Facts

Pacific Coast Steel and San Diego Steel Holdings Group Inc. sued Todd Lee Leany, Tamra Mae Hunt, Lynn Leany, Century Steel Inc. (Nevada), Calico Construction Supply LLC, Century Steel Holdings Inc., Century Properties Henderson 18 LLC and Century Steel Inc. (Utah).

Todd Lee Leany as sued individually and as trustee for the Todd Lee Leany Irrevocable Trust. Hunt was sued as an individual and as trustee of the Tamra Mae L. Hunt Irrevocable Trust. Rich was sued as trustee of the Lynn M. Leany Family Trust.

Plaintiffs entered into a settlement agreement with defendants Todd Leany, Century Steel (Nevada), Calico Construction, Century Steel, Century Properties, Century Steel (Utah), Lynn Leany, and Rich as well as third-party defendants, including Eric Benson, David Perkins and Job Scurlock.

The settling parties agreed to enter a judgment in favor of plaintiffs and against Century Steel (Nevada) for $47,646,515, which included $4,431,869 in interest. The parties then agreed to dismiss with prejudice the remaining claims against Todd Leany, Lynn Leany and the Century Entities other than Century Steel (Nevada). The parties also agreed to dismiss with prejudice all of Todd Leany's and the Century Entities' counterclaims and third-party claims against plaintiffs and third-party defendants.

The action proceeded to trial against Hunt only.

PLAINTIFFS' CONTENTIONS:
Plaintiffs contended that defendants breached an "Asset Purchase Agreement" (APA). As a result of defendants' breach, plaintiffs suffered damages. Plaintiffs also contended that Hunt breached the implied covenant of good faith and fair dealing in connection with the APA, and that plaintiffs suffered damages as a result of Hunt's breach.

Result

The jury unanimously found that Hunt breached the APA, and awarded plaintiffs $41,604,280 in damages. However, the jury did not find that Hunt breached the implied covenant of good faith and fair dealing in the APA.