James J. McKinley and Kin-Tek Laboratories, Inc. v. Kin-Tek Analytical, Inc.
James J. McKinley and Kin-Tek Laboratories, Inc. (appellants) appealed a final judgment in favor of Kin-Tek Analytical, Inc. (appellee), following a jury verdict on damages and attorney's fees. The dispute arose from an Asset Purchase Agreement where Analytical acquired Laboratories' assets, with McKinley holding 40% of Analytical's shares. Appellants initially sued Analytical and Botts for various claims, later nonsuiting them, leading to Analytical pursuing counterclaims for breach of contract, misrepresentation, and fraudulent inducement. The jury found that McKinley and Laboratories failed to comply with the Agreement, awarding Analytical damages for various 'Excluded Liabilities' and product-related issues. The Court of Appeals affirmed the trial court's judgment, finding sufficient evidence to support the jury's damages awards and rejecting appellants' arguments regarding fraudulent inducement and attorney's fees.