May 12, 2009 | The Biz

COLT founder vs COLT

COLT Studio has been sued by its founder Jim French, who is alleging that he is still owed $1.24 million of the $2.2 million promised during the 2003 sale of the company. He wants all original copyrights to revert to himself, and to have the assets of the studio sold in order to pay him the money owed.

Prowest Media President John Rutherford and Chief Financial Officer Thomas R. Settle were among the defendants named in the case, which was filed April 13 in San Francisco Superior Court.

In the brief filed for the suit, lawyers are arguing that Prowest failed to make several payments by January 2005. That month a new promissory note for $1.84 million was executed. The new promissory note dropped the total monthly payment by 42 percent to $25,000 per month.

"As the old saying goes, 'There are two sides to every story.' We regret that Mr. French has chosen to pursue his differences legally where only lawyers will prosper," Rutherford told XBIZ. "Please know that after nearly 20 years in this business learning from the best, we have every intention of working our differences out."

COLT Studio was founded in 1967, making it one of the granddaddies of gay porn. And the COLT name is associated with much more than just videos and magazines; other branded products include leather gear, cards, and books.

COLT is rumoured to be under financial stress. Perhaps French wants his money while he can still get it. 

Founder Jim French Sues COLT Operators [XBIZ]