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Earnhardts sued by former associate:

Earnhardts sued by former associate: Gray London says he helped finance “The Intimidator'” successful career. Now, he’ suing the multi-million dollar racing empire Dale Earnhardt Inc. to get a return on his 28-year-old investment. Jury selection took up the entire Cleveland County Court [NC] session on Monday. Juror after juror was excused from the trial after attorneys had trouble finding any who weren’t fans of Earnhardt or his son, Dale Earnhardt Jr. Winston Cup champion car owner Rick Hendrick was in Shelby on Monday for the trial. Teresa Earnhardt, Earnhardt’ widow and head of DEI, as well as legendary driver Harry Gant could also make appearances as witnesses, possibly as early as today. In his complaint filed in the summer of 2000 Gray London of Boiling Springs alleges he entered an agreement in 1999 with DEI to release Earnhardt from the defunct racing team the two men formed in 1974. London granted the release in exchange for $550,000 and the rights to make collectibles of three of Earnhardt’ first cars through his company, Driver on a Mission. The complaint alleges DEI violated the agreement and “used its economic clout within the racing souvenir industry to pressure individuals and businesses to refrain from or to stop doing business with DOM.” The complaint says DEI told London’ prospective business partners they would “suffer if they do business with Mr. London or DOM.” London claims that in 1974 he and Earnhardt formed the Earnhardt Racing Team, with each man putting up half of the money. “He helped Dale Earnhardt get started in 1974 after Dale’ father died. He put up the money for him to get started in racing,” said London’ attorney Irving Brenner. “Over the years, Mr. London and Dale Earnhardt talked about settling up on their agreement and in January of 1999 they did. There was an agreement between Dale Earnhardt Inc. and Mr. London,” said Brenner. London filed a lawsuit against DEI because, Brenner said, the agreement between the two men was broken by DEI. “The dispute is over not paying him the money the agreement calls for,” Brenner said. London claims DEI owes him $100,000 through Action Performance, a racing souvenir company, under the 1999 agreement and alleges his company was not allowed to sell Earnhardt collectibles, which was also provided for under the agreement. DEI filed a countersuit claiming London breached the contract. Both the suit and countersuit ask for unspecified monetary amounts. “Basically, Mr. London knew Dale and his family and they had a racing team and it went under in two years,” said attorney Judson Graves, who represented the Earnhardts last year in a Florida courtroom to restrict access to Earnhardt’ autopsy photos. “London came back looking for something out of the old days and threatened a suit. DEI lived up to their agreement and they (London) didn’t,” said Graves. He said neither side disputes the existence of the 1999 contract between London and DEI.(in part from the Gaston Gazette, a short term link)(3-12-2002)