November 18 - EPE to Court

The saga of EPE's proposed 6,200-seat venue on its Graceland campus took another turn Wednesday. Officials from EPE Inc. filed a declaratory judgment action asking the Chancery Court of Shelby County to declare that the development of the venue would not violate the non-compete and non-participation covenants in the FedExForum use and operating agreement between the City of Memphis and Memphis Grizzlies.

In its statement, EPE wrote, "It is, and always has been, EPE's position that the FedExForum Use and Operating agreement does not prohibit the City of Memphis and Shelby County from extending tax incentives to support the development of the 6,200-seat venue in the same manner that the city and county regularly extend such incentives to other qualifying commercial enterprises."

The statement goes on to read, "Despite EPE's good faith negotiations and its proposal to substantially change the development and to agree to limitations on the use of the multi-purpose facility, EPE was not able to reach a reasonable business agreement with the City of Memphis and the Memphis Grizzlies."

On Aug. 22, EPE presented its original plans for the concert and event facility to Memphis City Council and asked them to support an increase in the tax increment financing from 50 to 65 percent to fund the venue. The Memphis Commercial Appeal takes a rather negative view saying "EPE takes on Memphis and the Grizzlies with a misguided lawsuit"

(Source: Elvis Information Network / Commercial Appeal)

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