RMO secures $2.5 million verdict despite fraudster’s court dodging

Led by Partner David Greco, the firm secures its second multi-million dollar judgment in a month

LOS ANGELES, May 6, 2022 /PRNewswire/ — A fraudster’s attempt to strategically avoid liability and litigation have ended after six years with a $2.5 million judgment.

The plaintiff, represented by national probate litigation law firm RMO LLP, initially filed claims in 2017 as part of a case involving fraud, including tax avoidance. While the matter was initially slated as an arbitration, the defendant (and the multiple shell companies through which they operate) failed to honor contractual terms by refusing to pay the arbitrator. This forced cancelation of the arbitration and shifted the matter to state court.

The defendant subsequently employed a “round robin” roster of attorneys, refusing to participate in the litigation other than making strategic requests to substitute counsel to interfere with progression of the case. Eventually, RMO was able to secure default judgments against the defendant, which the court refused to vacate because the defendant had not been diligent.

Following a second default – and after nearly six years of litigation – the court entered judgment in RMO’s client’s favor in the amount of $2.5 million. David Greco, a partner who leads RMO’s San Diego office and led the firm’s efforts in the case, noted the award included a substantial amount of statutory interest that would not have accrued had the defendant not attempted to delay the case.

“This result shows that attempts to game the court system will only hurt you in the long run. We’re pleased that our client has finally been rewarded for their patience and diligence throughout the long pursuit of these claims,” said Greco.

The judgment also protects RMO’s client from some peripheral tax issues that arose due to the conduct at issue in the litigation. The matter was filed in Orange County [California] Superior Court.

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