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.

Employment Law
Tort
Shareholder Agreement, Writ of Attachment

Gray v. Monterey Financial Services

Published: May 2, 2009 | Result Date: Oct. 31, 2008 | Filing Date: Jan. 1, 1900 |

Case number: 37-2007-00081902-CU-BC-CTL Settlement –  $1,889,050

Court

San Diego Superior


Attorneys

Plaintiff

Mark W. Yocca
(The Yocca Law Firm LLP)


Defendant

Todd J. Eastman

Michael P. McCloskey
(Wilson, Elser, Moskowitz, Edelman & Dicker LLP)


Facts

After plaintiff Michael Gray, a financial services executive, left his position with defendant Monterey Financial Services, defendant exercised its option to acquire plaintiff's shares of stock of Monterey Financial Services. After unsuccessful negotiations to effectuate the stock transfer, plaintiff demanded payment for the stock under the operative shareholder agreement. Defendant refused to comply, alleging that it was not required to proceed with the purchase under the shareholder agreement or was otherwise excused from performing.

Settlement Discussions

Plaintiff filed suit in November 2007 and promptly sought a writ of attachment for the principal amount due, which was granted by the Superior Court. After executing on the attachment, defendant agreed to post a cash bond to prevent further attachment efforts. Defendant then served a CCP 998 offer to pay plaintiff the principal amount due. Plaintiff declined this offer. Thereafter, defendant served a second CCP 998 offer, this time for the principal amount due, plus attorneys' fees and prejudgment interest. Plaintiff accepted.

Result

The parties settled for $1,889,047.10.

Other Information

FILING DATE: Nov. 16, 2007.


#85729

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

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