The maker of a $500 cooler claims a vendor left it out in the cold after accepting $30,000 in payments.
Boulder-based startup Rovr sued Floodgate Inc. and its president Erik Specht on Oct. 26 in Boulder County District Court, alleging Floodgate failed to deliver manufacturing services.
Floodgate, based at 1814 Blue Star Lane in Louisville, signed an agreement with Rovr to help deliver “design, engineering, administrative, and logistic services” relating to product manufacturing in China, according to the lawsuit. Rovr gave Floodgate sampler coolers, expecting Floodgate would find manufacturers and suppliers in China for the molds, tooling and cooler production, the lawsuit claims.
In January, Rovr sent Floodgate a purchase order with the tooling of two cooler models, the RollR 60 and the CampR 80, according to court documents. It sent Floodgate a rundown of the dates it wanted products delivered, and Floodgate agreed to both the purchase order and the timeline, the lawsuit says.
Rovr paid Floodgate $32,221, the lawsuit alleges.
Floodgate reassured Rovr multiple times that production was on track, but never gave visible proof, according to the suit. In April – after calls went unanswered – Rovr discovered Floodgate had not started the manufacturing of the tooling or samples, the lawsuit states. And Floodgate had not paid Seatoman Holdings Ltd., the manufacturing company Rovr thought would be producing its molds and products.
Floodgate, which did not return calls or emails seeking comment, claims on its website that for 25 years it has specialized in helping sporting goods businesses and camping, travel and pet companies.
Keith Edwards and Daniel Williams with law firm Hutchinson Black and Cook are representing Rovr in the suit.
Rovr sold more than $200,000 worth of coolers in September for its RollR 60 model.