Since the link doesn't seem to work, I am just copying and pasting this article.
Rare Ferrari to be auctioned, legal issues swirl
Kimball Perry,
kperry@enquirer.com
12:01 p.m. EDT May 21, 2014
Cincinnati's piece of international auto racing history goes to auction in England next month but legal issues surrounding the rare 60-year-old Ferrari continue to play out in Hamilton County courts.
"This is one of the most famous race cars ever being auctioned," Zach Gottesman, the Cincinnati attorney for one of the car's owners, said. "All the stuff that's happened is a real sideshow."
What's happened are two lawsuits, a judge finding of contempt for some in the case not following his orders and one of those involved, Joseph Ford, continuing to try to hang on to what he believes is a percentage of ownership of the car.
The car is controversial and coveted because it is so rare and unique, built as a power beast in the golden age of auto racing. At auction, the now-restored 1954 375 Ferrari Plus Grand Prix Roadster 0384AM is expected to be sold June 27 at the Goodwood Festival of Speed just outside of London for $20 million to $30 million.
This Ferrari 375 Plus, one of only four in the world, is the subject of an international fight between a Westwood man's estate and a former Belgain race car driver. The Belgain faction said it paid $625,000 to Karl Kleve years ago but the Westwood man's daughter says those documents were altered because the agreed upon sale price was $2.5 million. The car was restored in Ferrari's Italian facilities to its original luster.
"The interest in these cars is spiking," Gottesman said. "It could surprise us and go for more."
Even as the auction is proceeding, though, Ford continues his legal fight to claim ownership in the car or the tens of millions of dollars it's expected to bring.
Ford's attorney, Richard J. Rinear, emailed The Enquirer for this story to note the judicial orders against Ford involving the Ferrari are under appeal. He gave no other comment.
Ford is a Florida resident and former lawyer. He was hired by Christopher Gardner, the American-born auto enthusiast now living in Switzerland, to negotiate on his behalf for part ownership of the car. Instead, Gardner alleged in court documents, Ford finagled his way into partial ownership of the Ferrari by cheating Gardner. Gottesman is Gardner's lawyer.
"We don't want this (legal fight) splattered on the car. That's him. That's not the car," Gottesman said.
There is some concern that Ford's continuing legal wrangling, despite Ford signing documents that would allow the auction to take place, could result in the car fetching less money than expected at auction. "It's unfortunate that we have to deal with this guy flapping his arms," Gottesman said.
The car was sold to Westwood's Karl Kleve who kept it on a property in Green Township. Unknown to his family until years later, it was stolen in 1989 and sold to the Belgian racer, Ferrari importer/distributor and classic car collector Jacques "Jack" Swaters who didn't know it was stolen.
Swaters restored the car and kept it at Ferrari's Maranello, Italy, museum for five years where Kleve's heirs saw it and initiated action to get it back. After that, Gardner hired Ford to try to buy the car from Kleve's heir, Kristie Kleve Lawson, of Westwood. Gardner thought he bought the majority ownership of the car that still sat in Europe. Ford then contended he owned the car, not Gardner.
Later, Swaters and the other three battling owners Gardner, Ford and Lawson, known as the Ohio faction in court documents agreed to put the car and the spare, original parts up for sale. They agreed Swaters would get half of the sale proceeds.
The issue now is who gets or doesn't get the other half, potentially $15 million.
Lawson, whose attorney wouldn't comment, admits she sold her share of the car to Gardner. Ford says he owns 70 percent of it but Gottesman, as Gardner's lawyer, sued saying Ford gets nothing because he lied about being a lawyer and cheated Gardner out of millions over the last decade.
Last week, Common Pleas Court Judge Norbert Nadel found Ford and Lawson in contempt for disregarding the judge's order and trying to withdraw the car and its original spare parts from the auction. They also withdrew legal permission, after all parties agreed, for the car to be auctioned.
Despite the legal issues, Gottesman said the auction will occur, the car will be sold and the money placed in escrow until the issue of ownership is resolved. He believes Gardner, his client, will get half and the estate for Swaters, the Belgian who had it restored, will get the other half.
The legal issues are set for a Sept. 2 jury trial.
The car
1954 Ferrari 375 Plus Grand Prix Roadster 0384AM, the first of six made;
Once owned by Kleenex heir Jim Kimberly;
One of four existing. Other three owned by international billionaires, including clothier Ralph Lauren;
12-cylinder, 4.9-liter engine, the largest made by Ferrari for race cars;
Reached 180 mph, much faster than other cars of the time;
Came to Cincinnati when bought by local Cadillac dealer Howard Hively who sold it for $2,500 to Karl Kleve;
Stolen from Kleve in 1989, two men were later convicted.
Source:
Enquirer research, May 2014
Octane magazine, Bonhams.com.
Linear Mode
