Cohan & Levy successfully defends AAA arbitration.
Our real estate developer clients were sued by an investor in a failed deal. The investor sued for fraud, breach of fiduciary duties, and breach of contract, and also sought to pierce the corporate veil to establish liability against our clients in the individual capacities. According to the Complaint, damages included $210,000 in restitution, attorneys’ fees, and costs. The Court ordered the case to AAA arbitration. The hearing started in August (with other counsel), but was aborted when Plaintiff’s counsel made a settlement demand that created a conflict of interest. At that point our clients were very concerned that they would have lost the arbitration. The clients hired us and we tried this case for a week. On December 16, 2011, the Arbitrator issued her Award denying each of the Plaintiff’s claims.