KBI Family Feud Involving Ed Kozol Intensifies

JOLIET, IL - A legal fight over the multi-million dollar fortune controlled by Kozol Brothers Inc. remains active at the Will County Courthouse, court filings reveal. On Feb. 27, Joliet Patch published an exclusive story about the ongoing controversy at the long-time Will County beer distributor. Three siblings, Stephanie Friedrich, Michelle Littman and Anthony Kozol are suing their brother, Edward Kozol individually and as trustee of Kozol Family Trust.

In late March, the plaintiffs filed a motion at the Will County Courthouse asking the court to deem the defendants as being served with the civil lawsuit summons. The lawsuit was filed on Feb. 2. On Feb. 14, the defendant's counsel, Jennifer Friedland, emailed the lawyer for the plaintiffs, Brianna Golan, and "advised that she was not authorized to accept service on behalf of the defendants. As a courtesy, however, Ms. Golan forwarded a copy of the complaint to Ms. Friedland," court records show.

"On Feb. 14, 2018, plaintiffs issued three summonses to Ed as registered agent of KBI, registered agent of Askem and individually and as trustee of the trust." Askem facilitates leasing transactions for KBI, the lawsuit has noted.

Meanwhile, Ed Kozol remained elusive and the process servers, despite their best effort, were unsuccessful, court documents indicate.

"Lewis Ellis, a process server with ATG LegalServe Inc. attempted four times to serve Ed at 2010 South Briggs Street, Joliet, Illinois, the headquarters of KBI, the location of Ed's office and the recognized office for both KBI and Askem."

Besides Ellis, the lawsuit reflects, "Michael Menichini, another process server with ATG LegalServe, Inc. attempted four times to serve Ed at his home ... when Mr. Menichini attempted to serve Ed at home on March 4, lights and a television were on inside Ed's home, but no one came to the door. Neither Mr. Ellis nor Mr. Menichini has been able to effectuate service on Ed."

Nowadays, the ongoing KBI lawsuit includes copies of the Joliet Patch article, published Feb. 27, as one of the latest court case exhibits.

ORIGINAL STORY: Kozol Family Feud Over Beer Fortune: Lawsuit

"When the Patch article was published, (defendant's lawyer) Ms. Friedland emailed (plaintiff's lawyer) Ms. Golan saying, 'Today, we are handling the internal damage to KBI since the lawsuit has been reported to the news.'" The defendant's email to the plaintiff is now part of the court file also.

The same day Joliet Patch published the article about the Kozol Brothers Inc. lawsuit, "Ms. Friedland again emailed Ms. Golan correspondence advising that the plaintiffs' employment with KBI had been retroactively terminated as of Feb. 2, 2018, the date the lawsuit was filed. Ms. Friedland attached a copy of the Patch article to the Feb. 27th letter and Ed (Kozol) was copied on the Feb. 27th letter."

The KBI lawsuit, around 75 pages, accuses Ed Kozol of oppressive conduct and mismanagement of KBI. "Despite his ample salary and bonuses, Ed has spent KBI, Askem and Family Partnership funds on his personal and family expenses, including living and entertainment expenses for his wife, girlfriend, stepson, son and daughters," the lawsuit declared.

The filing from late March asking the court to deem Ed Kozol as being served with the lawsuit, explains that "based on both the Patch article and the Feb. 27 letter, KBI, Askem and Ed are all aware of the complaint. Their counsel has had a copy since Feb. 14, 2018."

"Upon information and belief, and based on the affidavits of the process servers, Ed is evading service to delay these proceedings and unnecessarily increase the cost of litigation," the plaintiffs wrote. "The Patch article advised of the pendency of this action, the title of the court and the names of the plaintiffs and defendants. Moreover, a copy of the complaint was provided to Ed's attorney, Ms. Friedland, on Feb. 14, 2018. Counsel in this case has been diligent in attempting to serve Ed, but he has so far evaded service of process."

Here's a synopsis of some of the key allegations brought against Ed Kozol by his three siblings in their February civil lawsuit:

• "Since Ed assumed operational control of KBI, KBI no longer follows the Stockholder's Agreement provisions."
• "Ed has wasted corporate assets of KBI and oppressed the minority shareholders ..."
• "Upon information and belief, Ed added his ex-wife to the KBI payroll during their divorce proceedings in order to avoid having to pay her additional maintenance."
• "Upon information and belief, KBI is paying above-market rent on its properties to the Family Partnership."
• "In 2015, Ed directed Askem to sell its ownership interest in Nicolet, a water company Buck (Kozol) had invested in years ago to offset other profits. The minority shareholders, which together own 75 percent of Askem, were never consulted on the sale of the Nicolet shares."
• "On or about Sept. 1, 2015, Ed caused Askem to register a 2016 Cadillac Escalade driven by Ed's stepson at Askem's expense ... Askem has failed and refused to provide any documents related to the purchase, possession, insurance coverage or purpose of the 2016 Cadillac Escalade."
• "At some point prior to August 2016, Ed caused Askem to become the 'nominee holder of the note and mortgage' for a condominium property owned by Ed's girlfriend and former KBI employee, Nicole Weber, 'in case the property had to be reclaimed.' Upon information and belief, KBI or Askem funds were used to purchase this condominium property."

This month, a Will County judge ruled that the defendant has been deemed to be served with the lawsuit. The legal fight over the Kozol beer fortune has its next court hearing on May 23.

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