KADY-TV Operators Barely Avoid Eviction

Operators of KADY-TV avoided possible eviction Tuesday with only hours to spare, paying $30,000 in back rent and attorneys’ fees just before a court-ordered deadline.

Cashier’s checks from the company through which owners John and Erica Huddy operate KADY were issued to the station’s landlord, a payment that kept a $20,105-a-month lease in place.

But the lawyer for former station owner Donald Sterling of Boulder, Colo.--the principal landlord and chief creditor--said the Huddys are already another $38,000 behind on rent, because the period covered by the original Municipal Court judgment ended Jan. 9.

No rent has been paid since then, said James Fedalen, lawyer for Sterling. Another lawsuit will be filed if the Huddys do not pay the back rent for January and February within three days, Fedalen said.

The payment Tuesday settled the most recent of four lawsuits seeking back rent filed since 1994 by SDS Developments, a three-person partnership managed by Sterling.

“I’m glad they paid the $30,000, but I wish they’d paid all the rent,” Fedalen said. “Now all we do is repeat the process.”

Anson Whitfield, attorney for the Huddys, could not be reached for comment. Erica Huddy referred telephone calls to Whitfield, and John Huddy is recovering from a heart attack.

Municipal Court Judge Rebecca S. Riley ruled last week that the Huddys’ operating and holding companies owed $25,000 in back rent and costs, plus $5,000 in attorneys’ fees. She gave them until 5 p.m. Tuesday to pay the money or to forfeit their lease with SDS.

In a separate action, Sterling requested last week that KADY’s assets be frozen and operations turned over to a court-appointed receiver. He cited the station’s history of bounced checks, its alleged inability to maintain equipment and the absence of Huddy.

But after Erica Huddy pledged to sell the station as quickly as possible, a Superior Court judge denied the request.

A more far-reaching lawsuit between the same parties is expected to be decided by March. The Huddys allege that Sterling’s actions have undermined KADY and resulted in less advertising. Sterling has counter-sued, citing the history of late rent and seeking to take back station equipment and other assets.