APRIL 10, 2009 FOR IMMEDIATE RELEASE RUSS, AUGUST & KABAT WINS ARBITRATION AWARD OF APPROXIMATELY $30,000,000.00, INCLUDING $10,000,000.00 PUNITIVE DAMAGES, FOR ITS CLIENTS AGAINST ENTITIES RELATED TO LANCE J. ROBBINS. Finally ending almost a year and a half of a very contentious arbitration before JAMS arbitrator Richard Chernick, Oxford Street Properties, LLC, Prudential Construction and Management, Inc. and Frank Gamwell, represented by their lawyer Jules L. Kabat of Russ, August & Kabat, obtained an award of approximately $30,000,000.00, including $10,000,000.00 punitive damages, against Rehabilitation Associates, LLC and Fedora Investment Corp., two entities related to Lance J. Robbins. Oxford proceeded against Rehabilitation and Fedora for fraud, economic duress, rescission and breach of fiduciary duty and other claims, arising from their and Robbins' conduct regarding the Main Mercantile Building historic renovation project in downtown Los Angeles' thriving Gallery Row. The arbitration trial proceeded in two phases over many weeks in October and November of 2008 and March of 2009, and resulted in findings by the arbitrator including that by, "clear and convincing evidence [Oxford] established that the conduct of Rehab, Fedora and Robbins, their agent, was oppressive, fraudulent and malicious as to Oxford and Gamwell in scheming to acquire the property by financial oppression and a course of malicious dealings intended to so weaken Oxford and Gamwell that they were unable to protect their interest in the property." All told, the arbitrator awarded approximately $30,000,000.00, including $10,000,000.00 punitive damages. When reached for comment, Gamwell said, "I'm excited about the award, and about the fact that I had the chance to tell my story and the legal system not only listened, it worked. It's justice at last." Gamwell added, "I cannot say enough good things about everybody who worked on the case at Russ, August & Kabat. They were able to handle every trick and tactic used by the other side to prevent the arbitration from going forward." The arbitrator awarded approximately $1,000,000.00 in attorney's fees and costs to Gamwell and the other prevailing parties, emphasizing that Russ, August and Kabat "vigorously, effectively, and efficiently represented their client in circumstances where special demands were placed on them by the aggressive and sometimes inappropriate defensive tactics employed . . . . In all cases, the professionalism and skill exhibited [by Russ, August and Kabat] was consistent with the highest standards." Russ, August & Kabat trial lawyer Jules Kabat expressed gratitude for acknowledgment of his firm's efforts and for the resounding victory he obtained for his clients. For more information, please contact: About Russ, August & Kabat: |