown, the horse isn’t the return of Spectacular Bid …
The most current I’ve seen on Curlin:
Times-Picayune 11-29-07 “Curlin back at Fair Grounds, while his racing fate is decided”
It would reaffirm other articles that Curlin is being given a break from any training program and is being eased down such that he could end his racing career without it being so abrupt or could also go back to racing in the spring.
Funny, I almost forgot about this drama after not hearing anything for a few weeks! Which is probably for the better since I don’t want to get my hopes up.
One thing you can say for Culin: he’s done more business for the court system since the asbestos and tobacco litigation
Churhill Downs Inc. sues Midnight Cry over Earnings Dec 15, 2007
Churchill Downs has filed a lawsuit against Midnight Cry Stable’s co-owners, saying it wants a court to decide who should get purse money earned by their runners.
The complaint was filed Dec. 12 in Boone County, Kentucky, Circuit Court, and seeks to decide whether $33,000 in earnings from three horses owned by William Gallion and Shirley Cunningham’s racing entity, Midnight Cry Stable, should go to the stable, or to more than 400 former clients who claim they are due some of the horse owner’s winnings.
The purse money doesn’t involve leading Horse of the Year candidate Curlin, who is owned 20% by Midnight Cry Stables.
According to the Cincinnati Post, Churchill Downs filed the lawsuit because it doesn’t want to pay the incorrect party and then be involved in possible future litigation.
Curlin update
I’m lucky enough to get to see Curlin train often in the mornings here at the Fair Grounds in New Orleans. Even though the law suit is still going on Steve keeps Curlin doing what he loves, training.
In spite of all the controversy he is an amazing animal and should be thought of as such, not just another law suit.
Donna
www.dallaskeen.com
Donna – thanks for the update. How cool that you get to see Curlin train in the mornings!
I really don’t want Curlin to retire, but if they are going to do it (and stand him at stud next year) don’t they need to do it pretty soon?
I think breeding season usually starts on/around Valentine’s Day and surely they would need some time to figure out which farm, for him to be syndicated, for mare owners to book their mares to him, to do some test breedings with him, etc.
Since nothing has been announced and he’s still in training, I hope this means he will race again next year. :yes:
ESPN/DRF 12-19-07 “Decision on BC Classic winner Curlin near”
Still, every day that passes makes Curlin a longer and longer shot to become a stallion in 2008. The breeding season is nearly upon Kentucky, and Curlin is nowhere near a stallion barn. Instead he is in steady training at Fair Grounds with Steve Asmussen, who, for lack of any other directive, continues to train Curlin with an eye toward an early-season 2008 campaign.
Asmussen said that Curlin was scheduled to have his first two-minute lick this coming Monday, with a similar piece of exercise less than a week later. A two-minute lick is faster than a gallop and slower than a breeze, and after a couple of them, a horse coming back from a layoff is generally ready for his first published workout.
Possible 2008 races? If he does race at 4-yrs old I’d have to assume that the Dubai World Cup in spring would be the No. 1 goal with the Breeders Cup Classic No. 2. Following the footsteps of Invasor in 2006 would be what I’d expect although no more Pimlico Special.
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