Pantheon Properties, Inc. et al v. Houston et al

Filing 138

JUDGMENT: IT IS THEREFORE ORDERED, ADJUDGED, AND DECREED: (a) That Johnathen Houston is and shall be jointly and severally liable with JHC, Love, and MMLS in the following amounts, which the Pantheon Parties shall recover from him: (i) the amoun t of $1,395,907.73, consisting of: 1. Compensatory damages: $278,276.26 (Sec. III(a)(i)-(v)); 2. Punitive damages: $100,000 (Sec. III(b)(i)); 3. Trebling of compensatory damages awarded for violations of 18 U.S.C. Sec. 1962(c) and (d) : $834,828.78 (Sec. IV(a)); 4. Attorneys' fees: $375,000 (Sec. IV(e)); and 5. Interest to verdict on compensatory damages: $86,078,95 (Sec. IV(b)); (ii) Post-verdict, pre-judgment interest on the total in Sec. V(a)(i) (i.e.  6;1,395,907.73) pursuant to CPLR 5002 at the rate of9% per annum, or $344.20 per day, for a total of $4,818.8 14 days between verdict and entry of judgment x $344.20 per day). (Sec. IV(c)). (iii) Post-judgment interest pursuant to 28 U.S.C Sec. 1961(a) on the sum of $1,400,726.53 (i.e. the sum of $1,395,907.73, (Sec. V(a)(i)); and the total post-verdict, pre-judgment interest awarded in Sec. V(a)(ii)); at a rate of 5.21 % per annum or $199.25 per day until satisfaction of the judgment. (Sec. IV(d)). (b) That JH Consulting Firm LLC is and shall be jointly and severally liable with Houston, Love, and MMLS in the following amounts, which the Pantheon Parties shall recover from it: (i) the amount of $1,395,907.73, consisting of: 1. Compensatory damages: $278,276.26 (Sec. III(a)(i)-(v)); 2. Punitive damages: $100,000 (Sec. III(b )(ii)); 3. Trebling of compensatory damages awarded for violations of 18 U.S.C. Sec. 1962(c) and (d): &# 036;834,828.78 (Sec. IV(a)); 4. Attorneys' fees: $375,000 (Sec. IV(e)); and 5. Interest to verdict on compensatory damages: $86,078,95 (Sec. IV(b)); (ii) Post-verdict, pre-judgment interest on the total m Sec. V(b)(i) (i.e. $1,39 5,907.73) pursuant to CPLR 5002 at the rate of 9% per annum, or $344.20 per day, for a total $4,818.8 14 days between verdict and entry of judgment x $344.20 per day) (Sec. IV(c)). (iii) Post-judgment interest pursuant to 28 U.S .C Sec. 1961(a) on the sum of $1,400,726.53 (i.e. the sum of $1,395,907,73, (Sec. V(b) (i)); and the total post-verdict, pre-judgment interest awarded in Sec. V(b) (ii)); at a rate of 5.21 % per annum or $199.25 per day until sati sfaction of the judgment.(Sec. IV(d)). (c) that Marvin Love is and shall be jointly and severally liable with Houston, JHC, and MMLS in the following amounts, which the Pantheon Parties shall recover from him: (i) the amount of $1,209,828.78, consisting of: 1. Compensatory damages: $278,276.26 (Sec. III(a)(i)-(ii)); 2. Trebling of compensatory damages awarded for violations of 18 U.S.C. Sec. 1962(c) and (d): $834,828.78 (Sec. IV(a)); and 3. Attorneys' fees: $375,000 ( Sec. IV(e)). (ii) Post-judgment interest pursuant to 28 U.S.C Sec. 1961(a) on the sum of $1,209,828.78 at a rate of 5.21% per annum or $172.69 per day until satisfaction of the judgment. (Sec. IV(d)). (d) that M & M Lightning Strikes is and shall be jointly and severally liable with Houston, JHC, and Love in the following amounts, which the Pantheon Parties shall recover from it: (i) the amount of $1,209,828.78, consisting of: 1. Compensatory damages: $278,276.26 (Sec. III(a)(i)-(ii)); 2. Trebling of compensatory damages awarded for violations of 18 U.S.C. Sec. 1962(c) and (d): $834,828.78 (Sec. IV(a)); and 3. Attorneys' fees: $375,000 (Sec. IV(e)). (ii) Post-judgment interest pursuant to 28 U.S.C Se c. 1961(a) on the sum of $1,209,828.78 at a rate of 5.21%per annum or $172.69 per day until satisfaction of the judgment. (Sec. IV(d)). (di) that Johnathen Houston is and shall be solely liable for, and the Pantheon Paii ies shall reco ver from him $9,157.50. (See Sec. IV(f)). ( dii) That the Pantheon Properties shall recover taxable costs as provided under Fed. R. Civ. P 54(d)(1), L. Civ. R. 54.1, and 28 U.S.C. Sec. 1920. The Pantheon Parties shall file a notice of taxation of cost, together with a bill of costs, pursuant to Fed. R. Civ. P. 54(d)(1) and L. Civ. R. 54.1. (Signed by Judge Andrew L. Carter, Jr on 6/5/2023) (ate) Transmission to Finance Unit (Cashiers) for processing.

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UNITED STATES DISTRICT COURT
SOUTHERN DISTRICT OF NEW YORK
PANTHEON PROPERTIES, INC.; and
LUCALEX CORP., d/b/a PANTHEON
PROPERTIES,

Civil Action No.: 1:20-cv-03241-ALC

Plaintiffs,
v.
JUDGMENT

JOHNATHEN HOUSTON, JH
CONSULTING FIRM LLC,
MARVIN M. LOVE, and M & M
LIGHTNING STRIKES,
Defendants.

The above-captioned action was tried to a verdict before this Court (the Honorable Andrew
L. Carter, District Judge, presiding); and a jury of eight (8), in a trial commencing on May 16,
2023 and concluding on May 22, 2023, of the claims in plaintiffs Pantheon Properties, Inc.
(“Pantheon”) and Lucalex Corporation’s (“Lucalex”) (together with Pantheon, the “Pantheon
Parties”) Second Amended Complaint dated August 5, 2020 (ECF No. 46); and of the sole
remaining counterclaim in defendants Johnathen Houston and JH Consulting Firm’s (JHC)
Answer and Counterclaim dated May 11, 2023 (ECF No. 125); and of the Pantheon Parties’
affirmative defense to said counterclaim. (ECF No. 121).
I.

CLAIMS SUBMITTED TO JURY
At the close of evidence, the Pantheon Parties dismissed (i) their claims for conversion

(Count I) and unjust enrichment (Count II) against defendants Marvin Love and M & M Lightning
Strikes (“MMLS”); their claim for fraud (Count III) against defendants JHC, Marvin Love, and
MMLS; and their claim for conspiracy to commit fraud (Count IV) against all defendants.
(a) At the time the case was submitted to the jury, the Pantheon Parties thus sought
damages as follows:
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(i) Against defendants Houston, JHC, Marvin Love, and MMLS for violations of
the Racketeer Influenced and Corrupt Organizations Act (“RICO”), 18 U.S.C.
Sec. 1962(c), (Count V);
(ii) Against defendants Houston, JHC, Marvin Love, and MMLS for conspiracy to
violate RICO, 18 U.S.C. Sec. 1962(d), (Count VI);
(iii) Against defendants Houston and JHC for conversion, (Count I);
(iv) Against defendants Houston and JHC for unjust enrichment, (Count II); and
(v) Against defendant Houston for fraud, (Count III).
(b) Defendant Houston sought damages of $1,590.69 from the Pantheon Parties on his sole
counterclaim for breach of contract.
II.

JURY’S VERDICT
The jury rendered a verdict:
(a) In favor of the Pantheon Parties and against all defendants for violation of RICO, 18
U.S.C. Sec. 1962(c), (Count V);
(b) In favor of the Pantheon Parties and against all defendants for conspiracy to violate
RICO, 18 U.S.C. Sec. 1962(d), (Count VI);
(c) In favor of the Pantheon Parties and against defendants Houston and JHC for
conversion, (Count I);
(d) In favor of the Pantheon Parties and against defendants Houston and JHC for unjust
enrichment, (Count II);
(e) In favor of the Pantheon Parties and against defendant Houston for fraud, (Count III);
and

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(f) In favor of the Pantheon Parties and against defendant Houston on Houston’s
counterclaim for breach of contract. (ECF No. 125, ¶¶ 98-103).
III.

DAMAGES AWARDED BY JURY
On the verdict form, (ECF No. 131); the jury awarded the following damages:
(a) Compensatory Damages:
(i).

For violation of RICO, 18 U.S.C. Sec. 1962(c), (Count V): $278,276.26;

(ii).

For conspiracy to violate RICO, 18 U.S.C. Sec. 1962(d), (Count VI):
$278,276.26;

(iii).

For conversion, (Count I): $278,276.26;

(iv).

For unjust enrichment, (Count II): $278,276.26; and

(v).

For fraud, (Count III): $278,276.26.

(b) Punitive damages:

IV.

(i).

Against defendant Houston: $100,000; and

(ii).

Against defendant JHC: $100,000.

ADDITIONAL STATUTORY DAMAGES, COSTS, AND INTEREST
(a) As prevailing plaintiffs on the claims for violation of RICO, 18 U.S.C. Sec. 1962(c),
(Count V); and conspiracy to violate RICO, 18 U.S.C. Sec. 1962(d), (Count VI); the
Pantheon Parties are entitled to recover three times their compensatory damages, see
18 U.S.C. § 1964(c); resulting in a damage award of $834,828.78.
(b) As prevailing plaintiffs on the common-law claims for unjust enrichment, conversion,
fraud, the Pantheon Parties are further entitled to interest to verdict at the rate of 9%
per annum pursuant to CPLR 5001 and 5004. With respect to each item of damages in
Table 1 (attached hereto as Exhibit 1), prejudgment interest shall be deemed to have

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accrued from the date on which each loss was incurred, i.e. the date on which each
amount was paid from the account indicated in the second column in Table 1. Interest
accrued as of the date of the verdict is $86,078.95.
(c) As prevailing plaintiffs on the common-law claims for unjust enrichment, conversion,
fraud, the Pantheon Parties are further entitled to interest from verdict until the entry of
judgment at the rate of 9% per annum pursuant to CPLR 5002 and 5004.
(d) As parties recovering a money judgment, the Pantheon Parties are entitled to postjudgment interest pursuant to 28 U.S.C. § 1961, which interest shall be compounded
annually pursuant to 28 U.S.C. § 1961(b).
(e) As prevailing plaintiffs on the claims for violation of RICO, 18 U.S.C. Sec. 1962(c),
(Count V); and conspiracy to violate RICO, 18 U.S.C. Sec. 1962(d), (Count VI); the
Pantheon Parties are further entitled to recover their reasonable attorneys’ fees. The
parties have stipulated that the Pantheon Parties’ reasonable attorneys’ fees are
$375,000.
(f) On June 13, 2022, this Court (Netburn, Mag. J.) ordered that defendant Houston pay
the Pantheon Parties $10,657.50 “forthwith” as sanctions for his discovery misconduct.
(ECF No. 106 at 2). The parties agree that, as of the date of the jury’s verdict, Houston
had paid only $1,500 of this amount. Therefore, the Pantheon Parties are entitled to
recover $9,157.50 from Houston.

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