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Torts
Professional Malpractice
Accounting

George Krikorian v. Brigante, Cameron, Watters & Strong, LLP, et al.

Published: Feb. 3, 2004 | Result Date: Nov. 13, 2003 | Filing Date: Jan. 1, 1900 |

Case number: BC271717 Verdict –  $5,099,200

Judge

Victor H. Person

Court

L.A. Superior Central


Attorneys

Plaintiff

Daniel M. Glassman
(K&L Gates LLP)

Glenn D. Dassoff
(Orrick, Herrington & Sutcliffe LLP)


Defendant

Randall J. Dean


Experts

Plaintiff

Kenneth M. Rem
(technical)

Paul J. Sax
(technical)

Defendant

Gregory M. Burke
(technical)

Facts

The plaintiff, George Krikorian, owned a successful chain of Southern California movie theaters operating under the name Krikorian Premiere Theaters. The plaintiff sold eight of his theaters to Regal Cinemas in 1996 for $35 million. The plaintiff alleged retained the defendant accountants to assist in the creation and implementation of a tax plan that would structure the transaction to permit the plaintiff to legally defer the taxable gain from the sale. The California Franchise Tax Board subsequently audited the plaintiff's tax return reporting the sale and assessed the plaintiff with tax liabilities and other charges that were never disclosed to him by the defendants.

Settlement Discussions

The plaintiff demanded $2.5 million. The defendants offered $500,000 C.C.P. Section 998.

Other Information

The plaintiff had also named his tax attorney as a defendant but reached a confidential settlement prior to trial which offsets the gross amount of the verdict.

Deliberation

four days

Length

11 days


#124492

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