The Tribune

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

Jamie Dingman was yesterday said to have reached a compromise with his Bahamian creditors, who have agreed to “vacate” the certificate paving the way to a $1.113 million default judgment against him.

Justin Scher, an attorney representing Bahamian companies including Wulff Road-based Tile King and FYP (Fix Your Place), Young Digerati, People First (Bahamas) and IDNet, said his clients had agreed to this in return for Mr Dingman accepting service of the action against him.

Mr Dingman, son of world-famous entrepreneur and Lyford Cay resident, Michael, was also given until June 1, 2016, to file a defence to the claims against him, which relate to his failed Nassau restaurant empire.

“The parties have reached an agreement that, subject to the court’s approval, would resolve the issues presented in defendants’ letter,” Mr Scher said of the April 14 correspondence from Mr Dingman’s attorneys.

“In exchange for defendants’ acceptance of service of process, plaintiffs consent to vacating the Certificate of Default entered on March 16, 2016, and to granting defendants until June 1, 2016, to answer, move or otherwise respond to the amended complaint.”

The agreement has to be approved by the southern New York federal court, which is where the seven Bahamian creditors and others filed their action against Mr Dingman just before Christmas 2015.

Tribune Business revealed last week how Mr Dingman and his attorneys were arguing that the default certificate “must be set aside”.

Jeffrey Mitchell, of the Browne George Ross law firm, called on the court to take such action on the grounds that Mr Dingman and his five former Nassau restaurant brands had not been properly served with the original action.

His April 14 letter to Judge Naomi Buchwald implied that he will ultimately argue that the New York court has no jurisdiction over Mr Dingman, and that the lawsuit - involving seven Bahamian companies and individuals as plaintiffs - should be thrown out as a result of the venue being “improper”.

Pointing out that Mr Dingman is a permanent resident of the Bahamas, Mr Mitchell said that since all five restaurant companies were Bahamian domiciled, it would have been more appropriate to serve their local agent, the corporate services arm of the Graham, Thompson & Co law firm.

The original lawsuit is seeking to collect what Mr Dingman allegedly owes the Bahamian and other creditors for unpaid services and goods supplied to his collapsed Nassau eatery ventures, plus damages.

Mr Dingman missed the February 16 deadline to file a defence to their claim by more than one month, hence the ‘Certificate of Default’ that was obtained on March 16.

That is now being set aside, as the plaintiffs previously confirmed that the action had been served on Vicki Inskeep-Brown, an assistant to Mr Dingman, at his “place of business” on January 26, 2016.

Mr Mitchell, though, argued that Ms Inskeep-Brown was not employed by Mr Dingman, and was not authorised to receive service and legal documents for him

The failed Nassau restaurant ventures are The Traveller’s Restaurant, 25 North Ltd, Island Smoke House Ltd, Out West Hospitality and Bahamex Ltd.

The original lawsuit claimed that Mr Dingman has effectively abandoned his creditors and investors and “fled the Bahamas altogether”, refusing to pay what he owes.

It alleges that he had stopped communicating with them, and is “hiding out in his girlfriend’s apartment in downtown New York City” in a bid to escape both his Bahamian creditors and ex-employees, plus foreign associates he either hired to assist him or induced to invest in the Nassau-based restaurants.

Mr Dingman’s efforts to build a Nassau-based restaurant and hospitality business included taking over the iconic Traveller’s Restaurant in western New Providence via a lease arrangement.

That venture failed and the property shut again, until members of the Bain family, its owners, re-opened it again this summer.

He also leased two units in the Klonaris brothers’ Elizabeth on Bay plaza on Bay Street for two other restaurant formats, both of which have also closed.

Tribune Business also revealed how Mr Dingman leased the Beach Club Cafe from Sandyport’s developers, viewing this as his “signature property”. The venture never opened, and the lease was pulled.

The lawsuit alleges that FYP and Tile King are owed more than $8,000 for building materials and supplies delivered to Mr Dingman’s businesses, but which were never paid for.

The People First (Bahamas) employment agency, claims to be owed more than $160,000, while Young Digerati (YNG) allegedly lost more than $3,000 on a promotional event it wanted to hold at the Island Smoke House because the venue had been left “uninhabitable”.

IDNet allegedly provided $10,057 worth of information technology services and products to Traveller’s Rest, the Island Smoke House and 25 North, for which they were never paid.

The individual Bahamians suing Mr Dingman include Jason Rolle, his former general manager, who claims to be owed $46,113 in unpaid salary and benefits, plus Tyrone Adderley, a contractor due more than $2,000 for work on the Beach Club Cafe at Sandyport.