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So the $1.3 million judgment is against Gilman's Cash Assets Management, LLC. It is the company that controlled the Wild Horse brothel, which was owned by Gilman and managed by Austin.
Gonzales said he felt badly that the judgment was against two people he once considered friends. He said he's known Austin for more than 20 years and that he bought her a car after the deal for Saucony Stores New York
The revocation in 2011 came about two months after Gilman stopped paying Gonzales his one percent gross revenue cut which had ranged from about $4,000 a month to almost $6,000.
Personal claims against Gilman and co defendant Susan Austin were thrown out by District Reebok Pump Shoes Womens
"We are still the lender," Gonzales said. "We (TG Investments) are a professional lending company. We have a mortgage against the land, against all the fixtures and everything else."
"When people make an agreement in good faith, you don't stab someone in the back who helped you out," said Mark Wray, Gonzales' lawyer.
Gonzales alleged that Gilman acted in bad faith by influencing Storey County officials to change the county's brothel ordinance in 2009. Gonzales also contended that Gilman did not act in good faith in 2011 when he told Storey County officials of his loan deal with Gonzales. The Storey County Brothel Licensing Board (made up of the three county commissioners and the sheriff) saw Gonzales as a silent partner and revoked the license.
Gilman rocked with
Judgment was awarded to Tom Gonzales of Ft. Lauderdale, Fla., for breach of contract and breach of good faith and fair dealing after a two week trial at the Storey County Courthouse in Virginia City.
"I feel bad that my friends took this position," Gonzales said. "I feel horrible that my friends, Lance and Susan, made it come to here. I feel very bad about that."
Storey County Commissioner Lance Saucony Shrimp Scampi
Court Judge James Wilson on Thursday.
Gilman and Gunderson left the courtroom quickly after the judgment.
"In addition, we are going to be asking the court for attorney's fees and that is several hundred thousand dollars," Gonzales said.
"I am very confident," he said. "I was surprised to hear Mark (Gunderson) said something to the effect that he had a 'drawer full of (unpaid) judgments.' But in this case, it is not the same at all. We hold the mortgage. "
the $2.25 million loan was done in 2003.
Yet Gonzales said he has leverage to pressure Gilman to pay.
"Absolutely, and we will, if we have to," Gonzales said.
"The group (jury) as a whole went through the original (loan) agreement and its modification in 2004," said juror Sharon Snell. "And actually all of us we were unanimous on this felt that the (loan) agreement was extremely complete and really well founded. So based on the agreement that we believed was in place, it was easy for us to come to the conclusion that there was a breach."
The price tag for Gilman could still Reebok Sneakers For Boys increase, Gonzales said.
"So when you add that on to the award, it is a lot of money," Gonzales said.
It proved to be a complicated, two week jury trial.
Gonzales said he could foreclose or force a sale the property if the judgment is not paid.
Besides being a brothel owner, Gilman is also considered to be a key player in the economic development of Northern Nevada. He is the exclusive broker for the Tahoe Reno Industrial Complex. It is billed as the largest industrial park in the world and is a major tax source for Storey County.
In 2009, with input from Gilman, parts of the county brothel ordinances were changed. One change mandated that anyone with any financial interest in a brothel must submit to a licensing investigation.
Gonzales' company, TG Investments, holds the mortgage on the land where Gilman's Mustang Ranch brothel now sits. The building of the old Wild Horse brothel is now part of the Mustang.
Gunderson asked the jury to think of the case in basic terms: The Wild Horse brothel was shuttered and Gonzales lost his revenue stream because he did not try to get a brothel license after his lawyers were informed of the 2009 law.
The story began when Gonzales loaned Gilman $2.25 million in 2003 on a high interest loan to finance the Wild Horse brothel. Part of that agreement, later modified in 2004, gave Gonzales a monthly one percent gross revenue cut from the Wild Horse.
Gilman's lawyer, Mark Gunderson of Reno, said Thursday that it may be difficult to collect a judgment after Gilman and Austin were dropped from the suit, adding "Would you like to have some judgments? I've got a drawer full that we can't collect."
When asked if he could be more specific on the amount of courts costs, Gonzales said it was more than $200,000 and less than $500,000.
Because of that, Gonzales is confident that the judgment will be paid.
A Storey County jury awarded a $1.3 million claim against a business of Mustang Ranch brothel owner and Storey Commissioner Lance Gilman on Friday in a contract dispute with a man who once loaned Gilman $2.25 million for his previous Wild Horse brothel.
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