ILNews

Forged agreement presents question of fact

Back to TopCommentsE-mailPrintBookmark and Share

A company that forged a former employee's non-compete contract and later sued and settled with another company over that false document isn't entitled to summary judgment in a new suit brought by the other company after it learned the document was forged, ruled the Indiana Court of Appeals.

Tru-Cal Inc. hired a former employee of competitor Conrad Kacsik Instrument Systems Inc. shortly after he quit. Conrad filed suit against Tru-Cal and the employee, Steven Sulzbach, basing most of its claims on an employment agreement he allegedly signed while working for Conrad that said he wouldn't work for a competitor for two years. After Tru-Cal learned of the litigation in an Ohio court and the non-compete agreement, it settled the suit. Sulzbach maintained he never remembered signing the document. The settlement contained mutual releases and an integration clause.

About a year later, Tru-Cal learned the Sulzbach's signature on the document was most likely forged because a former executive of Conrad said no employees signed non-compete agreements. It filed the instant action against Conrad seeking treble damages and attorney fees pursuant to the Indiana Crime Victims Relief Act, alleged the Ohio litigation initiated by Conrad constituted abuse of process, and Tru-Cal was entitled to rescission of the settlement agreement, attorney fees, and punitive damages. Hamilton Superior Court granted summary judgment in favor of Conrad on all of Tru-Cal's claims.

In the appeal, Tru-Cal v. Conrad, No. 29A04-0809-CV-511, the essence of the dispute between the companies appears to center on whether Tru-Cal rightfully or reasonably relied upon Conrad's forged documents and the Ohio litigation in filing its suit, wrote Judge Ezra Friedlander. Conrad argues Tru-Cal couldn't reasonably rely upon these false representations because of the integration clause in the settlement agreement, which disclaimed reliance on any outside statement or representation.

The Court of Appeals found Prall v. Indiana National Bank, 627 N.E.2d 1374 (Ind. Ct. App. 1994), and Circle Ctr. Dev. Co. v. Y/G Ind., L.P., 762 N.E.2d 176 (Ind. Ct. App. 2002), to be factually distinguishable from the instant case.

"Rather, the alleged fraud here involves a forged employment agreement that was filed in a court of law, along with a complaint and an affidavit that represented to the Ohio court that said agreement was valid," wrote the judge. "Assuming, as we must, that the employment agreement was forged, the Ohio litigation initiated by CKI was therefore a sham."

In the instant case, there's no doubt the fraud directly induced the execution of the settlement agreement or at least contributed to it as a cause, wrote Judge Friedlander. Tru-Cal presented a material issue of fact as to whether it had the right to rely on the employment agreement and other related representations made in the Ohio litigation.

The trial court also erred in granting summary judgment regarding Tru-Cal's Indiana Crime Victims Relief Act claim because there is a question of fact as to whether the conduct and or the result of any of the alleged offenses occurred in Indiana.

ADVERTISEMENT

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in Indiana Lawyer editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by

facebook - twitter on Facebook & Twitter

Indiana State Bar Association

Indianapolis Bar Association

Evansville Bar Association

Allen County Bar Association

Indiana Lawyer on Facebook

facebook
ADVERTISEMENT
Subscribe to Indiana Lawyer
  1. Dr wail asfour lives 3 hours from the hospital,where if he gets an emergency at least he needs three hours,while even if he is on call he should be in a location where it gives him max 10 minutes to be beside the patient,they get paid double on their on call days ,where look how they handle it,so if the death of the patient occurs on weekend and these doctors still repeat same pattern such issue should be raised,they should be closer to the patient.on other hand if all the death occured on the absence of the Dr and the nurses handle it,the nurses should get trained how to function appearntly they not that good,if the Dr lives 3 hours far from the hospital on his call days he should sleep in the hospital

  2. It's a capital offense...one for you Latin scholars..

  3. I would like to suggest that you train those who search and help others, to be a Confidential Intermediary. Original Birth Certificates should not be handed out "willie nillie". There are many Birth Parents that have never told any of their families about, much less their Husband and Children about a baby born prior to their Mother's marriage. You can't go directly to her house, knock on her door and say I am the baby that you had years ago. This is what an Intermediary does as well as the search. They are appointed by by the Court after going through training and being Certified. If you would like, I can make a copy of my Certificate to give you an idea. you will need to attend classes and be certified then sworn in to follow the laws. I still am active and working on 5 cases at this time. Considering the fact that I am listed as a Senior Citizen, that's not at all bad. Being Certified is a protection for you as well as the Birth Mother. I have worked with many adoptees as well as the Birth Parents. They will also need understanding, guidance, and emotional help to deal with their own lost child and the love and fear that they have had locked up for all these years. If I could talk with those involved with the legal end, as well as those who do the searches and the Birth Mothers that lost their child, we JUST might find an answer that helps all of those involved. I hope that this will help you and others in the future. If you need to talk, I am listed with the Adoption Agencies here in Michigan. They can give you my phone number. My email address is as follows jatoz8@yahoo.com. Make sure that you use the word ADOPTION as the subject. Thank you for reading my message. Jeanette Abronowitz.

  4. The promise of "Not to Tell" is the biggest lie ever given to a Birth Mother. THERE WERE NEVER ANY PROMISES GIVEN TO ANY OF US. One of the lies used to entice us to give up our Babies. There were many tactics used to try to convince us that it was best for Mother and Baby to cut the cord at birth. They have no idea of the pain and heartache that was caused by their attitude. The only thing that mattered was how great and wonderful they appeared to the prospective parents and their community. I completed my search, but that didn't stop the pain, heartbreak and the tears of the last 62 Years. I keep track and do know that he is alive, well educated and a musician. That little knowledge in itself is a Godsend to me. I pray that other Mothers also know that much and more to help heal their pain and open wounds. open wounds.

  5. please do your firm handles cases on breach of contract? please advise...

ADVERTISEMENT