The authorized battle between Journey’s Neal Schon and Jonathan Cain has added a brand new chapter, with Cain now following via with a countersuit in opposition to Schon, alleging that the guitarist ran up over a $1 million invoice on the band’s shared American Categorical Card and is breaching his fiduciary obligation to the band’s company entity.
Information of the divide between Schon and Cain got here to gentle in November when Schon sued Cain over the band’s funds, alleging that he had been denied entry to the band’s monetary information and likewise alleging that Cain had arrange the band bank card with out telling him with “tens of millions of Journey funds” flowing via it.
Cain quickly countered with a press release, revealing that he felt that Schon’s personal “reckless spending” was behind the authorized kerfuffle. “This can be a matter that ought to have been resolved privately, however I’m pressured to publicly reply now to Neal’s malicious lies and private assaults on my household and I in an effort to garner public assist for his ill-conceived lawsuit — a lawsuit that has completely no benefit,” stated Cain on the time, including, “Neal has at all times had entry to the bank card statements; what he lacks — and what he’s actually looking for — is the flexibility to extend his spending limits.”
Now, per Billboard, Cain has countered Schon’s swimsuit with considered one of his personal in opposition to the guitarist. Within the Jan. 13 submitting, he alleged that Schon racked up over $1 million in costs on the band’s bank card, together with spending over $400,000 in a single month final yr. Cain filed his swimsuit in California state court docket final week.
“Schon’s use of the [shared] AMEX card for private bills created critical liquidity issues for the band, because the AMEX stability needed to be paid each month, and there have been inadequate revenues to pay for different bills as Schon saddled Journey with over $1 million of his private bills,” Cain’s legal professionals wrote within the grievance.
In accordance with the swimsuit, Cain says that Schon demanded suites at a Hawaiian resort on the finish of a current tour that price over $5,000 per evening, then stayed per week longer than needed. He additionally cited a invoice final March that exceeded $400,000 that got here from costs at Bergdorf Goodman division retailer in New York Metropolis in addition to different retailers.
“Schon’s costs positioned appreciable strain on Journey and its potential to cowl regular tour bills,” his legal professionals wrote. “Schon was spending Journey’s cash, and Cain is the one who was and is finally chargeable for the AMEX Account and Schon’s costs on the AMEX Card.”
Cain is accusing Schon of breaching his fiduciary obligation to the band’s shared company entity.
In a press release to Billboard, Schon’s legal professional Skip Miller referred to as allegations “ridiculous” and “as phony as a 3 greenback invoice.” He stated the countersuit was merely “bitter grapes” after a current incident during which Schon demanded that Cain cease enjoying occasions for former President Donald Trump. “We would like Cain to only give attention to Journey and its followers,” Miller stated.
For the reason that preliminary lawsuit, Schon has made a number of extra allegations regarding Cain and his household in regard to the monetary dispute. Among the many most up-to-date was that Cain’s spouse, Paula White-Cain, had unlawfully accessed the band’s monetary account with out Schon’s consent.
Schon had additionally filed a cease-and-desist in opposition to Cain after the musician joined in a sing-along of “Do not Cease Believin'” with a number of right-wing politicians at a celebration at Donald Trump’s Mar-a-Lago property.
Regardless of the authorized drama behind the scenes, Journey will reportedly hit the street with Schon and Cain for his or her fiftieth anniversary tour. Cain just lately shared that he could be “hitting the street with Journey.” This got here as Schon was championing a return of the band’s authentic keyboardist, Gregg Rolie, for the fiftieth anniversary tour. But it surely was just lately revealed that Rolie’s return was being met with resistance from two members of the band.
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Queue “Winners and Losers” by Social Distortion.
