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Contract dispute continues over Wayne Newton's museum and estate

The lawsuit continues over the proposed "Wayne Newton's Casa de Shenandoah" on the 39.5 acre estate in Las Vegas where Newton lives with his wife. The management company, CSD LLC, that the Newtons have a 20 percent interest in and agreed to develop the tourist attraction with, is seeking to dissolve the company over a contract dispute. But they are locked into the partnership for now, as the judge in the case denied the request for the time being.

CSD partners had a meeting in June, when they approved a resolution that the museum may not necessarily honor Newton. Instead, the museum would be called "The Fabulous Las Vegas Museum." The Newtons are trying to retain the rights to keep an exclusive theme to the proposed public museum and tourist attraction, whereby it would honor the legendary entertainer's career.

As we have previously discussed in this blog, the lawsuit alleges that CSD partners, who had purchased the property in 2010 for $19.5 million, with the intent of building the public museum and tourist attraction dedicated to Newton's career, have "irreconcilable differences" with the Newtons, and cannot continue their working relationship with the entertainer and his wife. In August, CSD partners voted to dissolve the company, and are now seeking a legal resolution to formally close the company.

The CSD partners claim that they have invested over $50 million into the proposed project, and should not be required to continue putting money into the property. If the judge permits them to dissolve the company, the partners would retain the estate, and the Newtons would need to move, taking their Arabian horses with them.

The judge turned down the CSD partners request for dissolution for the time being. She has continued the case until Dec. 7, so that Newton's attorneys can gather additional information to submit to her for consideration.

Source: Las Vegas Sun, "Judge's decision keeps Wayne Newton museum project intact," Dave Toplikar, Aug. 28, 2012

Our law firm is experienced representing business clients in contract disputes and other commercial litigation. For more information, please visit our Henderson commercial litigation page.

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