Mobile’s ‘Society Shell’ station caught up in family legal battle
Mobile's "Society Shell" got its nickname because it was where midtown gossip was heard, not because it was the subject. But in the past few days, social media posts have uncovered a brother-and-brother-nephew-nephew-versus-uncle property battle.
Longtime Griffith Service Station patrons had doubts whether the dispute would mark the end of 63 years of operation of the station, as co-owner Preston Griffith Jr. has claimed - or whether the station and its staff will "stay here to serve" for them years to come, as we've done in the past, ”said co-owner Stephen Griffith.
Preston Griffith Sr. bought the station on Ann Street and Government Street in 1958. After his death, sons Preston Jr. and Stephen bought the business from their mother and ran it as equal partners for years. His reputation as a hub for gossip in the neighborhood earned him the nickname “Society Shell,” which persisted long after the Shell Gas brand went out of business. It became such a permanent piece of mobile slang that local playwright Tom Perez used it in a trio of satirical "Society Shell" plays produced between 1986-2020.
Preston Griffith posted a letter on the broadcaster's Facebook page on Friday. "It is with a heavy heart that I write to announce the end of an era at Griffith Service Station," he began. “With mixed feelings but precious memories from the past 50 years, I decided to withdraw from the business my father started and to which I have been committed since I was a 13-year-old boy. ”
The letter goes on to say that Preston Griffith has amyotrophic lateral sclerosis, also known as Lou Gehrig's disease, an incurable neurological disorder that affects his ability to speak and his general health.
He then wrote that although the station had survived hurricanes and other setbacks, it could not survive the "perfect storm" it was now exposed to: he claimed that his brother Stephen, apart from his illness, had poorly managed the station and forced into debt; had tried to force him out of business; and had "hired lawyers in Mobile and Birmingham and sued me" on an ongoing case.
Preston Griffith's conclusion was that it would have nothing to do with any alleged new business entity and that the station "is no longer the Griffith Service Station my father and I built".
Court records tell a more complex story, starting with the fact that Preston Griffith's son, Charles Hunt Griffith, filed the first lawsuit and that Stephen Griffith's lawsuit was a countersuit that was filed in response.
Charles Hunt Griffith's complaint was filed on October 20. It is alleged that Charles Hunt Griffith loaned tens of thousands of dollars to Griffiths Service Station Inc., Preston Griffith, Stephen Griffith and CPS & Co., another business entity related to the station, on multiple occasions between 2018 and 2020.
The complaint said the borrowers had repaid no more than $ 200,000. Because of this debt, Charles Hunt Griffith was entitled to acquire all 20 shares in the business and should own all related real estate. (According to court records, a 1995 shareholders' agreement allotted 10 shares to each brother.) Although Preston Griffith was identified as one of the borrowers in the complaint, he was not named as a defendant. Stephen Griffith, meanwhile, has been accused of refusing to hand over his shares and blocking the transfer of ownership of the land.
Stephen Griffith's November counterclaim returned fire against Charles Hunt Griffith, but also opened indictments against Preston Griffith Jr. as a third party defendant. "Plaintiffs have committed a civilian conspiracy with Preston by engaging in the illegal activities described here in an attempt to wrongly gain control of Griffith's gas station and to divest Stephen's interest in it," the complaint read.
Stephen Griffith's counterclaim stated that clauses in the 1995 Shareholders' Agreement undercut most, if not all, of Charles Hunt Griffith's claims. For example, there was a clause that Preston Griffith Jr. had to allow Stephen Griffith to buy his shares before offering them to anyone else like his son. On a possibly more explosive point, Stephen Griffith's signature on recent agreements cited by Charles Hunt Griffith was said to have been "forged or otherwise fraudulently obtained".
Additional charges in Griffith's counterclaim accused Charles Hunt Griffith of meddling in the company's business. Charles Hunt Griffith replied that such allegations were unfounded because he was Vice President of Griffiths Service Station Inc. and therefore had the right to be involved.
Most of these allegations and arguments were put up for discussion in a partial agreement ratified on March 12th. All claims in Charles Hunt Griffith's original lawsuit were reduced to an agreement that Stephen Griffith, Griffiths Service Station Inc., and CPS & Co. would give him $ 250,000.
While this resolved the legal grievances between Charles Hunt Griffith and his uncle Stephen Griffith, it left that between Stephen Griffith and his brother open. Preston Griffith Jr.'s attorney filed a motion asking the judge to arbitrate the dispute. Accordingly, the 1995 shareholders' agreement between Preston and Stephen contained a clause in which both consented to arbitration.
The motion, like Preston Griffith's Facebook post, contained personal attacks accusing Stephen of denying liability and blaming others "as he is used to" while making a "manufactured" counterfeit claim and "a veritable kitchen sink." "made other claims.
A decision on this compulsory arbitration motion was made on Friday, April 30th.
In the meantime, work continues on the corner between Ann and government. A message published on his behalf by Stephen Griffith's wife was less flammable than his brother's accusing broadside.
"I will not go down the path of belittling others on social media," Stephen Griffith said in the message. “However, the era of the Griffith Service Station is not over yet. We want the community and our customers to know that Griffith Shell continues to operate as usual, and we are here to serve you for years to come, just as we have in the past!
“My life has been dedicated to this gas station, it has not always been easy, but some amazing memories have been made over the years. Along with my father and brother, I helped build the reputations, memories, and traditions that will continue into the future.
"It's annoying that false information has been advertised on our corporate pages that could harm our employees, the people who have stayed loyal to us through good times and bad and who depend on us as much as they do on them," said Stephen Griffith's message. "I take care of these employees and I am committed to ensuring that their jobs are available to them."
Aside from the hundreds of comments written directly by Preston Griffith Jr. and Stephen Griffith, the responses also included a word from attorney Russ Copeland, who described himself as a longtime patron. Where some had quickly taken the side of one brother or another, Copeland advised understanding.
"Regardless of the details or the claims, it just means that there are two sides to every story and that even large families we admire have struggles and situations that get messy," Copeland wrote. “The fact that a lawsuit has been filed shouldn't change the fact that these people are our friends and need our support now more than ever.
“While Preston and Stephen have dedicated their lives to the station, there are other people involved who depend on this business. Mr. Frank (56 years), Robbie (30 years), Jackie (20 years), Curt (10 years), Gavin (10 years), Lillian (5 years) and others who have been working there for years and continue to work there and are rely on our support from the community to make a living.
"There is a lot of anger and hatred in our society today, and I think that makes it even more important for us as a local community to support one another," wrote Copeland. "I can tell you that the Copeland family will continue to pray for Preston and his family as he battles ALS, and we will continue to support the Stephen and Griffith Service Station and all of their staff who have become like family to us. "
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