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3 of 3 Premium Clicks used this month SUBSCRIBE Print + Online Subscriber Activation | Register x Forgot Password | Need an Account? e-edition | subscribe | newsletter | deals Home News Latest Stories Medford School District budget funds new student success programs RCC President Angstadt retires Rogue jet boat tour company eyes TouVelle for permanent home Prefontaine-style running trail proposed in south Medford Jackson County district election turnout under 17 percent Crime, Courts and Emergency Services Medford police identify woman found dead in field Emergency services, May 18 Body found in southeast Medford field Emergency services, May 17 Public meetings for May 18-22, 2015 Politics and Elections Jackson County district election turnout under 17 percent Arthur I. 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Medford School District budget funds new student success programs ... RCC President Angstadt retires ... Senate panel passes medical pot rules ... Medford School District budget funds new student success programs ... RCC President Angstadt retires ... COURTS Sawyer Paddles sues manufacturer, alleging breach of contract By Thomas Moriarty Mail Tribune MailTribune.com By Thomas Moriarty Mail Tribune Posted May. 15, 2015 @ 6:02 pm By Thomas Moriarty Mail Tribune Posted May. 15, 2015 @ 6:02 pm » Social News p bs:newslist StartDate="20121121" EndDate="p bs:datecalc Months="3"" DateSort="1" UseObjects="1" ObjectClass="81" Taxonomywords="2325,665" ExactTaxonomyMatch="1" Image="1" Count="4" --> Sawyer Paddles and Oars is suing a portfolio company of Ashland-based Gilded Rogue Enterprises, alleging it hijacked Sawyer's manufacturing equipment and product in breach of contract. Roguewood, a Grants Pass furniture maker purchased by Gilded Rogue last July, says it shut down production only after Sawyer stopped paying for orders filled. Sawyer owner Peter Newport said his Talent-based business had entered into a strategic alliance and purchase agreement in October 2014 in which Roguewood was to take over manufacturing for Sawyer, which makes hardwood paddles for water sports ranging from canoeing to stand-up paddleboarding. Roguewood also agreed to hire Sawyer's employees, Newport said. According to a complaint filed May 4 in Jackson County Circuit Court, Roguewood agreed to pay $543,000 for Sawyer's equipment, inventory and as-yet unfinished paddles. The agreement, a copy of which was filed with Sawyer's complaint, stipulates Roguewood would pay $343,000 for the equipment and $200,000 for work in progress. Elizabeth Bauer, president and CEO of Gilded Rogue, said Roguewood struck up the agreement with Newport after he indicated he was having trouble keeping production up with demand. But Roguewood missed its Jan. 31 deadline for payment and fell more than 90 days behind on filling orders for Sawyer, according to the complaint; Bauer said it took the company "a little longer to get going than we thought," but that production was well underway by early spring. Newport said that when he refused to continue to advance Roguewood funds for payroll and materials, the company shut down its production and refused to return the equipment. Bauer said that's because Sawyer owes Roguewood more than $290,000 in orders, and Roguewood's lender had seized the company's credit line for lack of payment. "It got to the point that they had a very large accounts receivable balance," she said, explaining that Roguewood ended up having to halt production in April because of the lack of funds. Newport said that's unacceptable. "They shut down production on us during our busiest season," he said, adding that he's pursuing a restraining order against Gilded Rogue to stop the company from selling off Sawyer's equipment. Sawyer is seeking $2 million in damages and is asking the court to rescind Sawyer's contract with Roguewood. In addition to Roguewood, Gilded Rogue lists the Basil and Berries cafe in Medford's Rogue Valley Mall and California-based furniture maker Jefferson State Forest Products among its portfolio. "We take companies that have challenges or may need a transition solution," Bauer said. "We're trying to build up companies and their employees so that they own the companies at the end." Ashland city Councilor Greg Lemhouse currently serves as the firm's chief operating officer. Bauer said she hopes the lawsuit will be settled in mediation, but that Roguewood is prepared to seek damages in excess of $1 million in addition to the $290,000 it says it's owed. "Frankly, we hope this gets settled in mediation," she said. Reach reporter Thomas Moriarty at 541-776-4471 or [email protected] . Follow him at @ThomasDMoriarty . By Thomas Moriarty Mail Tribune MailTribune.com By Thomas Moriarty Mail Tribune Posted May. 15, 2015 @ 6:02 pm » Comment or view comments /* $( document ).ready(function() { // Jquery mobile is trying to style the button and leaving a blank gry button on top of a white button $("#viafouracoms .vf-comment-controls li.vf-right").html(' Submit '); });*/ » STAY INFORMED Email NewsLetter Sign Up Today Sign up for our newsletter and have the top headlines from your community delivered right to your inbox. calendar Connect with MailTribune.com Facebook Twitter RSS Back to top Reader Services Reader Services Home Subscriptions Subscriber controls Contact us Submissions Photos Events Letters to the editor Corrections Announcements Obituaries Story ideas Since you asked Alerts Email Alerts RSS Feeds Text Alerts Advertise Media Kit Home Products and services Ad rates Advertising contacts Propel Marketing Mail Tribune Daily Tidings The Nickel Shop Our Valley Blogs Stay Informed Email newsletter Sign Up Today Sign up for our newsletter and have the top headlines from your community delivered right to your inbox. 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