The most recent court filing from NBN Broadcasting CEO Chesley Maddox-Dorsey (pictured) comes after a 2015 settlement was reached between NBN and Sheridan Broadcasting, which is owned by the Davenport family.
American Urban Radio Networks, formed in 1991, was co-owned by both groups. Back in October both sides reached a confidential agreement. The settlement was a “divorce” and complete separation on or before March 1, 2016, whereby either Sheridan or NBN would acquire the entire AURN network.
Sheridan was given an opportunity to purchase NBN’s minority partnership interest in AURN by making three payments to NBN. Two payments were made. The third was due March 1 and was missed. Sheridan requested more time and threatened to file for bankruptcy if it did not get the extra time. The extra time was not given to Sheridan by NBN and the bankruptcy filed was made. NBN says there was nothing in the agreement that stated Sheridan could have more time and, due to the default, the network should be turned over automatically to NBN.