Credit crunch good for lawyers


A few days after being sued by Wachovia Corp., which wants to get out of its loan commitment, Newport Television has filed its own lawsuit seeking to force the bank to either make the 500 million bucks loan or pay the breakup fees. Newport, an affiliate of Providence Equity Partners, charges that Wachovia’s actions could sabotage its 1.1 billion deal to acquire Clear Channel Television. The bank’s lawsuit, filed in state court in its home base of North Carolina, had contended that it was no longer obligated to fund the deal since Newport had renegotiated the terms, getting Clear Channel to reduce the price by 100 million bucks. Newport’s own lawsuit, filed in Delaware Chancery Court, a common venue for business disputes, claims that Wachovia has just come down with a case of “lender’s remorse.”