March, 2002

Bergeson Eliopoulos Wins Half Million Dollar Jury Verdict For Amelco In Case Against Former Subcontractor Bergeson Eliopoulos, LLP, a San Jose based law firm, has won a significant jury verdict for client Amelco Industries. The jury verdict was the culmination of a long and hard fought battle Amelco had with one of its former subcontractors for work arising out of two BART and Los Angeles MTA subway projects performed in 1995. Amelco was forced to terminate its subcontracts with its subcontractor, Automated Switching & Controls, Inc. ("ASCI"), on two radio communications projects for the Bay Area and Los Angeles transit agencies. Amelco and its other subcontractors took over and completed ASCI's work to design and procure equipment for the two radio communications projects. Amelco then sued ASCI for breach of their subcontracts, claiming that ASCI had substantially delayed its work and caused Amelco resulting damages totaling $564,665 on the projects. ASCI cross-complained for breach of contract, wrongful termination, tortious inducement to breach contract, and related claims seeking damages totaling more than $8 million. The two-week jury trial concluded on March 21, 2002, in Alameda County Superior Court. The Court found that previous findings by BART and LAMTA that ASCI substantially delayed the work were binding on the parties under the doctrine of collateral estoppel, and the jury found that this breach of the subcontracts caused Amelco $564,665 in damages--all of the damages Amelco sought in the case. The jury also found against ASCI on all of its remaining cross-complaint causes of action. Amelco's attorneys' fees motion is pending. William Eliopoulos and John Antracoli, represented Amelco in the matter. "This was a complex matter that has taken years to resolve. The jury's verdict, however, certainly made it worth the wait," commented Amelco's counsel, William Eliopoulos. "The court's and jury's decision has vindicated the business decisions Amelco made in 1995 to get these two projects back on track and completed."