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Contracts
Breach of Contract
Accounting

Ahmad Alkayali v. Fatma Boukhari, Akram Quadri, Sarah Quadri, Michael Nassar, Neocell Corporation, and Does 1 through 50

Published: Jan. 9, 2016 | Result Date: Dec. 3, 2015 | Filing Date: Jan. 1, 1900 |

Case number: RIC 1309291 Verdict –  $10,200,000

Court

Riverside Superior


Attorneys

Plaintiff

Daniel Forouzan

Robert Tauler
(Tauler Smith LLP)


Defendant

Michael S. LeBoff

Daniel J. Callahan
(Callahan & Blaine)

Michael J. Sachs

Damon D. Eisenbrey


Facts

Ahmad Alkayali sued Neocell Corp., manufacturer and distributor of natural supplement and skincare products, and its owners Fatma Boukhari, Akram Quadri, Sarah Quadri and Michael, relating to the dissolution of Healthwise Nutraceuticals, Inc, a manufacturing facility for Neocell.

Contentions

PLAINTIFF'S CONTENTIONS:
Alkayali contended that he was a 72 percent owner of Healthwise when the company was dissolved but that he did not receive his share of its assets upon its sale or even consulted prior to its sale. Plaintiff asserted claims for Nassar for declarative relief, accounting, breach of fiduciary duty, conversion, and constructive trust.

DEFENDANTS' CONTENTIONS:
Defendants contended that Alkayali's claims were preempted under California law and that there was evidence that Alkayali did not own an interest in Healthwise at the time of its dissolution.

Result

The jury found for Alkayali on his conversion and breach of fiduciary duty claims. It awarded him $8,532,000 in economic damages, $1,000,000 in non-economic damages, and $685,000 in punitive damages, for a total award of $10,217,000.

Other Information

FILING DATE: July 8, 2013.


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