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Contracts
Breach of Contract
Breach of Fiduciary Duty

Fu-Ann Palm Springs Partners v. Westmark Communities, Bird and Dalby

Published: May 18, 2002 | Result Date: Mar. 25, 2002 | Filing Date: Jan. 1, 1900 |

Case number: 00CC00093 Bench Decision –  $0

Judge

Gerald G. Johnston

Court

Orange Superior


Attorneys

Plaintiff

Fred A. Wong


Defendant

J. Scott Souders
(J. Scott Souders PC)

Paul A. Brennan

Robert G. Williamson Jr.


Facts

The plaintiffs brought this action for breach of contract, breach of fiduciary duties and fraud against defendants
based upon a partnership agreement entered into between plaintiff and defendant, Westmark Communities.
The plaintiff further sought damages against the individual defendants on the basis of alter ego and upon
claims that the individual defendants made the material misrepresentations relating to the profitability of the
partnershipÆs large-scale housing project and diverted partnership assets for their own use.

Settlement Discussions

Defendant Steve Dalby offered $20,000 one month prior to trial to avoid expense of the trial. The plaintiff rejected this offer to settle by defendant Steve Dalby. The corporate defendants initially offered to pay the plaintiff approximately $400,000 in installments. This offer was eventually rejected the corporate defendants were judgment proof and the individual defendants would not guarantee the payments.

Result

Defense Verdict for all defendants on all eight causes of action.


#107264

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