GGW Trustee Says Francis Made Fraudulent IP Transfers

LOS ANGELES — A U.S. bankruptcy court this evening approved an emergency motion by the trustee overseeing the Chapter 11 filing of several Girls Gone Wild companies to review emails stored on computers and servers in its offices.

Trustee Todd Neilson told the court that he needed to review the emails immediately because Girls Gone Wild founder Joe Francis fraudulently transferred company trademarks, including Girls Gone Wild and Guys Gone Wild brands, to an offshore St. Kitts and Nevis company he owns.

The intellectual property, core to GGW's enterprises, expire May 31, Neilson told the court.

"Path Media contends, through its representative, that on Feb. 25, 2013 (two days before the debtors filed for bankruptcy), it terminated the debtors’ license to use the trademarks and entered into a short-term license agreement that expires on May 31, 2013," Matthew Heyn, an attorney for Neilson, told the court in a declaration.

"The trustee seeks to revoke the cancellation of GGW Marketing and file a voluntary Chapter 11 petition for GGW Marketing, in part, so that GGW Marketing may recover the fraudulent transfer of the trademarks to Path Media," the declaration said.

"Expedited relief is necessary so that the trustee may revoke the cancellation of GGW Marketing, file a voluntary petition for GGW  Marketing and commence a fraudulent transfer action prior to the May 31, 2013, expiration of the short term license agreement."

U.S. Bankruptcy Judge Sandra Klein granted the trustee's motion in its entirety, allowing him to review email files that were sent to or from the email accounts ending in @girlsgonewild.com and @ggwbrands.com of “four high-level managers and key executive of the debtors” that are currently stored on computer equipment in company office space and in cloud storage.

"This court shall retain jurisdiction to resolve any disputes arising or related to this order including any discovery disputes that may arise between or among the parties and to interpret, implement and enforce the provisions of this order," Klein ordered this evening.

Francis’ Girls Gone Wild empire filed for Chapter 11 bankruptcy protection in February.

Among the four largest creditors that were listed in the filing, the largest was $10.3 million in disputed debt with Wynn Las Vegas. The dispute stems from a $2 million gambling debt Francis incurred during a trip to the resort in Feb. 2007.

A judgment last year of $7.5 million was given to the hotel for defamation “stemming from Francis’s public attack falsely accusing Wynn of deceiving customers,” according to the suit. In September, a jury awarded Wynn another $20 million in punitives for slander.

Wynn’s attorneys recently targeted Francis’ GGW assets held in affiliates called GGW Direct LLC, GGW Brands LLC, GGW Events LLC and GGW Magazine LLC.

Last month, Klein made a ruling on appointing Neilson as trustee after creditors, including Wynn Las Vegas, accused Francis of using the business to dodge his debts.

View judge's order

Related:  

Copyright © 2025 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

Tiffani Time Makes Her WIFEY Debut

Newly crowned XMA Creator Awards Rising Clip Creator Tiffani Time stars with her husband Benfit and Jax Slayher in the latest release from Vixen Media Group studio imprint WIFEY.

Karmen Karma Stars in Latest From Ricky's Room

Karmen Karma stars in the latest release from Ricky's Room, titled "A Long Time Cumming."

FSC Publishes Analysis of Federal Trade Commission Event Promoting AV

Free Speech Coalition (FSC) has published an analysis of a Federal Trade Commission (FTC) event held this week that promoted age verification among other forms of speech regulation.

Cubbi Thompson Makes Her Jules Jordan Debut

Cubbi Thompson has made her Jules Jordan debut alongside Lexington Steele in the studio's latest release.

Seth Gamble Drops Trailer for Upcoming Feature 'Once Upon a Time in the Valley'

Multi-XMAs winner Seth Gamble has released the trailer for his upcoming Wicked Pictures feature, "Once Upon a Time in the Valley."

Ryan Reid Stars in Latest From Brazzers

Ryan Reid stars with Damon Dice in “A Day in the Life,” from Brazzers.

Andylynn Payne Toplines Joey Silvera's 'Trans-Active 30'

Andylynn Payne headlines director Joey Silvera’s “Trans-Active 30” from Evil Angel.

Violet Myers, Megan Faith Star in Latest From Slayed

Reigning XMAs Premium Social Creator of the Year Violet Myers stars with Megan Faith in the latest release from Vixen Media Group studio imprint Slayed.

Coco Bae Returns to Brazzers

Coco Bae stars with Danny D. in the latest release from Brazzers, titled “The Cock Collector.”

GirlsDoPorn Owner Michael Pratt Pleads Guilty to Sex Trafficking

Michael Pratt, former owner of the rogue website GirlsDoPorn, pleaded guilty in the U.S. District Court for the Southern District of California on Thursday to sex trafficking and conspiracy to commit sex trafficking charges, according to a report by City News Service.

Show More