ALARM SYSTEM FAILS TO FUNCTION AS PROMISED; $12 MILLION RECOVERY AGAINST ALARM CO.

 

Trend Coin, Inc. v. Honeywell, Inc. 

Circuit Court In And For Miami-Dade County, Florida

 

Gold wasn’t as dear then as it is now, but when Trend Coin’s alarm system failed to work as advertised burglars made off with almost $8 million in inventory. The alarm contract contained the usual exculpatory clauses, but they did not protect Honeywell against fraud. So the battle was over whether Honeywell had misrepresented the capabilities of the system they sold to our client. They had, and the result was a $12 million jury verdict that included $1 million in punitive damages and $3 million in prejudgment interest.

 

Liability, including for punitive damages, was affirmed on appeal and certiorari, and in the process the old liquidated damage rule for prejudgment interest was thrown out. Honeywell did manage to get a new trial on damages, but upon reflection the prospect was less than appealing and Honeywell settled for $12.3 million – more than the original verdict.