Case details

Defense: No final agreement on percentage of interest in firm

SUMMARY

$0

Amount

Verdict-Defendant

Result type

Not present

Ruling
KEYWORDS
FACTS
Since 2004, plaintiff Thomas Slattery, was a supervising attorney and an at-will employee for Pacific Law Center. Slattery claimed that Robert Arentz, Jeffrey Phillips and other individuals had promised him a 10-percent interest in the firm on Slattery’s five year anniversary at the firm. In 2008, Kerry Steigerwalt’s Pacific Law Center LLP came into being, and Slattery became an attorney and an at-will employee of the law center. In February 2010, Slattery submitted letters to the State Bar of California and the California Attorney General’s Office. Shortly thereafter, on Feb. 25, 2010, he was terminated from his position. Slattery sued Kerry Steigerwalt’s Pacific Law Center LLC, which effectively ceased operations in June 2010. He also sued Arentz; Phillips; and other individuals who worked at the law center, Ellen Bolden, Jeffrey Curtis, Elmer Heap, Claudio Iannitelli, Craig Joley, John Masnica, Kerry Steigerwalt, Maria Vargas and Sandra Vejar. Slattery alleged that the defendants wrongfully terminated him in retaliation for submitting the letters to the State Bar of California and the California Attorney General’s Office, and that as a whistleblower, his termination was in violation of public policy. Slattery also alleged that the defendants failed to give him 10-percent firm interest in the law firm that he was allegedly promised. The defendants claimed that Slattery had been slated for layoff prior to his alleged submission of any letters and that his termination was not retaliatory. They also claimed that Slattery was paid severance as specified in his employment agreement. Iannitelli, Vejar, Bolden, Curtis, Heap, Joley, Masnica and Vargas were ultimately dismissed from the case after their demurrers were sustained without leave to amend. Arentz, Steigerwalt and Kerry Steigerwalt’s Pacific Law Center LLC were also dismissed from the action after their motions for summary judgment were granted. Thus, the matter proceeded to trial only against Phillips on the claims of breach of contract, conversion and misrepresentation related to Slattery’s claim that he was entitled to receive 10-percent interest in the firm. Slattery contended that Phillips promised him 10-percent interest in Pacific Law Center LLP, which then became Kerry Steigerwalt’s Pacific Law Center LLC, but that this interest was never given to him. Phillips contended that Slattery was not entitled to 10-percent interest because a final agreement was never reached. He also contended that because he did not have any ownership interest in Pacific Law Center or Kerry Steigerwalt’s Pacific Law Center, he did not have any liability to Slattery., Slattery claiming he has earned almost no income since his termination from Kerry Steigerwalt’s Pacific Law Center. Thus, he sought recovery of damages for his lost income, plus the alleged value of the 10-percent interest in Pacific Law Center and/or Kerry Steigerwalt’s Pacific Law Center.
COURT
Superior Court of San Diego County, San Diego, CA

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