This is the property of the Daily Journal Corporation and fully protected by copyright. It is made available only to Daily Journal subscribers for personal or collaborative purposes and may not be distributed, reproduced, modified, stored or transferred without written permission. Please click "Reprint" to order presentation-ready copies to distribute to clients or use in commercial marketing materials or for permission to post on a website. and copyright (showing year of publication) at the bottom.

Breach of Contract
Fraud
Oral Agreement

Jim Zender dba Z Tomato Co. v. Vlasic Foods, Inc.

Published: Nov. 12, 1994 | Result Date: Oct. 25, 1994 | Filing Date: Jan. 1, 1900 |

Case number: 92455G –  $1,314,380

Judge

Warren Eginton

Irma E. Gonzalez

Court

USDC Southern District of California


Attorneys

Plaintiff

A. Daniel Daniel Bacalski Jr.


Defendant

Christian F. Dubia Jr.


Experts

Plaintiff

Michael G. Willoughby
(technical)

Facts

Defendant Vlasic Foods, Inc., owned by Campbell's Soup, entered into a series of written contracts with Plaintiff Jim Zender for growing pickling cucumbers in Blythe, CA. During the course of those contracts, Vlasic allegedly urged Zender to enter into a long-term lease of farmland for future crop rotation and expansion. Vlasic also allegedly encouraged Zender to purchase and lease expensive farm equipment, including tractors and solid set sprinkler systems, in order to grow Vlasic's pickling cucumbers. Vlasic then allegedly made oral promises to Zender that they would enter into a 5-year contract with Zender to grow their pickling cucumbers. After Zender entered the lease of farmland and leased and purchased the equipment, Vlasic decided to cease its cucumber operations in CA after Zender grew only one crop.

Settlement Discussions

Plaintiff contends that they made a Rule 68 demand in the amount of $250,000 and Defendant offered $50,000.

Damages

Zender was sued by the landlord of the ground lease who obtained a settlement judgment in the amount of $50,000. Zender incurred $120,000 debt for a solid set sprinkling system; $27,000 per crop lost profits (at the rate of 2 crops per year for the length of the contract; and lost profits from an ancillary hay operation as well as lost equity in repossessed farm equipment. Plaintiff attorney asked the jury to award $400,000 plus in actual damages plus a sufficient amount of punitive damages. Defendant attorney asked the jury to award nothing and to find a Defense verdict for Vlasic.

Other Information

The Honorable Warren Eginton was visiting from Connecticut. This case was trifurcated, tried on liability, burden of clear and convincing on fraud, and on the amount of punitive damages.

Deliberation

1.5 days

Poll

8-0

Length

13 days


#78325

For reprint rights or to order a copy of your photo:

Email jeremy@reprintpros.com for prices.
Direct dial: 949-702-5390