World Resort ordered to pay damages to fired exec

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Posted on Dec 07 2005
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A federal jury has found the owner of World Resort liable to pay $136,665 in damages to its terminated executive who sued the hotel.

The eight jurors found that plaintiff Yu Suk Chung was able to prove by a preponderance of evidence all of the elements of his breach of contract claim against World Corp.

As to Chung’s fraud claim against World Corp., there was a hung jury or there was no decision because the jurors were not unanimous with their verdict.

The jurors deliberated for four days. U.S. District Court for the NMI Chief Judge Alex R. Munson presided over the trial that lasted for five weeks.

Attorney Matthew T. Gregory, one of the counsels for World Corp., in a telephone interview with the Saipan Tribune yesterday stated that their client is pleased with the verdict considering that Chung was demanding a minimum of $1 million in damages.

Gregory said World Corp. is also considering filing an appeal.

With respect to the hung jury as to the fraud claim, the lawyer said they welcome a re-trial.

“We believe we will prevail. We welcome our chance to vindicate our name,” said Gregory, who teamed up with Guam attorneys David J. Lujan and Ignacio Aguigui.

Gregory added that the plaintiff originally had eight claims, but they were able to successfully knock out six claims during pre-trial proceedings.

Attorney Colin Thompson and former Attorney General Robert T. Torres are counsels for Chung.

Chung, through Thompson, sued World Corp. for breach of written and oral contract, fraudulent misrepresentation, wrongful discharge, and intentional or negligent infliction of emotional distress.

Chung asked the court to order the World Corp. to pay him special, compensatory, and punitive damages.

The plaintiff said the defendant terminated him without excuse or justification in violation of the contract.

Thompson stated in the complaint filed last year that in Dec. 2002, World Corp. offered Chung employment as an executive with the responsibility of acquiring and developing the World Resort (formerly the Saipan Diamond Hotel).

Thompson said that in Dec. 2002, his client traveled to Saipan from Korea to inspect the hotel and conduct a market study of the hotel business in Saipan.

The lawyer said Chung is qualified for the executive position, having graduated from Seoul University, obtained a masters degree in hotel administration from Cornell University, and served for 14 years in the hotel industry.

Thompson said Chung accepted the employment offer in March 2003.

Thompson said that on April 13, 2003 defendant executed a written contract appointing Chung to the position of managing director of World Corp. effective April 1 that year.

Thompson said that on April 25, 2003, World Corp. announced at a directors and executive meeting that plaintiff was officially appointed to be the general manager of the World Resort and the vice president of World Corp.

World Corp. notified Chung that he would be removed from his position with World Resort effective Aug. 31, 2003, the complaint said.

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