The lawsuit, filed by A3 partners and minority stakeholders Brian Cho and Robert Attermann, alleges that Bold irresponsibly spent the agency’s funds, sexually harassed employees and made private settlements without telling them. Cho and Attermann in their lawsuit also allege that they were misled and pressured into amending an agreement that would give Bold the ability to negotiate the sale of A3 without their involvement.
Bold denied the allegations in an interview.
He said he did not sexually harass employees and that the negotiations for amending agreements were overseen by attorneys on both sides. He also said that some of the spending occurred prior to knowing that the COVID pandemic and dual Hollywood strikes would cause work stoppages that would hurt the industry.
“The lawsuit is a shakedown and pure extortion,” Bold said.
A3 Artists Agency has a storied history. Founded in 1977, it was formerly known as Abrams Artists Agency and was purchased by an ownership group that included Bold, Cho and Attermann in 2018. The firm rebranded as A3 Artists Agency in 2020. A3 represents actors including Freddie Prinze Jr., “Fuller House” actor Jodie Sweetin and “Gotham” actor Robin Lord Taylor, according to IMDbPro.
Cho and Attermann in their lawsuit say that Bold made the agency’s business significantly worse.
“In an astonishing run of terror, Bold has squandered everything: A3 is in a state of chaos and dissolution as its agents jump off the sinking ship and flee to A3 competitors, or wait in shock and fear for the next shoe to drop,” the lawsuit said. “Remarkably, Bold has managed to alienate nearly every A3 employee, from its leadership down to its administrative staff, through a corrosive and toxic leadership style more emblematic of Nero than Bob Iger.”
Cho and Attermann allege that Bold misspent millions of dollars of the agency’s money on “wasteful employee retreats,” spent $500,000 on Rolex watches for agents and paidfor nearly $2 million in upgrades and $160,000 in monthly rent for an office in the Empire State Building. When other companies cut back on hiring during the pandemic, Bold hired additional people, paying them “salaries well in excess of their market value,” the lawsuit said.
The complaint, which was submitted to Los Angeles Superior Court on Monday, also alleges that Bold sexually harassed employees, made inappropriate remarks regarding his staff’s appearance and boasted that a 24-year-old showed him her breasts. Several employees also described Bold as “unhinged and under the influence of cocaine or other substances,” according to the lawsuit.
“He regularly rated the attractiveness of female employees and gave them unsolicited personal advice, including urging one individual to wear lingerie for her husband,” the lawsuit said. “Bold told a female employee that ‘men love blow jobs to keep them happy.’”
Some of the employees complained to human resources and to Cho and Attermann, but the pair said they were limited in what they could do. Cho and Attermann own about 18% equity in A3 each, the complaint said.
“[D]ue to Bold’s ownership interest in A3 and the ability to turn off funding, no one had the authority to stop him,” the lawsuit said.
Some employees threatened legal action, and Bold negotiated settlements without disclosing them to the board, the lawsuit said.
Bold in an interview said, “All the allegations about drug use and session misconduct are completely false.” He said he has invested millions of dollars in the company, including contributing to payroll.
Some of the spending in the lawsuit, such as the Rolex watches, occurred prior to the COVID pandemic, which hurt the industry. Bold said the watches, which had A3’s logo engraved on the back, were meant to show appreciation for the agents. He said the lease on the office in the Empire State Building was signed by Cho and Attermann.
The lawsuit comes at a time when A3 Artists Agency is in discussions to sell part of its business to the Gersh Agency, according to the lawsuit. If that were to happen, “A3 would remain only a shell of its former self, severely hamstrung in its continued ability to do business,” the suit says, adding that the remaining parts of the agency would have significant debt, including the lease on the Empire State Building office.
Cho and Attermann claim in their lawsuit that they were misled into amending an agreement that would give Bold the ability to discuss a sale with other parties without the board’s permission. Cho and Attermann say that Bold, through a representative, approached them individually, saying that he did not intend to sell A3 for less than $60 million and that in the event of a sale, Cho and Attermann would get at least $5 million each.
If Cho and Attermann did not agree, Bold, through a representative, said Attermann would be fired, Cho would not have his employment agreement extended and Bold would stop funding A3, according to the lawsuit.
In their complaint, Cho and Attermann said they believe Bold was shopping A3 for a lower price tag and they are concerned about the future of the business that remains. They are asking the court for a temporary restraining order to block any sale of A3 and to stop Bold from releasing prioprietary information and trade secrets regarding A3 to competitors.
The lawsuit said that Bold plans to sell A3’s profitable digital and unscripted divisions and its most important agents to Gersh.
“It has become exceedingly clear that Bold intends to siphon the proceeds of the A3 sale to himself and drive what remains of a once-great company into bankruptcy,” the lawsuit said.
Gersh did not immediately respond for The Times’ request for comment. Bold declined to comment, citing nondisclosure agreements.
“Everything that I have done starting from day one has been to build something really special that was really good for our clients, that was really good for the people who work there … and that has been my goal since the beginning,” Bold said. “The strike was, for us, just like every other agency, devastating and since we don’t have private equity partners, I’ve been the only investor. I don’t have infinite wealth, so anything that I do would be for purposes of trying to save their jobs and for us to continue the prosperity that we had.”
Cho and Attermann are suing A3 and Bold for breach of contract and other allegations and are seeking punitive and compensatory damages.
Staff writer Christi Carras and librarian Scott Wilson contributed to this report.