HGTV’s Chip Gaines Being Sued by Former Business Partners

Chip and Joanna Gaines are two of the most popular couples on television. Their HGTV show Fixer Upper is one of the top-rated shows on the network, and has spawned a spin-off, set to premier later this year.

Given the couple’s popularity, they are unexpectedly going to cause some controversy. In this case, the liberal website BuzzFeed recently ran a hit piece, attacking the couple for daring to attend a church that supports traditional marriage.

Despite the best efforts of the left, Chip and Joanna Gaines are proud Christians, and don’t hold back when it comes to talking about their faith.

Unfortunately, the HGTV stars are under fire once again, this time the focus is squarely on Chip Gaines, who is being sued by two of his former business partners, who claim he convinced them to sell their real estate company Magnolia Reality in 2013 without informing them about the talks with HGTV for a television show.

From Too Fab:

In a lawsuit filed in McLennan County, Texas, on Wednesday, John L. Lewis and Richard L. Clark seek over $1 million in monetary relief, accusing Gaines of fraud after he bought them out of their business without telling them about his deal with HGTV.

According to the duo, Lewis and Clark started Magnolia Realty with Gaines in 2007. In 2013, they say Gaines “initiated the buyout discussion” with his partners while withholding knowledge that “Magnolia Realty was about to receive nationwide advertising through HGTV’s Fixer Upper.”

The HGTV host’s partners claim Gaines “forced the sale of the business for a fraction of its true value by hiding the fact that ‘Magnolia’ was soon to receive nationwide advertising and branding,” the suit continues. “Chip Gaines told Lewis and Clark, ‘There are no assets’ and that the company is ‘less than worthless.'”

The suit also alleges Gaines sent Lewis a “threatening” text when his former partner “made it clear he wasn’t happy with Chip trying to lower the buyout” price.

The alleged message: “You better tell Rick to be careful. I don’t come from the nerdy prep school he’s from. And when people talk to me that way they get their asses kicked. And if he’s not ready to do that he better shut his mouth. I’m not the toughest guy there is, but I can assure you that would not end well for [R]ick.”

The plaintiffs claim that Gaines bought them out for $2,500 apiece, but assert that Gaines “publicly announced that his show was picked up to be broadcast across the nation on HGTV.”

One has to ask whether or not the lawsuit is legitimate, or if Gaines’ former partners are simply seeking a cut of the profits the couple has received from their HGTV show because they regret selling the company when they did.

However, if Chip failed to disclose his conversations with HGTV to his business partners he does owe them some compensation. Hopefully this lawsuit will be resolved quickly so that Chip and Joanna can continue producing their great HGTV program.

Do you believe that the lawsuit against Chip Gaines is legitimate? Does it change your opinion of the couple? Share your thoughts below!  

Mentioned in this article::