Case Results

Case Overview

Our clients were encouraged to purchase oil and gas leases through high-profile online presentations and social media livestreams in which the defendant claimed specialized expertise and falsely represented the transactions as opportunities to build wealth and ownership. They were led to believe they were buying productive land at cost, with ongoing support and development assistance promised. 

In fact, the leases were never developed, the promised assistance never materialized, and our clients exhausted their life savings on investments that had little to no value. Many were unable to pay property taxes, resulting in the loss of the leases. 

Legal Action and Strategy

Our firm pursued claims under federal racketeering statutes and related causes of action, demonstrating that the defendant’s conduct was a pattern of fraudulent and deceptive business practices that caused substantial economic harm. We focused on:

• The defendant’s targeted solicitation of non-expert investors in an insular community.
• Misrepresentations about qualifications, the nature of the assets being sold, and the likelihood of financial return.
• The extensive financial losses suffered by our clients, many of whom are working-class individuals with limited resources. 

Outcome

After a bench trial, the U.S. District Court Judge Hernan D. Vera entered judgment in favor of our clients, awarding more than $3,197,816.00 in total damages. This included:

• Economic damages to compensate for actual financial losses.
• Punitive damages to address the egregious nature of the misconduct.
• Treble damages pursuant to racketeering laws. 

In awarding damages, the Court found that the defendant’s actions were widespread, deceptive, and caused heavy financial harm to the plaintiffs. 

After a post-trial motion by the defendant, the Court withdrew its award for punitive damages and reduced the judgment award to $1,827,323.68

This result underscores our firm’s commitment to holding parties accountable when they exploit trust for profit — especially when vulnerable individuals are targeted through misinformation and abuse of influence. We were proud to help secure a meaningful judgment that recognized the injustice suffered by these clients and provided them with a measure of legal redress.