Krikorian denied in latest request during theater lawsuit

By Doug Spoon, Editor

Theater owner George Krikorian lost the latest round of court battles this week, leaving the Menifee theater site in limbo as two-year-old proceedings head toward a trial this summer.

Showprop Menifee LLC, formed by Krikorian to administer a theater and entertainment complex project in Menifee Town Center, has been involved in litigation with multiple contractors since Krikorian suspended work at the start of the COVID-19 pandemic. As the site sits vacant with partially constructed walls fading in the sun, attempts to resolve the issue appear unsuccessful in avoiding a trial in Riverside Superior Court.

Judge Daniel Ottolia on Wednesday ruled against Showprop’s request for demurrer – an attempt to be removed from the complaint involving contractors Sierra Concrete & Landscaping and TMS Construction. The ruling labeled the request for demurrer “moot”, which leaves Krikorian just as involved in the litigation as he has been since the lawsuit was filed in July 2020.

According to thefreedictionary,com, “While a demurrer admits the truth of the plaintiff's set of facts, it contends that those facts are insufficient to grant the complaint in favor of the plaintiff.”

The judge in this case obviously did not agree. A trial setting conference has been scheduled for July 12, leaving the project on hold for an undetermined amount of time.

According to court documents, Canyon Steel Fabricators, Inc. recorded a mechanics lien in the amount of $1.5 million and filed suit when it was not paid for work already done on materials for the project. The primary issue of the case appears to be whether there was an oral amendment to the contract for Showprop to accept delivery of those supplies on site and how or when they would be paid for.

“Showprop incorrectly claims that the [complaint] fails to provide additional facts evidencing a separate oral agreement between Showprop and Canyon,” the plaintiff states in court documents. “However, the [complaint] specifically alleges the creation of a new oral agreement after Canyon’s subcontract was suspended, which includes Canyon providing materials and services in exchange for Showprop’s agreement to pay for and acceptance of the materials.”

The plaintiff also disputes Showprop’s claim that it was “silent” during delivery of the materials to the site.

“The [complaint] rather also alleges that Canyon arrived at the construction site precisely because Showprop had already orally agreed to Canyon’s proposal. Showprop’s actions at the construction site consisted of far more than silence. Rather, Showprop was at the site arranged for Canyon to make the delivery, opened the gate to receive the steel, and allowed Canyon to unload truckload after truckload of massive steel structures onto the property without objection.”

Meanwhile, stacks of building materials sit at the construction site between unfinished theater walls of foam blocks and plywood frames of retail stores also planned to be leased by Krikorian. When appearing before the City Council in October, Krikorian said he had received commitments from Navy Federal Credit Union, a dental group, and Broken Yolk restaurant for the retail spaces fronting Newport Road.

Krikorian also said he expected work at that site to resume in 60 to 90 days. We are now 90 days beyond that timeline, with still no end in sight.