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Double Bass Kolstein Legal issues
- Thread starter DaveMFM
- Start date
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The best jokes are also true.Just use Spirocores, duh
(JUST KIDDING. IT’S A JOKE)
Ross Kratter
Supporting Member
- Dec 31, 2010
- 449
- 297
- 33
- Disclosures
- Artist, RS Berkeley, La Bella Strings, Phil Jones Bass Amplification, Remic, Jerry Harvey Audio
Just for kicks, I looked Manny’s house up on Google Maps. Guy has a waterfront home with some seriously nice cars in the driveway, and a nice boat docked in back. I always got a strange vibe from him, especially my most recent encounter last May, when I visited the Orlando location for the first time. Something was seriously off.
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Well it looks like a suit was filed to evict Kolstein from the Orlando store. Here is the summary, though I don’t have access to the complaint itself. Trying to get a copy.
Things are not looking good for Manny.
Things are not looking good for Manny.
Ross Kratter
Supporting Member
- Dec 31, 2010
- 449
- 297
- 33
- Disclosures
- Artist, RS Berkeley, La Bella Strings, Phil Jones Bass Amplification, Remic, Jerry Harvey Audio
I feel like I ought to drive by there and see what it looks like. Maybe I’ll do that today before my gig.
Ross Kratter
Supporting Member
- Dec 31, 2010
- 449
- 297
- 33
- Disclosures
- Artist, RS Berkeley, La Bella Strings, Phil Jones Bass Amplification, Remic, Jerry Harvey Audio
Also, I feel as though the only way out for Kolstein’s now is for Barrie to buy the business back from Manny. It would likely be the only way to salvage their reputation.
He might not have to buy it as much as repossess it. I wouldn’t be surprised it there was a “payment plan” over a number of years to buy the business. If the payments can’t be made the contact isn’t performed. As well, based on the lawsuit between Barrie and Manny it seems the former still owns the inventory which would make sense so there is probably a sell through arrangement. So Barrie is probably holding the cards. That said I am sure he would prefer just to be retired and this has to be a source of agita for him.
According to this review on google, it looks like the Florida location is already closed and empty as of last week.
Ross Kratter
Supporting Member
- Dec 31, 2010
- 449
- 297
- 33
- Disclosures
- Artist, RS Berkeley, La Bella Strings, Phil Jones Bass Amplification, Remic, Jerry Harvey Audio
I haven’t had time to swing by there; now it seems as though I don’t have to.
According to this review on google, it looks like the Florida location is already closed and empty as of last week.
And the plot thickens.
I have said things don't seem to look good for Manny. I am not an attorney but unfortunately have experience with these kinds of matters as a business owner and as one who has helped business owners sell their businesses so I wanted to share some thoughts in light of recent developments.
First, it appears the Kolstein Roosevelt Field store on Long Island is closed, too. I am surprised no one has mentioned this but I did a search and it is indeed permanently closed. So the only remaining store is the one in Baldwin which was the only store for the many decades that the Kolstein family ran a very successful business. That store is still owned by Barrie Kolstein (presumably through an LLC called Kolstein Realty) so Manny's only remaining storefront is owned by the guy whose business he is buying who also happens to be suing him.
Now I say "is buying" instead of "bought" because typically in sales of small companies that are "asset rich," (in this case, the seller of the company owns the real estate and the instrument inventory through various LLCs) the buyer does not write a large check all at once but rather there is a payment plan over a number of years for the business and the inventory assets are sold through on behalf of the seller by the buyer. This seems to be the case here as on December 3, 2024, Barrie and his LLCs that own the inventory, the Baldwin building and I presume certain assets of the Kolstein Business (trademarks and such), are suing Manny and his company, Kolstein Music, Inc.
Based on the allegations here and my experience with deals where similar businesses have changed ownership, I would assume that the arrangement between seller (Barrie) and buyer might look something like this:
-Buyer (Manny) sets up a new company which will operate the business going forward (Kolstein Music, Inc). It will engage in all the same public-facing activities of the old business such as instrument service and maintenance, instrument sales, consignment, etc.
-Kolstein Music Inc., will sell the instruments owned by Barrie and/or his company Kolstein Instrument Inventory, LLC, on a consignment basis. The funds less consignment fees are to be paid through to Barrie/ Kolstein Instrument Inventory, LLC).
-Kolstein Music Inc. also entered into an arm's length lease with Kolstein Realty as tenant and pays rent to Kolstein Realty for the Baldwin space.
-Kolstein Music Inc. pays Barrie Kolstein and/or Kolstein Associates LTD) some sort of periodic payment towards the purchase of the overall business over a period of time to buy out the Kolstein business and its various assets, trademarks, etc, out of its operating profits.
In short, the suit brought by Barrie and his LLCs is for breach of contract, unjust enrichment, breach of duty of good faith and fair dealing, and conversion. These are all legal terms that you can look up but the one that jumps out at me is the allegation conversion. A legal definition of conversion is as follows:
"Conversion is a civil wrong that occurs when someone takes another person's property without permission or lawful justification. It's also known as an intentional tort. "
This is essentially a verbose and legalese way of saying "theft." This should be very concerning to the DB community, especially in light of one very high profile "misunderstanding" that involved someone's $150K bass that was on consignment at the shop:
There is also this:
In light of the fact pattern above, it seems this is a topic that the DB community should be on alert about. I personally would not be leaving my instrument in care of a shop in this current situation. I cited the Daddy's Junky Music case as an example of how customer instruments held for repair can get lost in an asset forfeiture or foreclsure:
As I recall learning, Barrie and Manny are trying to settle this matter so it will be interesting to learn about how things ultimately unfold. In the meantime, everyone should be aware of the dynamics at play here.
I have said things don't seem to look good for Manny. I am not an attorney but unfortunately have experience with these kinds of matters as a business owner and as one who has helped business owners sell their businesses so I wanted to share some thoughts in light of recent developments.
First, it appears the Kolstein Roosevelt Field store on Long Island is closed, too. I am surprised no one has mentioned this but I did a search and it is indeed permanently closed. So the only remaining store is the one in Baldwin which was the only store for the many decades that the Kolstein family ran a very successful business. That store is still owned by Barrie Kolstein (presumably through an LLC called Kolstein Realty) so Manny's only remaining storefront is owned by the guy whose business he is buying who also happens to be suing him.
Now I say "is buying" instead of "bought" because typically in sales of small companies that are "asset rich," (in this case, the seller of the company owns the real estate and the instrument inventory through various LLCs) the buyer does not write a large check all at once but rather there is a payment plan over a number of years for the business and the inventory assets are sold through on behalf of the seller by the buyer. This seems to be the case here as on December 3, 2024, Barrie and his LLCs that own the inventory, the Baldwin building and I presume certain assets of the Kolstein Business (trademarks and such), are suing Manny and his company, Kolstein Music, Inc.
Based on the allegations here and my experience with deals where similar businesses have changed ownership, I would assume that the arrangement between seller (Barrie) and buyer might look something like this:
-Buyer (Manny) sets up a new company which will operate the business going forward (Kolstein Music, Inc). It will engage in all the same public-facing activities of the old business such as instrument service and maintenance, instrument sales, consignment, etc.
-Kolstein Music Inc., will sell the instruments owned by Barrie and/or his company Kolstein Instrument Inventory, LLC, on a consignment basis. The funds less consignment fees are to be paid through to Barrie/ Kolstein Instrument Inventory, LLC).
-Kolstein Music Inc. also entered into an arm's length lease with Kolstein Realty as tenant and pays rent to Kolstein Realty for the Baldwin space.
-Kolstein Music Inc. pays Barrie Kolstein and/or Kolstein Associates LTD) some sort of periodic payment towards the purchase of the overall business over a period of time to buy out the Kolstein business and its various assets, trademarks, etc, out of its operating profits.
In short, the suit brought by Barrie and his LLCs is for breach of contract, unjust enrichment, breach of duty of good faith and fair dealing, and conversion. These are all legal terms that you can look up but the one that jumps out at me is the allegation conversion. A legal definition of conversion is as follows:
"Conversion is a civil wrong that occurs when someone takes another person's property without permission or lawful justification. It's also known as an intentional tort. "
This is essentially a verbose and legalese way of saying "theft." This should be very concerning to the DB community, especially in light of one very high profile "misunderstanding" that involved someone's $150K bass that was on consignment at the shop:
There is also this:
In light of the fact pattern above, it seems this is a topic that the DB community should be on alert about. I personally would not be leaving my instrument in care of a shop in this current situation. I cited the Daddy's Junky Music case as an example of how customer instruments held for repair can get lost in an asset forfeiture or foreclsure:
Months later, still no answers for some of Daddy's Junky Music customers
DURHAM — Fred Bramante, founder of Daddy's Junky Music, begins each month by laying out his goals in a planner. He ranks each goal in order of importance, and assigns himself letter grades as each go…
www.fosters.com
As I recall learning, Barrie and Manny are trying to settle this matter so it will be interesting to learn about how things ultimately unfold. In the meantime, everyone should be aware of the dynamics at play here.
Last edited:
Ross Kratter
Supporting Member
- Dec 31, 2010
- 449
- 297
- 33
- Disclosures
- Artist, RS Berkeley, La Bella Strings, Phil Jones Bass Amplification, Remic, Jerry Harvey Audio
Oh man, what a mess.And the plot thickens.
I have said things don't seem to look good for Manny. I am not an attorney but unfortunately have experience with these kinds of matters as a business owner and as one who has helped business owners sell their businesses so I wanted to share some thoughts in light of recent developments.
First, it appears the Kolstein Roosevelt Field store on Long Island is closed, too. I am surprised no one has mentioned this but I did a search and it is indeed permanently closed. So the only remaining store is the one in Baldwin which was the only store for the many decades that the Kolstein family ran a very successful business. That store is still owned by Barrie Kolstein (presumably through an LLC called Kolstein Realty) so Manny's only remaining storefront is owned by the guy whose business he is buying who also happens to be suing him.
Now I say "is buying" instead of "bought" because typically in sales of small companies that are "asset rich," (in this case, the seller of the company owns the real estate and the instrument inventory through various LLCs) the buyer does not write a large check all at once but rather there is a payment plan over a number of years for the business and the inventory assets are sold through on behalf of the seller by the buyer. This seems to be the case here as on December 3, 2024, Barrie and his LLCs that own the inventory, the Baldwin building and I presume certain assets of the Kolstein Business (trademarks and such), are suing Manny and his company, Kolstein Music, Inc.
Based on the allegations here and my experience with deals where similar businesses have changed ownership, I would assume that the arrangement between seller (Barrie) and owner might look something like this:
-Buyer (Manny) sets up a new company which will operate the business going forward (Kolstein Music, Inc). It will engage in all the same public-facing activities of the old business such as instrument service and maintenance, instrument sales, consignment, etc.
-Kolstein Music Inc., will sell the instruments owned by Barrie and/or his company Kolstein Instrument Inventory, LLC, on a consignment basis. The funds less consignment fees are to be paid through to Barrie/ Kolstein Instrument Inventory, LLC).
-Kolstein Music Inc. also entered into an arm's length lease with Kolstein Realty as tenant and pays rent to Kolstein Realty for the Baldwin space.
-Kolstein Music Inc. pays Barrie Kolstein and/or Kolstein Associates LTD) some sort of periodic payment towards the purchase of the overall business over a period of time to buy out the Kolstein business and its various assets, trademarks, etc, out of its operating profits.
In short, the suit brought by Barrie and his LLCs is for breach of contract, unjust enrichment, breach of duty of good faith and fair dealing, and conversion. These are all legal terms that you can look up but the one that jumps out at me is the allegation conversion. A legal definition of conversion is as follows:
"Conversion is a civil wrong that occurs when someone takes another person's property without permission or lawful justification. It's also known as an intentional tort. "
This is essentially a verbose and legalese way of saying "theft." This should be very concerning to the DB community, especially in light of one very high profile "misunderstanding" that involved someone's $150K bass that was on consignment at the shop.
In light of the fact pattern above, it seems this is a topic that the DB community should be on alert about. I personally would not be leaving my instrument in care of a shop in this current situation. I cited the Daddy's Junky Music case as an example of how customer instruments held for repair can get lost in an asset forfeiture or foreclsure:
Months later, still no answers for some of Daddy's Junky Music customers
DURHAM — Fred Bramante, founder of Daddy's Junky Music, begins each month by laying out his goals in a planner. He ranks each goal in order of importance, and assigns himself letter grades as each go…www.fosters.com
As I recall learning, Barrie and Manny are trying to settle this matter so it will be interesting to learn about how things ultimately unfold. In the meantime, everyone should be aware of the dynamics at play here.
This showed up in my inbox today; I think I'll pass on ordering anything.
Kolstein Music
Violin, Viola, Cello, Double Bass and Bows. We manufacture musical instruments, accessories- restore, rent, and appraise student level, intermediate and pedigree.
kolstein.com
Good call.This showed up in my inbox today; I think I'll pass on ordering anything.
Kolstein Music
Violin, Viola, Cello, Double Bass and Bows. We manufacture musical instruments, accessories- restore, rent, and appraise student level, intermediate and pedigree.kolstein.com
And the plot thickens.
I have said things don't seem to look good for Manny. I am not an attorney but unfortunately have experience with these kinds of matters as a business owner and as one who has helped business owners sell their businesses so I wanted to share some thoughts in light of recent developments.
First, it appears the Kolstein Roosevelt Field store on Long Island is closed, too. I am surprised no one has mentioned this but I did a search and it is indeed permanently closed. So the only remaining store is the one in Baldwin which was the only store for the many decades that the Kolstein family ran a very successful business. That store is still owned by Barrie Kolstein (presumably through an LLC called Kolstein Realty) so Manny's only remaining storefront is owned by the guy whose business he is buying who also happens to be suing him.
Now I say "is buying" instead of "bought" because typically in sales of small companies that are "asset rich," (in this case, the seller of the company owns the real estate and the instrument inventory through various LLCs) the buyer does not write a large check all at once but rather there is a payment plan over a number of years for the business and the inventory assets are sold through on behalf of the seller by the buyer. This seems to be the case here as on December 3, 2024, Barrie and his LLCs that own the inventory, the Baldwin building and I presume certain assets of the Kolstein Business (trademarks and such), are suing Manny and his company, Kolstein Music, Inc.
Based on the allegations here and my experience with deals where similar businesses have changed ownership, I would assume that the arrangement between seller (Barrie) and buyer might look something like this:
-Buyer (Manny) sets up a new company which will operate the business going forward (Kolstein Music, Inc). It will engage in all the same public-facing activities of the old business such as instrument service and maintenance, instrument sales, consignment, etc.
-Kolstein Music Inc., will sell the instruments owned by Barrie and/or his company Kolstein Instrument Inventory, LLC, on a consignment basis. The funds less consignment fees are to be paid through to Barrie/ Kolstein Instrument Inventory, LLC).
-Kolstein Music Inc. also entered into an arm's length lease with Kolstein Realty as tenant and pays rent to Kolstein Realty for the Baldwin space.
-Kolstein Music Inc. pays Barrie Kolstein and/or Kolstein Associates LTD) some sort of periodic payment towards the purchase of the overall business over a period of time to buy out the Kolstein business and its various assets, trademarks, etc, out of its operating profits.
In short, the suit brought by Barrie and his LLCs is for breach of contract, unjust enrichment, breach of duty of good faith and fair dealing, and conversion. These are all legal terms that you can look up but the one that jumps out at me is the allegation conversion. A legal definition of conversion is as follows:
"Conversion is a civil wrong that occurs when someone takes another person's property without permission or lawful justification. It's also known as an intentional tort. "
This is essentially a verbose and legalese way of saying "theft." This should be very concerning to the DB community, especially in light of one very high profile "misunderstanding" that involved someone's $150K bass that was on consignment at the shop:
There is also this:
In light of the fact pattern above, it seems this is a topic that the DB community should be on alert about. I personally would not be leaving my instrument in care of a shop in this current situation. I cited the Daddy's Junky Music case as an example of how customer instruments held for repair can get lost in an asset forfeiture or foreclsure:
Months later, still no answers for some of Daddy's Junky Music customers
DURHAM — Fred Bramante, founder of Daddy's Junky Music, begins each month by laying out his goals in a planner. He ranks each goal in order of importance, and assigns himself letter grades as each go…www.fosters.com
As I recall learning, Barrie and Manny are trying to settle this matter so it will be interesting to learn about how things ultimately unfold. In the meantime, everyone should be aware of the dynamics at play here.
And now there's another lawsuit about basses that went missing. Plus, in the Kolstein vs. Manny suit, judge gave them until the end of March to reach a settlement. Now there is ALSO a countersuit from Manny saying Barrie was not nice, which my Sherlock Holmes level powers of inference tells me means the conversations didn't go well.
Do you have a link or access to those new complaints? Would be great to keep this thread current. I was wondering if they had settled, and was betting that they would not. Afterall, one needs money to settle and Manny couldn't pay his rent.
Ross Kratter
Supporting Member
- Dec 31, 2010
- 449
- 297
- 33
- Disclosures
- Artist, RS Berkeley, La Bella Strings, Phil Jones Bass Amplification, Remic, Jerry Harvey Audio
This looks like the new one. Aomori et al v. Kolstein Music, Inc. et al (2:25-cv-01757), New York Eastern District Court
Thanks. I will try to get a copy of the actual complaint, I believe this one is related to the stolen instruments mentioned above as the action is against Manny and the company under which he now operates the business.
I think it may be time to elevate this to a sticky thread for the DB community so they can go knowingly if doing business with Kolstein. I will contact the moderators.
This is now a sticky thread. Thank you @Chris Fitzgerald
I would encourage anyone who learns more about ongoing and/or new legal issues and questionable business practices, allegations of theft etc to post here so that the DB community can go knowingly.
I would encourage anyone who learns more about ongoing and/or new legal issues and questionable business practices, allegations of theft etc to post here so that the DB community can go knowingly.
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