- August 31, 2017: Court Awards More Than $208,000 Against Raymond Knutsen

Following a three-day bench trial, the Vermont Superior Court ruled overwhelmingly in favor of Nancy Kotsull in her lawsuit against Raymond Knutsen arising from the breakup of their jointly owned veterinary practice.

The court found that Knutsen breached the parties’ Operating Agreement by refusing to cooperate with the required appraisal process and by refusing to pay Kotsull for her ownership interest after she exercised her contractual right to leave the business. The court also found that he failed to pay her share of the rental income generated by the jointly owned clinic property.

Perhaps most notably, the court found that on the eve of the originally scheduled trial, Knutsen filed a police complaint accusing Kotsull of embezzlement, even though the same financial issues were already being litigated in the civil case. According to the court, Knutsen told the investigating officer that he hoped a criminal investigation would cause Kotsull to abandon her lawsuit. The judge found that the report was made maliciously and without a legitimate purpose, delaying the civil proceedings and justifying an award of punitive damages.

The court awarded Kotsull $94,010 for breach of contract, $100,000 in unpaid rent, $1.00 for breach of the covenant of good faith and fair dealing, and $20,000 in punitive damages. After offsetting a limited counterclaim, the final judgment awarded Kotsull $208,872.95.