2006 Shanghai Lawsuit Against Jay Rothstein & CVF

Below is a summary of the lawsuit:
  • January 2006: Lawsuit filed by former employee against Jay Rothstein and China Venture Films for breach of contract and unpaid wages.
  • 2006Shanghai Pudong District Court heard the case.
  • Mid-2007: Shanghai Pudong District Court issued judgment against Jay Rothstein and awarded damages of US$4,000.  Jay Rothstein appealed to the Shanghai Superior Court.
  • December 2007: Shanghai Superior Court heard Jay Rothstein's appeal.
  • November 2008: Shanghai Superior Court issued final judgment against Jay Rothstein's appeal and reaffirmed damages awarded of US$4,000.  This is a binding judgment and not subject to further appeal.
To learn more about the 2006 lawsuit filed in Shanghai against Jay Rothstein and China Venture Films, and the Shanghai court's 2008 judgment against Jay Rothstein, please read the following articles (in Chinese). 
 
 Jay Rothstein has not yet settled this judgment against him.

 
Unofficial English Translation:
 

American Assistant Director Sues Demanding US$4,000 Salary Payment

Co-Production Film "Milk Fashion" Accepts Labor Dispute

November 25, 2008  jfdaily.com

 

Morning report.  The Sino-US co-produced movie called Milk & Fashion debuted this summer at the National Grand Exhibition.  However, during this film’s launch, the film’s director and producer faced a dispute arising from problems paying salaries.  A few days ago, the court in this city issued its final verdict in this labor dispute, deciding the director and producer must pay the assistant director US$4,000 in salary and wages.  Milk & Fashion, a Sino-US co-production, was largely filmed in Shanghai.  In November 2005, Jay Rothstein, the president of China Venture Films entered into an employment contract with Taiwan-born Carl Thelin, hiring Mr. Thelin as Milk & Fashion’s first assistant director and screenwriter.  Based on the contract, both sides had a specific agreement regarding reimbursement of wages and expenses.

 

On December 1, 2005, after Carl Thelin had already worked for more than a month, the assistant producer had a note to pay Mr. Thelin US$4,000.  However on the same day, Mr. Thelin learned he was dismissed by Jay Rothstein and Mr. Rothstein would not fulfill the US$4,000 in due wages.  Mr. Thelin filed a lawsuit in the Shanghai court against Jay Rothstein and China Venture Films demanding the payment of US$4,000 in salary and wages.  As a result, the Shanghai court ordered Jay Rothstein to Carl Thelin US$4,000.  Afterwards, Jay Rothstein refused to comply and filed an appeal of the decision on the grounds Jay Rothstein believed it was not his personal obligation to fulfill the contractual obligation.

 

During the first court case stage, Jay Rothstein did not submit authorization documents or proof of his relationship with China Venture Films, and lacking any other authorization documents or evidence proving the scope of China Venture Films’ situation, the court was not convinced Jay Rothstein represented China Venture Films when he signed the agreement with Carl Thelin. By this reason the court decided Jay Rothstein was personally liable.  The court being satisfied re-affirmed the original decision, thus rejecting Jay Rothstein’s appeal.

 

The court also revealed, a restaurant which provided itself as a venue for filming of Milk & Fashion which has not been paid has filed a lawsuit against Jay Rothstein and China Venture Films.  This case is still in court.


 
Unofficial English Translation:
 

Sino-US Co-Produced Movie Milk & Fashion Producer Sentenced To Pay Compensation to Writer

November 24, 2008

www.people.com.cn

 

Milk & Fashion was directed by Taiwan movie director Roy Chin and starred actor Jeremy Miller who played “Ben” in the former U.S. TV series “Growing Pains”.  Milk & Fashion’s assistant director and screenwriter, Carl Thelin, filed an earlier lawsuit against Jay Alan Rothstein seeking unpaid wages.  The Shanghai First Intermediate Court reached its decision on the appeal, affirming the original judgment against Jay Rothstein and ordering him to pay Carl Thelin US$4,000 in wages.

 

Milk & Fashion was co-produced by China Venture Films and the Yunnan Minority Film Company and filmed in Shanghai.  Carl Thelin, an American born in Taiwan.  In November  2005, China Venture Film’s president, Jay Rothstein, signed an employment agreement in Shanghai with Carl Thelin.  The contract stated, “As president and producer of California-registered China Venture Films, I am very pleased to inform you Carl Thelin as the assistant director and screenwriter of the soon to begin filming movie Milk & Fashion.”  The contract contained specific commitments about salary and expense reimbursements.  Jay Rothstein, as producer, and Carl Thelin, as assistant director, signed the contract.  From October 20, 2005 through December 1, 2005, Carl Thelin was the assistant director and screenwriter for Milk & Fashion.  Michael Ouyang, the movie’s assistant producer printed  a payment note for US$4,000 payable to Carl Thelin.  However, on the same day, Jay Rothstein dismissed Carl Thelin.  Jay Rothstein did not pay Carl Thelin his due wages of US$4,000, and filed a lawsuit in court demanding China Venture Films pay the US$4,000 in wages and Jay Rothstein be held jointly liable.  The first court decision ordered Jay Rothstein to pay Carl Thelin US$4,000.  The court did not support the request for China Venture Films pay the wages.  Jay Rothstein filed an appeal on the basis he should not be personally liable to honor the contractual obligations.

 

During the first court case stage, Jay Rothstein did not submit authorization documents or proof of his relationship with China Venture Films.  Even though Jay Rothstein signed his contract with Michael Ouyang as the authorized representative of China Venture Films, lacking any other authorization documents or evidence proving the scope of China Venture Films’ situation, the court was not convinced Jay Rothstein represented China Venture Films when he signed the agreement with Carl Thelin. By this reason the court decided Jay Rothstein was personally liable.  The court being satisfied re-affirmed the original decision, thus rejecting Jay Rothstein’s appeal.

 

The court also revealed, a restaurant which provided itself as a venue for filming of Milk & Fashion which has not been paid has filed a lawsuit against Jay Rothstein and China Venture Films.  This case is still in court.