Jeremy Stenberg–Orange County's legendary dirt-bike race champion and a colorful MTV/ESPN celebrity–is facing a lawsuit that claims he created a Wyoming shell corporation to hide income from his agent.
McClellan Nichols Sports Syndicate LLC (a.k.a. the Sports Syndicate) of Newport Beach filed its eight-page, breach-of-contract lawsuit this month against Stenberg in Orange County Superior Court.
According to the suit, Stenberg entered into an August 2006 contract with McClellan Nichols for exclusive representation in exchange for 20 percent of his gross earnings and 10 percent of his corporate sponsorships.
Though Stenberg terminated the arrangement in December 20011, the agents claim in the court brief that Stenberg used his Boujetto Inc. to hide substantial income from Spy Optic Inc., Sole Technology Inc. and Metal Mulisha LLC, as well as more than $750,000 from Rockstar Inc.
As a result, the firm is seeking nearly $71,000 in damages, plus interest and legal bills, according to the lawsuit.
The case has been assigned to Orange County Superior Court Judge Frederick Horn.
Stenberg, who was recently on tour in Spain, has not yet replied in court to the allegations.