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Nevada Jury Returns $388 Million Award for Perkins Coie Client

Press Release

LAS VEGAS (Aug. 18, 2008) – Gilbert P. Hyatt, a Nevada inventor, scientist and engineer with more than 70 patents from the United States Patent & Trademark Office to his credit, was awarded more than $388 million by a Nevada jury against the Franchise Tax Board (FTB) of the State of California.

 

The jury returned a unanimous liability and compensatory damage verdict on Aug. 6, 2008, for more than $138 million for fraud, intentional infliction of emotional distress, abuse of process, breach of confidential relationship, and invasion of privacy.

 

On August 12, the jury unanimously determined that the FTB’s conduct warranted punitive damages. On August 14, the jury rendered its verdict assessing $250 million in punitive damages against the FTB. The FTB is expected to appeal the verdict.

 

Don Kula, a senior partner in the Los Angeles office of Perkins Coie, has been involved in this case since its inception, including its review twice by the Nevada Supreme Court and once by the United States Supreme Court. The FTB had argued that Nevada courts could not adjudicate Hyatt’s claims against the California FTB in Nevada. The United States Supreme Court disagreed and unanimously upheld the Nevada Supreme Court’s ruling that Hyatt’s intentional tort claims could proceed to trial in Nevada.

 

"The verdict is extremely gratifying as the jury recognized the severity and duration of the misconduct directed at Mr. Hyatt,” Kula stated. “The jury made clear that the FTB's conduct is not acceptable. The case was not about money, rather it was about standing up and not accepting an abuse of power. The jury understood this. The verdict is professionally rewarding to me, but mostly I am pleased that Mr. Hyatt's decision to stand and fight for what is right, regardless of how long it took, was understood and recognized by the jury as the right thing to do."

 

Kula, was co-counsel at trial along with Mark Hutchison from Hutchison & Steffen in Las Vegas, and Peter Bernhard from Bullivant Houser Bailey in Las Vegas.

About Perkins Coie: Founded in 1912 in Seattle, Perkins Coie has more than 850 lawyers in
19 offices across the United States and Asia. The firm is celebrating its 100th anniversary of
representing great companies ranging in size from start-ups to FORTUNE 100 corporations.