Former Maker Studios CEO Sues Co-Founders, Investors

CULVER CITY: The YouTube multi-channel network Maker Studios is being sued by its co-founder and former CEO Danny Zappin, alleging that he was the victim of a conspiracy to oust him.

A civil suit was filed in state Superior Court in Los Angeles by Zappin and three other founders. The lawsuit claims that Maker Studios co-founders Lisa Donovan and Ben Donovan as well as current chairman Ynon Kreiz, along with others at the company, participated in a scheme that changed the composition of the company’s board and led to Zappin’s removal as director. The lawsuit asserts that this was destructive to the company and harmed its shareholders.

In May, Kreiz took over control of Maker Studios as executive chairman, while Zappin gave up the CEO title and transitioned to an advising role as a member of the company’s board. Zappin was voted off the company’s board in June. The claim is that the senior management at Maker Studios conspired to create a favorable voting block through which they could force Zappin out.

Representatives from Maker Studios issued the following statement: “The lawsuit is without merit and the allegations are baseless. We regret that Danny is taking this step and involving the company he co-founded in litigation.”