An aerial photo shows the wreckage of a crash that killed Kyle Scott of Colorado Fire Aviation on Sept. 5, 2024. (National Transportation Safety Board)
At 10:14 a.m. Sept. 5, 2024, experienced pilot Kyle Scott had just sprayed a sugar beet field in rural Morgan County and turned west for a second run at it when his right wing struck the transformer of a power line.
Scott’s small plane fell 40 feet. He died in the crash.
“This is the biggest funeral service or celebration of life for anything like this that I have ever seen, and probably one of the most profound,” former Morgan County Sheriff Jim Crone told 9News after a remembrance ceremony at Fort Morgan Municipal Airport that month.
Scott’s untimely death at age 52 should have triggered a buyout provision for Colorado Fire Aviation, the $22 million Fort Morgan company that he founded and half-owned, his widow and brother say. But Scott’s business partner, Chris Doyle, has not bought them out.
Kyle Scott and Doyle started Colorado Fire Aviation and an accompanying plane leasing company in 2014. Three years later, Doyle’s health concerns led the 50-50 owners to create a succession plan in case one were to die unexpectedly, according to Scott’s loved ones.
“It is in the best interests of the corporations and to the mutual advantage of the shareholders to provide for continuity and harmony … by arranging for the purchase of the shares of a deceased shareholder,” according to a copy of their 2018 agreement obtained by BusinessDen.
Widow Jennifer Scott and brother Wade Scott say Colorado Fire Aviation and Colorado Fire Aviation Leasing were valued at somewhere between $22.2 million and $31.8 million a year ago, meaning Kyle Scott estate’s shares are worth at least $11.1 million and must be purchased at that price.
Surprised by the high valuation, and unable to pay $11 million, Doyle instead explored a sale of his company, according to a lawsuit Jennifer and Wade Scott have filed in Fort Morgan.
But “Doyle sabotaged each offer that was received during negotiations with a prospective buyer,” alleges that lawsuit, which was filed Dec. 1, “by insisting upon unreasonable terms with respect to financing of the sale and his salary and executive employment role post-sale.”
In a statement, Colorado Fire Aviation says Doyle “has been working for months to find a mutually agreeable resolution” and suggested that the Scotts are being unreasonable.
“Unfortunately, the estate refuses to engage in the straightforward process for valuing its interests that is set forth clearly in the parties’ agreement and has instead opted to file litigation,” the company told BusinessDen last week. “Mr. Doyle intends to file an appropriate motion to ensure that the parties follow the valuation process to which they agreed.”
Jennifer and Wade Scott are suing Doyle and his two Colorado Fire Aviation companies for breach of contract. Their attorneys are Mike Lazar, Nicholas Labor and Bethany Hohnstein at Robinson Waters & O’Dorisio. Doyle’s lawyer is Jordan Factor with Michael Best & Friedrich.
An aerial photo shows the wreckage of a crash that killed Kyle Scott of Colorado Fire Aviation on Sept. 5, 2024. (National Transportation Safety Board)
At 10:14 a.m. Sept. 5, 2024, experienced pilot Kyle Scott had just sprayed a sugar beet field in rural Morgan County and turned west for a second run at it when his right wing struck the transformer of a power line.
Scott’s small plane fell 40 feet. He died in the crash.
“This is the biggest funeral service or celebration of life for anything like this that I have ever seen, and probably one of the most profound,” former Morgan County Sheriff Jim Crone told 9News after a remembrance ceremony at Fort Morgan Municipal Airport that month.
Scott’s untimely death at age 52 should have triggered a buyout provision for Colorado Fire Aviation, the $22 million Fort Morgan company that he founded and half-owned, his widow and brother say. But Scott’s business partner, Chris Doyle, has not bought them out.
Kyle Scott and Doyle started Colorado Fire Aviation and an accompanying plane leasing company in 2014. Three years later, Doyle’s health concerns led the 50-50 owners to create a succession plan in case one were to die unexpectedly, according to Scott’s loved ones.
“It is in the best interests of the corporations and to the mutual advantage of the shareholders to provide for continuity and harmony … by arranging for the purchase of the shares of a deceased shareholder,” according to a copy of their 2018 agreement obtained by BusinessDen.
Widow Jennifer Scott and brother Wade Scott say Colorado Fire Aviation and Colorado Fire Aviation Leasing were valued at somewhere between $22.2 million and $31.8 million a year ago, meaning Kyle Scott estate’s shares are worth at least $11.1 million and must be purchased at that price.
Surprised by the high valuation, and unable to pay $11 million, Doyle instead explored a sale of his company, according to a lawsuit Jennifer and Wade Scott have filed in Fort Morgan.
But “Doyle sabotaged each offer that was received during negotiations with a prospective buyer,” alleges that lawsuit, which was filed Dec. 1, “by insisting upon unreasonable terms with respect to financing of the sale and his salary and executive employment role post-sale.”
In a statement, Colorado Fire Aviation says Doyle “has been working for months to find a mutually agreeable resolution” and suggested that the Scotts are being unreasonable.
“Unfortunately, the estate refuses to engage in the straightforward process for valuing its interests that is set forth clearly in the parties’ agreement and has instead opted to file litigation,” the company told BusinessDen last week. “Mr. Doyle intends to file an appropriate motion to ensure that the parties follow the valuation process to which they agreed.”
Jennifer and Wade Scott are suing Doyle and his two Colorado Fire Aviation companies for breach of contract. Their attorneys are Mike Lazar, Nicholas Labor and Bethany Hohnstein at Robinson Waters & O’Dorisio. Doyle’s lawyer is Jordan Factor with Michael Best & Friedrich.
