“American Chopper” star Paul Teutul Sr. is allegedly refusing to pay out $30,000 owed to an auto shop and now the company wants him found in civil contempt.
According to court documents obtained by The Blast, JTM Motorsports filed legal documents in Teutul’s bankruptcy, accusing him of breaching a settlement deal they reached in January.
They claim he failed to release $30,000 from an escrow account by an agreed upon deadline. JTM says they have tried to resolve this with Teutul but they have been ignored.
JTM is demanding the court find Teutul in contempt of court, release the $30k, and then pay them $3,000 in attorney fees plus $10,000 in punitive damages.
As The Blast first reported, the reality star and the motorsports company settled their beef in January over a 2009 Chevrolet Corvette ZR1.
Per the deal, Teutul was to pay out the $30,000 held in an escrow account to JTM, following receipts being turned over and other vendors dealt with. Neither party admitted any fault or wrongdoing in the case.
Teutul and JTM had been battling over the car that the reality star had left at the shop prior to filing for bankruptcy.
JTM said Teutul brought the Vette in for modifications last August and promised to exchange air time on one of his featured television shows for the work done on the car. Teutul allegedly promised to get the shop exposure on Discovery’s “Street Outlaws” and “American Chopper,” which rebooted online earlier this year and will debut back on TV in May.
The auto company said they spent over $24,000 in parts for the Corvette, plus another $26,000 in labor and $10,000 in storage fees. Because Teutul has allegedly failed to pay, JTM sought to auction off the car and keep the money from the sale to cover their costs.
Last year, 68-year-old Tuetul filed for Chapter 13 in New York claiming he had $1,801,729 in assets and liabilities totaling $1,070,893.44.