United States: Employees Were Properly Awarded $7.2 Million For Employer's Breach Of Contract

Park v. NMSI, Inc., 96 Cal. App. 5^th 616 (2023)

Julie Park and Danny Chung sued their former employer (NMSI, Inc., a residential mortgage lender) for $7.2 million in profit sharing and related amounts associated with NMSI's alleged breach of contract, which the trial court granted in the form of prejudgment right to attach orders. NMSI argued that Park and Chung had failed to establish the probable validity of their claims because the agreements underlying their breach of contract causes of action had been modified through an exchange of emails as well as by the parties' subsequent conduct. The trial court applied the "probable validity standard" and concluded the agreements had not been modified by email or the parties' subsequent conduct. Further, the trial court found that the claims were for a fixed or readily ascertainable amount. The Court of Appeal affirmed the trial court's order in plaintiffs' favor.

Employees Were Properly Awarded $7.2 Million For Employer's Breach Of Contract

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