Kari Nelson, The Estate of Freddy Nelson, Jr. vs TMT Development Co., LLC, D. Park Corporation, Jeffrey James, Matthew Cady, TJ Lathrometal.

Case Background

On October 19, 2021, Kari Nelson, wife of decedent Freddy Nelson Jr. sued a property management firm and their contracted private security company following the wrongful death of her husband in a Lowe’s Home Centers parking lot.

The case was heard in Oregon’s Fourth Judicial District Court in Multnomah County. Judges Leslie G Bottomly, Eric L Dahlin, Christopher J Marshall, Judith H Matarazzo, David F Rees, and Benjamin Souede presided over this wrongful death lawsuit. [Case number: 21CV40742]

Cause

Kari Nelson and Freddy Nelson, Jr. were a married couple living in Multnomah County, Oregon. Peter Glazer served as the personal representative of Freddy Nelson Jr.’s estate to pursue a wrongful death claim.

Defendant D. Park owned real property on N Hayden Meadows Drive in Portland, Oregon, including the property at 1160 N Hayden Meadows Drive, collectively referred to as “Delta Park Center.” D. Park leased the 1160 N Hayden Meadows Drive property to Defendant Lowe’s Home Centers, LLC.

Defendant TMT Development Co. functioned as an agent for D. Park, making both entities jointly responsible for their actions.

At the time of the incident, Matthew Cady, TJ Lathrom, and James Jeffrey operated as Cornerstone Security Group, presenting themselves as a security service offering armed protection. On November 1, 2019, TMT hired Cornerstone to provide armed security at Delta Park Center. The contract authorized Cornerstone to act on behalf of TMT, including legal actions against individuals committing crimes on the property.

The Cornerstone Defendants hired Defendant Logan Gimbel to work as an armed security professional on August 26, 2020.

However, Cornerstone did not ensure its employees were certified armed security professionals, violating OAR 259-060-0120. Several employees, including Logan Gimbel, who fatally shot Freddy Nelson Jr., lacked the necessary certification. Cornerstone fostered a reckless work environment that ignored de-escalation training.

In February 2020, a TMT agent tried to force Freddy Nelson to move his motorhome, which he refused. Subsequently, TMT directed Cornerstone to harass the Nelsons whenever they were at Delta Park Center. In March, Lowe’s authorized Freddy to collect pallets from behind its store, but harassment continued.

On May 29, 2021, while shopping at Lowe’s, Gimbel confronted Freddy, claiming he was under arrest. Gimbel attempted to open the locked vehicle and then pepper-sprayed the Nelsons through a window. While they struggled with the effects, Gimbel shot Freddy three times, killing him. Kari, witnessing this, suffered severe trauma and attempted to give first-aid to her husband, while her eyes were still burning. Unfortunately, her husband passed away from the wounds.

Injury

Due to the Defendant’s negligence, Freddy suffered injuries from pepper spray and ultimately gunshot wounds that led to his death. Kari Nelson endured disorientation, severe pain in her face, nose, and throat, difficulty breathing, and involuntary eye closure from the effects of the pepper spray, all stemming from the Defendants’ negligence and recklessness. Before the shooting, the couple experienced significant emotional distress due to the harassment and intimidation.

Damages

The Estate of Freddy Nelson, Jr. suffered noneconomic damages due to his pain and suffering, and his family’s loss of companionship, capped at $45,000,000.

Kari Nelson suffered noneconomic damages due to pain, mental suffering, and severe emotional distress. This distress followed her husband’s harassment and tragic death, capped at $45,000,000.

The Plaintiffs sought punitive damages against the Cornerstone Defendants, up to $30,000,000. They could also claim punitive damages against Defendant Gimbel, similarly capped at $30,000,000. The Cornerstone Defendants would be vicariously liable for Gimbel’s actions.

Additionally, the Plaintiffs could seek punitive damages from the TMT Defendants, not exceeding $50,000,000.

Key Arguments and Proceedings

Legal Representation

  • Plaintiff(s): Kari Nelson | The Estate of Freddy Nelson, Jr.
    • Counsel for Plaintiff(s): Thomas D’Amore | Ben Turner | Amy Bruning | Savannah Stevens
  • Defendant(s): D. Park Corporation | Logan Gimbel | Jeffrey James dba Cornerstone Security Group | Lowe’s Home Centers, LLC | TMT Development Co., LLC | TJ Lathrom dba Cornerstone Security Group | Matthew Cady dba Cornerstone Security Group
    • Counsel for Defendant(s): Joe R. Traylor | Sharon Collier | Heather C. Beasley | Katie D. Buxman | Candice J. Martin | Steven Wraith | Peter Sutherland | Kirsten L. Curtis

Key Arguments and Remarks by Counsel

Thomas D’Amore, Plaintiff’s attorney, contended that Gimbel had no reason to use pepper spray, much less a firearm. He asserted that Gimbel’s behavior stemmed from Cornerstone’s supposed failure to provide de-escalation training. It was pointed out that while Cornerstone guards had repeatedly attempted to remove Nelson from the lot before the incident, TMT had never pursued any civil or criminal trespass charges against him.

“He wasn’t a disruption. He wasn’t causing harm. That’s what you’re going to see in the evidence of this case,” D’Amore said.

Defense attorney Sharon Collier from Freeman Mathis & Gary, representing TMT, informed jurors during her opening statement that the responsibility for the shooting, which she described as tragic, rested with Gimbel and Cornerstone.

She characterized the Lowe’s lot as “a very challenging property,” asserting it was often associated with drug dealing, gang activity, and shoplifting. She explained that TMT hired Cornerstone due to its lack of previous complaints and its good standing with local business owners.

Nevertheless, she still attributed blame to Cornerstone, clarifying that while TMT had to follow Lowe’s national policy prohibiting activities like Nelson’s pallet gathering—despite his claimed permission from a store employee—TMT instructed Cornerstone guards not to engage with Nelson.

“If Cornerstone had done what the property manager requested, this wouldn’t have happened,” she said.

Representing Cornerstone, attorney CJ Martin from Malone Lauersdorf Reiner told jurors that while the company acknowledged negligence in Nelson’s death, Gimbel had successfully passed all required background checks and training to serve as an armed guard.

She referenced TMT’s “zero tolerance policy” for illicit activity on their property, arguing that Cornerstone viewed this policy with skepticism due to Oregon regulations mandating police and security to use warnings and de-escalation tactics when possible.

Closing Arguments

In closing arguments during the punitive phase, D’Amore stated that Cornerstone doesn’t “have any respect for the government agency that regulates them, and so their mindset is, ‘We don’t have to pay attention to their rules.'”

He added, “We’re never going to know exactly what happened, and you don’t have to. This culture of violence that they created led to this murder, and you’ve already decided on that.” D’Amore implied that Cornerstone was indifferent to the fact that Gimbel’s state guard license had expired.

Cornerstone’s lawyer argued to the jury, “Did they have a bad motive here? The evidence you’ve heard is that they wanted to run a good security company, that they thought training was happening, that they had somebody who was in charge of that through the spring of 2020.” By May 2021, “that system seems to have fallen apart,” lawyer C.J. Martin noted.

The jury learned that Gimbel had been criminally convicted and is serving a 25-year prison sentence. His lawyer requested that the jury not award any punitive damages against him, citing his imprisonment and lack of future income. The jury accepted that recommendation.

Claims

First Claim: The TMT Defendants acted negligently by instructing the Cornerstone Defendants to harass the Plaintiffs, failing to maintain a safe environment. Their actions directly led to Freddy’s injuries from pepper spray and gunfire, resulting in his wrongful death.

Second Claim: Defendant Lowe’s also exhibited negligence by allowing harassment on their property and failing to protect Freddy, contributing to the violence he faced.

Third Claim: The Cornerstone Defendants were negligent in hiring and retaining Defendant Gimbel, who was unfit for his role as a security professional. Their inadequate training and supervision led to Freddy’s death.

Fourth Claim: Gimbel’s negligent actions, including the fatal shooting of Freddy, made both him and the Cornerstone Defendants liable for wrongful death.

Fifth Claim: The Cornerstone Defendants violated several laws concerning private security, establishing negligence per se due to their direct contribution to the injuries suffered.

Sixth Claim: Gimbel unlawfully confined the Plaintiffs by blocking their vehicle. The Cornerstone Defendants are vicariously liable for this false imprisonment.

Seventh Claim: Kari Nelson experienced severe emotional distress from witnessing her husband’s death, making the Cornerstone Defendants liable for punitive damages.

Eighth Claim: The Estate claims that Freddy suffered emotional harm from witnessing violence against Kari, with the Cornerstone Defendants again liable for Gimbel’s actions.

Ninth Claim: Kari Nelson sustained significant harm due to the negligence of all Defendants, who failed to ensure her safety.

Defense

Defendants denied the allegations and claimed that Plaintiffs contributed to their own injuries through negligence.

They claimed that Kari Nelson was negligent in several ways that led to her injuries:

  1. She knew that Freddy Nelson, Jr. was prohibited from returning to the property managed by TMT or D Park, yet she entered as a trespasser.
  2. She refused to leave the property when asked.

Freddy Nelson, Jr. also allegedly exhibited negligence that contributed to his wrongful death:

  1. He trespassed on property owned or managed by TMT or D Park.
  2. He ignored requests to leave the property.
  3. He refused to turn off his vehicle when asked.
  4. He sprayed pepper spray at Logan Gimbel.
  5. He drove his vehicle toward Logan Gimbel.

Further, Defendant TMT claimed that Defendants  Gimbel and Cornerstone bore responsibility for the shooting. In contrast, Cornerstone argued that Gimbel had received proper training. They stated he operated under a “zero tolerance policy” established by TMT to address any illicit activities occurring on their property.

Jury Verdict

On September 23, 2024, a jury in Multnomah County, consisting of nine men and three women, reached a verdict. They awarded $10 million in non-economic damages to the parents and three adult sons of Freddy Nelson Jr. Additionally, they granted another $10 million to his widow, Kari Nelson.

The jury returned with a $1.25 million punitive damages verdict on September 24, 2024. The total damages awarded for the fatal shootout was $21.25 million.

The jury found Cornerstone and Gimbel reckless, sending only those Defendants to the punitive damages phase. The punitive damages findings were made individually against two of Cornerstone’s three owners. No punitives were awarded against the third.

In a statement, D’Amore of D’Amore Law Group stated, “The jury’s verdict holds TMT Development and Cornerstone Security accountable for fostering a culture of violence that directly led to the tragic and needless shooting of Freddy Nelson Jr. This decision makes clear that the defendants’ confrontational policies and reckless practices will not be tolerated in our community. While nothing can erase the pain of Freddy’s death, we are proud to have achieved a measure of justice for the Nelson family.”

Court Documents:

Available upon request