REALTY EXECUTIVES SUES LONG-TERM DESIGNATED BROKER FOLTZ
On May 24, 2010, Realty Executives filed a lawsuit against its former long-time designated broker, John Foltz, in Maricopa County, Arizona Superior Court. The complaint alleges that Foltz “engaged in a course of conduct designed, at least in part, to irretrievably damage [Realty Executives] through deliberate acts of financial and operational mismanagement, embezzlement, self-dealing and other willful misconduct and dishonest acts.” Realty Executives has brought claims for, among other things, breach of fiduciary duty/duty of loyalty, breach of contract, conversion, and breach of the implied covenant of good faith and fair dealing. Of course, the Complaint contains Realty Executives’ allegations, which have not been accepted or rejected by a judge or jury.
On June 14, 2010, Mr. Foltz filed his answer to the Complaint and a counterclaim against Realty Executives.