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137 Conn. App. 578
Conn. App. Ct.
2012
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Background

  • Plaintiffs were principals and majority stockholders of Midcore Software, which developed Midpoint software.
  • Defendant Parrella was CEO/chair of NCT Group and its subsidiaries involved in the merger.
  • On Aug. 29, 2000, merger terms promised stock and royalties to plaintiffs.
  • Jury found negligent misrepresentations re stock availability/issuance, awarding damages.
  • Jury found intentional misrepresentations about postmerger continuation of Midcore business, awarding more damages.
  • Jury found CUTPA violation leading to punitive damages and attorney’s fees to be determined by the court.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Did the court err in denying the motion to set aside the verdict? Metcoff; Wilson argue verdict supported by evidence Parrella contends verdict against law/evidence No abuse of discretion; verdict not set aside.
Are attorney’s fees and punitive damages properly awarded under CUTPA and common law? Fees and punitive damages were warranted Discretionary awards abused or unjust Court did not abuse discretion; awards affirmed.
Were common-law punitive damages properly awarded? Punitive damages justified by intentional misrepresentation Insufficient evidence to support punitive damages Affirmed as properly awarded.
Was the business judgment rule properly not instructed to the jury? Rule not applicable here; no defense raised Rule should have been instructed Instruction not required; rule not in case.

Key Cases Cited

  • Costanzo v. Gray, 112 Conn. App. 614 (2009) (standard for set-aside review; discretionary)
  • Mickey v. Mickey, 292 Conn. 597 (2009) (adequacy of record; articulation burden)
  • Votto v. American Car Rental, Inc., 273 Conn. 478 (2005) (discretion in CUTPA punitive damages/fees)
  • Metcoff v. NCT Group, Inc., 52 Conn. Sup. 363, 50 A.3d 1004 (2011) (2011) (trial court decisions on fees and punitive damages ( CT. Sup. Ct. ))
  • Metcoff v. NCT Group, Inc., 52 Conn. Sup. 388 (2011) (2011) (supplementary CT. Sup. Ct. decision; addressed issues on appeal)
Read the full case

Case Details

Case Name: Metcoff v. NCT Group, Inc.
Court Name: Connecticut Appellate Court
Date Published: Aug 21, 2012
Citations: 137 Conn. App. 578; 49 A.3d 282; 2012 WL 3288214; 2012 Conn. App. LEXIS 386; AC 33228
Docket Number: AC 33228
Court Abbreviation: Conn. App. Ct.
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    Metcoff v. NCT Group, Inc., 137 Conn. App. 578