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Contracts
Breach of Contract
Corporations

Bill Hirose v. The Good News Is. . . LLC, Alameda Publishing Corp.

Published: Jun. 26, 2010 | Result Date: Apr. 28, 2010 | Filing Date: Jan. 1, 1900 |

Case number: RG08424140 Verdict –  $10,000

Court

Alameda Superior


Attorneys

Plaintiff

Ronald W. Carter


Defendant

Clinton O. Killian


Facts

The Good News Is...LLC purchased 100 percent of stock in Alameda Publishing Corp. from Velda Berkley in December 2004 via a stock purchase agreement. The agreement was executed by Berkley and GNI manager Paul Cobb, and Berkley transferred her 1,250 shares in exchange for $225,000 and recovered accounts receivable.

Bill Hirose filed suit against GNI and Alameda Publishing, alleging breach of contract. GNI and Alameda Publishing filed a cross-complaint against Hirose and Berkley, alleging breach of contract, fraud, negligence, indemnification, apportionment of fault and declaratory relief.

Contentions

PLAINTIFFS' CONTENTIONS:
Hirose alleged he was a third-party beneficiary to the contract, providing consulting services to Berkley and Alameda Publishing, and was owed $10,000 in consulting fees pursuant to the contract. Hirose further claimed a common counts cause of action for the reasonable amount of consulting services provided.

DEFENDANTS' CONTENTIONS:
GNI and Alameda Publishing contended that the original contract did not include the consultation fee provision, which was added only during closing at Berkley and Hirose's request. They further alleged that Hirose was not entitled to payment because he failed to submit an invoice to prove he performed the work for Alameda Publishing. The defense further contended the contract was ambiguous, and failed to specify the services Hirose was supposed to be perform or the amount to be paid.

Damages

Hirose sought $10,000 in consulting fees.

Result

The court awarded Hirose $10,000.

Length

one day


#117431

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