Port Huron, MI – A Federal Court jury decided completely in favor of Phoenix based Fine Art Registry® and three individual defendants in a defamation and business interference case brought by Southfield Michigan company, Park West Gallery, and also awarded $500,000 in damages to Fine Art Registry for Park West Gallery’s illegal use of the web based art registration company’s trademarks on the internet.
The case (No. 2:08-CV-12274) finally ended after a marathon five and a half week trial in Federal Court in the Eastern District of Michigan, Southern Division, in Port Huron, with Judge Lawrence P. Zatkoff presiding. The 8-person jury returned a unanimous verdict in favor of defendants Fine Art Registry, Theresa Franks, David Phillips and Bruce Hochman and awarded FAR® half a million dollars in damages in their counter-claim. Bruce Hochman, who was represented by attorneys Ian Simpson and Rachel Bissett of Troy, MI based Garan Lucow Miller P.C., was vindicated on all counts and had not filed a counter-claim.
Despite the virtually unlimited resources which Park West Gallery devoted to the case, including a battalion of lawyers, an ex-FBI “investigator” and various hired experts, the defense presented by Fine Art Registry and the other defendants, based solely on the truth and including testimony from a number of national and international experts on Dali, a noted handwriting expert, along with many victims and ex-employees, auctioneers and trainees of Park West Gallery, convinced the jury of the truth of the statements made by FAR: to wit, that Park West Gallery has been selling inauthentic art bearing forged signatures (including prints by Spanish surrealist artist Salvador Dalí) as well as grossly overpriced art, employs fraudulent and deceptive sales techniques in its cruise ship based art auctions which generate the majority of the art gallery’s $300+ million annual revenues, and has failed to deal with complaints from dissatisfied customers.
The case was a typical SLAPP (Strategic Litigation Against Public Participation) lawsuit filed by Park West Gallery to silence an outspoken critic (FAR) which has been investigating and reporting on its practices as well as offering advocacy to Park West Gallery victims since the latter part of 2007. As with many SLAPP lawsuits, it backfired when it came before an impartial jury who recognized it for what it was and found in favor of Fine Art Registry and the other defendants on all counts.
The defendants, Fine Art Registry and two individuals, were represented by lead attorney Don Payton assisted by attorney Jonathan Schwartz of Kaufman, Payton & Chapa, based in the Detroit, Michigan area. Don Payton said: “After a lengthy five and one half week defamation trial brought by Park West Gallery (PWG) against Fine Art Registry (FAR), and three individual defendants, the jury rendered its verdict completely in favor of FAR and further awarded FAR $500,000 against PWG for trademark violations. It was definitely a David going up against a multimillion dollar Goliath and for a change, truth won out and the little guy triumphed. This verdict is extremely important, not only for the named defendants, but for art collectors, art enthusiasts, cruise ship passengers and the art world in general. Finally, the sales tactics and their consequences have been revealed and will have a ripple effect around the globe.”
Jonathan Schwartz, who has been actively involved in the case since its inception in early 2008, said: “The jury’s verdict is a huge win for truth, justice, and freedom of speech. I am so proud of our clients, Fine Art Registry, Theresa Franks, and David Phillips, who persevered with all the odds stacked against them. Fortunately, we were assisted in our defense by world-renowned experts, former art-buyers of Park West, and Park West insiders who stepped up to ensure that the right side would prevail. Our law firm, Kaufman, Payton & Chapa, is humbled and honored to have played a part in defeating the unjust $46 million dollar lawsuit filed by Park West, and in achieving a very successful result on the counter-claim.”
Ian Simpson of Garan Lucow Miller, who, along with Rachel Bissett defended Bruce Hochman in the case, said: “I am grateful for the jury’s verdict in this case. We believe that our defense, the truth, obviously prevailed. The fact that this was a unanimous verdict in favor of the defense was very gratifying.”
Theresa Franks, CEO of Fine Art Registry, said: “It is a great victory for the art industry as a whole and also for free speech in this country. The honorable jury of eight that served for well over a month on this case are nothing short of heroes. They sent a powerful message to Park West and the cruise lines that sheer greed and deceptive, fraudulent and unfair trade practices by big business will not be tolerated.”
For more information please see the Fine Art Registry Web site www.fineartregistry.com. For an interview with Theresa Franks or additional information, she can be reached at 888-595-2787 or by email at [email protected].
ABOUT FINE ART REGISTRY:
Fine Art Registry® is today’s only high tech solution to the age old problems that have existed in the art world since before the Ancient Greeks: How to establish provenance, prove authenticity and ownership, prevent forgery and fakery, deter theft and, basically, make it possible to create, buy and sell works of art with the security of knowing that they are what they claim to be. Full information on FAR® and the system of tagging and registering art is available at www.FineArtRegistry.com.
ABOUT KAUFMAN, PAYTON & CHAPA:
Founded in 1975, Kaufman, Payton & Chapa, now has offices in Farmington Hills, Detroit and Grand Rapids and represents clients throughout the state of Michigan. Known for the aggressiveness and tenacity of it attorneys and its results-oriented approach to cases, the firm represents clients in trial and appellate matters large and small. For more information visit www.kaufmanlaw.com or contact Jonathan H. Schwartz – (248) 626 5000 [email protected]
