Mark Choi v. Edward L. Harvey, Janet Harvey
Published: Aug. 19, 2003 | Result Date: May 14, 2003 | Filing Date: Jan. 1, 1900 |Case number: SLO012225 Verdict – $297,323
Judge
Court
Solano Superior
Attorneys
Plaintiff
Defendant
Experts
Plaintiff
James Pak
(technical)
James Naughton
(medical)
Michael Brooks Carroll
(Law Offices of Michael Brooks Carroll)
(technical)
Defendant
Robert S. Gartrell
(technical)
David L. Black
(technical)
Facts
Plaintiff Mark Choi, a 34-year-old dentist, purchased a pediatric dental practice from defendants Edward and Janet Harvey. He paid $523,500 for the practice. The plaintiff learned from news reports published eight months later that Edward Harvey pleaded guilty to intentionally overbilling the U.S. military dental insurance plan and performing unnecessary procedures on patients. Edward Harvey was audited by the military insurance company, and was advised that the company found billing improprieties which ultimately formed the basis of the criminal and civil fraud charges.
Settlement Discussions
The plaintiff made a C.C.P. Section 998 demand of $900,000. The defendants' offer was $100,000.
Damages
The plaintiff claimed economic damages of the difference in value of the practice as represented and its actual worth, lost profits and interest. He also sought recovery of attorney fees and costs.
Injuries
The plaintiff claimed general damages for emotional distress and mental anguish resulting from the fraud and other breaches of duty.
Result
In a bifurcated bench trial, the liability and compensatory phases were heard first. The judge awarded damages to plaintiff against Edward Harvey under Civil Code Section 3343(1), the difference between the actual value of what the defrauded person parted with and the actual value of what he received, in the amount of $28,041 and prejudgment interest of $19,769. Janet Harvey obtained a defense decision on the negligent misrepresentation and breach of contract claims. The judge held her share of the community estate of the defendants liable for any judgment in this action pursuant to Family Code Section 910. The plaintiff's claims for lost profits and non-economic damages for emotional distress were denied. Punitive damages in the amount of $75,000 against Edward Harvey were awarded to plaintiff. The plaintiff's total judgment after inclusion of attorney fees and costs was $297,323.
Other Information
The plaintiff's motion for partial new trial on the lost profits and emotional distress claims was denied. His motion for attorney fee was granted and he was awarded $150,000 in fees and approximately $25,000 in costs. Janet Harvey's motion for attorney fees and costs was granted and she was awarded $75,000. Edward Harvey filed an appeal and plaintiff filed a cross-appeal on the sufficiency of damages. The plaintiff appealed the fees and costs awarded to Janet Harvey.
For reprint rights or to order a copy of your photo:
Email
jeremy@reprintpros.com
for prices.
Direct dial: 949-702-5390