NEWS: Arc issues Sunday Business with writ for outstanding bill

Arc Advertising has increased the pressure on the Sunday Business, with which it parted company last month, and served a writ demanding that the paper pay its bills.

Arc Advertising has increased the pressure on the Sunday Business, with

which it parted company last month, and served a writ demanding that the

paper pay its bills.



Arc is demanding payment of more than pounds 70,000, which it claims it

is owed for work done on the launch ad campaign for the paper, which

failed to run.



Tim Coton, the business development director at Arc, confirmed that the

agency had sent the paper’s founder, Tom Rubython, a writ and was

expecting a deal to be made out of court.



‘We realise that the Sunday Business is a fledgling organisation,’

Coton said. ‘We have a great deal of empathy with that, but we do have

this money outstanding.’



He continued: ‘Nobody could have done more [than we did]. We are more

responsive to turning around newspaper advertising. We bent over

backwards, forwards and sideways. We tried to accommodate Rubython. But

this is a business and we were not going to fool ourselves.’



Sunday Business is also facing problems from a former US investor,

Albert Zlotnick, who is suing Rubython and the holding company, Business

Newspaper Publishing, over a pounds 50,000 loan.



Agencies are also demanding action over the failure to deliver

guaranteed circulation. WCRS was guaranteed circulation figures of

350,000 for its clients, Rail Track, BMW and Orange, and has so far

refused to pay anything for ads it has booked. Unofficial circulation

figures suggest the paper’s sales have fallen from 145,000 in the first

week to below 70,000.



Rubython confirmed to Campaign that he expected to settle all claims out

of court.



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