Amp'd going after former CEO to pay off debts

It wasn't a pretty end for Amp'd Mobile, but even the hasty one-week extension of service, sale of customers to Prexar and asset liquidation wasn't enough to keep creditors at bay -- the bankrupt company is now suing after its former CEO for cash. Claiming that Peter Adderton "refused to perform certain aspects of his employment" and "threatened to take action that would damage" Amp'd, the lawsuit seeks some $1.15M in payments made. Amp'd is also going after some 20 other partners in similar suits, ranging from Merrill Lynch to law firm Latham and Watkins to Playboy and MTV. We're not sure how that's going to play out, but it looks like those rumors about the content team and properties like "Lil' Bush" being sold off are definitely true -- William Morris is in charge of shopping the group out to the highest bidder. All in all, it looks like Amp'd's creditors aren't being shy about getting their cash -- but what repo man ever is?

[Via mocoNews]

[sinai @ Feb 8th 2008 6:48PM]

amp'd and xyience... it seems like if you advertise with the UFC, your company goes bankrupt!

[Nathan @ Feb 8th 2008 7:00PM]

I think it's more a case of having a ridiculous name / marketing strategy / product. All I remember Amp'd for is their stupid / annoying commercials (much like Boost) and their expensive plans.

[Flashpoint @ Feb 8th 2008 7:01PM]

I knew Amp'd was doomed whan I realized all they were offering was streaming video of Beavis & Butthead and a couple other lame, watered down versions of TV shows from Adult Swim over the VERIZON Network of all places.

It seems that all people want now is a cell phone that recreates, to a certain extent, browsing of the internet so they can go to Myspace, Facebook, Online porn and check their email.

Sidekicks and iPhone succeed for these reasons but so far, there isn't a cellphone with the ability to download mp3's from a P2P site such as Limewire, and the ability to browse Flash/ Java - update its own software - and be functional with sites built on those premises. I wanna see a cellphone with 4 GB of memory and an Operating system that can handle scaled down laptop-dness.

[Ben @ Feb 8th 2008 7:02PM]

Isn't that the point of a corporation to protect your personal assets from the share holders?

If so this is getting tossed fairly quickly.

[Nathan @ Feb 8th 2008 7:07PM]

It all depends, if he is in breach of contract or somehow pierced the corporate veil then he can be sued personally.

Personally, if his negligence is responsible for the liquidation of the company, he should be liable to the investors up to what he was given as compensation for his position, IMO.

[Flashpoint @ Feb 8th 2008 7:05PM]

Boost mobile was a success simply because they offered a pre-pay, lower cost solution for people who wanted a NEXTEL phone. Almost every Nextel with the exception of the i930 made it to the Boost Network.

Unfortunately, ONCE SPRINT TOOK OVER NEXTEL, Nextel didn't get any new phones worth a shit and lost all of its luster to TMobile Sidekicks.

Nextel was only neccessary for the Direct Connect *Chirp* which was a street fad. Nextel's plans were too expensive for any but business users for what you were getting so that noise fizzled out like a bad fart.

I can't tell you the last time I heard a Nextel Chirp... and I live in NYC.

[Tim @ Feb 9th 2008 8:30AM]

Guess it doesn't pay to get in bed with Amp'd...

[Joshua Walters @ Feb 9th 2008 12:46AM]

Amp'd was the WORST cell phone provider I have EVER had.

Not just the fact that they went under, but they hammered me with more hidden fees than ANY other provider, and it took a filing with Small Claims court to get a $150 mail in rebate.

Naturally, I threw a party when they went under (I had already moved on).

I filed damages when I was sent the thing from the bankruptcy court, just to make me feel better. I filed about $500 in damages between them breaking their end of the contract, some rebates on my bill I never received, etc.

I know Ill never get any of that, but it made me feel better.

[mike reed @ Feb 28th 2008 4:26PM]

I was number 11 on the list of vendors who were screwed by ampd it is a seven figure problem. They lied they knew they were doomed and they conned suckers like me. Peter took the money and ran his ego was the problem at ampd he alienates people who will not do it his way. Every morning I check the la papers hoping to read a story about the jackass aussie's helicopter running out of gas in the air. hey a mans got to have dreams... Peter your a idiot punk who deserves what you get the only bigger jackass I know than you is me. Here’s hoping I get a chance to repay the favor...