An unauthorized collection of the records of Alternate Energy Holdings, inc., its principals and subsidiaries, and their antics, trials, and tribulations

Former AEHI CEO Don Gillispie

Former AEHI CEO Don Gillispie
OK, everyone, I've got to step out for just a minute. I'll be right back, I promise!

Thursday, August 9, 2012

AEHI Attorneys File Motion to Withdraw as Counsel: Cites AEHI's Failure to Honor Financial Commitments "In Excess of $700,000.00"

On Wednesday, K&L Gates, LLP, filed a Motion to Withdraw as Counsel for Alternate Energy Holdings, Inc.  They cited AEHI's failure to pay "fees and disbursements due in excess of $700,000" that would, according to the motion, place an "undue financial burden" on the firm if they continue as counsel.

While the Board of Directors of AEHI consents to the withdrawal of K&L Gates, the attorneys for defendants Don Gillispie and Jennifer Ransom object to the motion.

From the Declaration of Barry M. Hartman: (emphasis added)

4.  AEHI has failed to honor its financial commitments to K&L Gates LLP in this matter for the months of January, February, March, April, June, and July 2012, resulting in fees and disbursements due in excess of $700,000.  
5.  Since late March, 2012, AEHI has been given repeated and reasonable warning that K&L Gates LLP will withdraw as counsel in this matter unless AEHI fulfilled its commitments.

It appears that K&L Gates does not accept AEHI stock as payment for services.  If Don Gillispie and AEHI had a good any business plan and any hope of ever making a profit breaking even, wouldn't a business savvy law firm accept all the shares they could get from their own client, especially at the bargain barely book value price of $0.02?

Another question:  Why would any legitimate company continue to pay its CEO $46,000.00 per month while failing to pay its own legal bills?

Filing documents below:
Motion To Withdraw as Counsel:

Declaration of Barry M. Hartman:

Memorandum In Support of Motion:

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