The Basketball Hall of Fame has terminated its agreement with Grey Flannel Auctions and is suing the company for what it says are unpaid bills in conjunction with the annual auction at the Springfield, MA shrine.
As first reported by MassLive.com, the suit indicates that a contract between the two parties stipulated that Grey Flannel was to pay the Hall of Fame $50,000 within 60 days of the auction close on August 24 and make another payment of $50,000 or more by December 1 for its share of the auction proceeds. The Hall claims no payment was made and exactly two months after the due date of the first payment, attorneys sent a notice of default letter to the company. That was followed 21 days later by a second letter terminating the contract for their ongoing deal.
The Hall and Grey Flannel have been partners in the annual Hall of Fame induction weekend for many years and renewed their agreement in January of 2013.
In addition to the auction, Grey Flannel stated it was the host for the annual Reunion Dinner for returning Hall of Famers, new inductees and their families. The company also held the title of the Basketball Hall of Fame’s official appraisers and authenticators.
Earlier this year, the New York Daily News reported that a Chicago grand jury investigating fraud in the industry sent subpoenas to dealers who have done business with Grey Flannel.