Departure Festival Faces $500,000 Lawsuit from Former Canadian Music Week Founder Neill Dixon

The newly rebranded Departure Festival, formerly known as Canadian Music Week (CMW), is facing legal trouble as its former founder and president, Neill Dixon, has filed a lawsuit against its new owners. The suit, lodged in the Ontario Court of Justice on March 17, 2025, accuses Loft Entertainment and Oak View Group (OVG) Canada of breach of contract, unjust enrichment, and failure to pay agreed-upon sale fees.

Dixon, who led Canadian Music Week for over four decades, sold the festival in June 2024 for an agreed-upon sum of $2,000,000. However, he claims that the new owners have failed to complete their financial obligations, leaving an outstanding balance of $435,428. Additionally, Dixon alleges that he provided consulting services to Loft Entertainment and OVG Canada, for which he was to be compensated $56,000, a payment he asserts has not been made.

In his legal filing, Dixon is seeking damages amounting to $435,428 in unpaid sale fees, along with an additional $50,000 in punitive and aggravated damages.

Statement from Neill Dixon

In a statement provided to Billboard Canada, Dixon expressed his disappointment, stating:

“After 42 years of building an internationally respected Canadian music business, I made the difficult decision to sell and retire, trusting the purchasers to honor their commitments under our agreement. Unfortunately, I have been forced to initiate legal action to hold them accountable for their obligations. It is disheartening to see decades of dedication and hard work met with such disregard.”

Response from Loft Entertainment and Oak View Group

Loft Entertainment and Oak View Group confirmed receipt of the lawsuit and indicated that discussions with Dixon and his legal representatives had been ongoing.

“LOFT Entertainment and Oak View Group have received a formal statement of claim from Neill Dixon,” their statement reads. “We have been negotiating with Neill and his counsel for an extended period to finalize our agreed-upon terms. If we are unable to reach an agreement, we will explore alternative options.”

Background of the Sale and Rebranding

Dixon announced his retirement and the sale of Canadian Music Week to Loft Entertainment and Oak View Group on the opening day of the 2024 conference. The festival had been a cornerstone of the Canadian music industry since 1982, gaining recognition as a key event for professionals and artists alike.

However, before the end of 2024, the new owners rebranded the event as Departure Festival, marking a shift in vision that expanded beyond music to include elements such as comedy, technology, and culinary experiences. The rebranding was officially announced at a November 2024 launch event at Hotel X in Toronto, where key figures, including Loft Entertainment co-founder and CEO Randy Lennox, COO Jackie Dean, Executive Producer Kevin Barton, and OVG Canada President Tom Pistore, outlined their new direction for the festival.

Dixon was present at the launch, during which the organizers announced that he would receive a lifetime achievement award at the upcoming Departure Festival, scheduled to take place from May 6-11, 2025.

Legal Dispute Over Payments

According to Dixon’s legal claim, payments were scheduled to be made by a numbered Ontario company jointly owned by Loft Entertainment and Oak View Group. However, the claim states that as of December 16, 2024, a balance of $378,928 remained unpaid. Combined with the consulting fees, Dixon asserts that he is owed a total of $491,428.

With Departure Festival’s inaugural edition set to take place in May 2025, the dispute between Dixon and the new owners remains unresolved, leaving questions about the financial dealings behind the high-profile rebranding of one of Canada’s most notable music industry events.