Facts

Between 1996 and 1998, Ronald Batch dba Batch Tractor Services, performed debris cleanup, vegetation removal, and paving for defendant Central California Traction Company (CCTC). CCTC is a railroad company operating in northern California. In total, Batch invoiced CCTC for $2.2 million of work performed. In April 1998, Howard Menking retired as manager for CCTC and on May 1, 1998, defendant Phil Copple became the new manager. Defendant Cindy Garrison, a clerk for CCTC, shared her concerns about Batch's excessive charges and $396,000 in unpaid invoices with Copple. After an audit of the invoices, it was discovered that Batch had fabricated invoices and CCTC had no need to hire outside contractors for the work specified.

Batch filed suit for breach of contract and defamation. CCTC filed a countersuit for fraud.

PLAINTIFF'S CONTENTIONS:
Batch contended that CCTC breached its contract when it failed to pay the unpaid invoices. As well, Copple and Garrison defamed him when they accused him of issuing fraudulent invoices.

DEFENDANTS' CONTENTIONS:
CCTC countered that Batch was involved in a kickback scheme with Menking in order to receive the fraudulent contracts. CCTC argued that Menking received $100,000 in exchange for contracting the work with Batch.

Damages

Batch sought damages in the amount of $396,000. CCTC sought damages in the amount of $1,000,000 for fraud.

Result

The jury found in favor of CCTC in the amount of $1.8 million.

Length

10 days