Shantal Albarran, et al vs. Rabi Dar Jebara, et al

Parties Involved

  • Plaintiff: Shantal Albarran | Amigos Furniture and Mattress Inc.
    • Counsel for Plaintiff: David F Wishnew | Matthew S. Muckleroy | Cameron Elliot Jean
  • Defendant: Rabi Dar Jebara | Mohamed Sadeq | Dana Furniture Industries Inc.
    • Counsel for Defendant: Moses Jun | Jose M. Portela | Eric G Walraven

Verdict Information

  • Verdict date: April 25, 2024
  • Total damages awarded to the Plaintiff: $5,537,418.82
    • Compensatory Damages: $1,973,467.52
    • Exemplary Damages: $3,250,000
    • Attorney Fees: $313, 951.30

About the Case

Cause

In 2014, Albarran founded Amigos Furniture, operating it as her sole proprietorship. She secured a lease for 9039 Lake June Road, Dallas, Texas, and obtained necessary permits and certificates, none of which mentioned any of the Defendant. However, financial hardships led her to sell Amigos Furniture for $20,000 in 2017, though she continued working there due to her expertise.

To increase sales, Albarran actively marketed the store on Facebook. In October 2018, Defendants Dar Jebara and Sadeq, owners of 5 Star Furniture Plus, noticed her effective marketing and hired her for their new Royal Furniture store, offering her $750 weekly and 20% of net profits. Albarran started as Royal Furniture’s manager in November 2018 while still working part-time at Amigos Furniture. By April 2019, she repurchased Amigos Furniture for $20,000. In October 2019, a tornado destroyed Royal Furniture, and Defendants had Albarran manage a new store, Furniture and Rug Outlet, with improved compensation.

However, she just received her salary with no share in the profits. In January 2020, Albarran intended to resign to focus on Amigos Furniture. To retain her, Defendants offered to supply 70% of Amigos Furniture’s inventory through Dana Furniture. Despite this, Defendants began taking unauthorized control of Amigos Furniture, opening accounts and installing systems without permission. In February 2020, Defendants used an unauthorized American Express card linked to Amigos Furniture’s bank account and applied for a PPP loan without Albarran’s consent in June 2020, prompting her to cut ties. They requested a $100,000 loan, which they never repaid, and misdirected customer payments. In June 2021, Sadeq misrepresented the registered agent for Amigos Furniture, disrupting operations. A civil suit was filed to address the breach of contract, fraud and unjust enrichment.

Injury

The Defendants attempted a hostile takeover after Albarran severed ties. Their hostile and aggressive behaviour and unjust enrichment at Albarran’s expense caused suffering to the Plaintiff. They persisted by trespassing and verbally abusing Albarran and her employees and children at the store. The Dallas Police Department had to intervene twice to remove Dar Jebara and once for Sadeq. Additionally, Defendants had access to and controlled Amigos Furniture’s bank accounts, spending its funds without authorization.

Damages

Dana Furniture breached the loan agreement by failing to repay the Plaintiff $100,000. As a result, the Plaintiff suffered fiscal harm. Additionally, Albarran prayed for reimbursement for attorney fees, court costs, and both pre- and post-judgment interest. Plaintiffs sought a declaration that no Defendant owned Amigos Furniture and Mattress Inc., and Defendants could not access its funds or act on its behalf. They also requested an emergency restraining order against various actions by Defendants. Additionally, Plaintiffs wanted Defendants to restore Amigos’ access to its Furniture Wizard software.

Jury Verdict

On April 25, 2024 a twelve-panel Texas jury delivered a verdict favoring the Plaintiff. They found that Dar Jebara and Sadeq failed to pay Albarran twenty percent of Royal Furniture’s profits. This failure breached the Royal Agreement. The jury awarded the Plaintiff $120,015.75 for the breach of contract.

Additionally, the jury awarded her $120,015.75 for uncompensated work she had done for the Defendants. They also awarded her $120,015.75 for the unjust enrichment of Dar Jebara and Sadeq at her expense. Furthermore, the jury found that Dana Furniture had failed to repay the $100,000 loan. They directed Dana Furniture to repay the exact amount. However, they did not find Dana Furniture guilty of unjust enrichment. The jury awarded no compensation for conversion damages.

Moreover, the jury found all the Defendants had committed fraud. They directed them to pay Albarran $120,015.75 and Amigos $1,513,420.27. Thus, the Plaintiff would recover $1,973,467.52 from the Defendants.

Additionally, the jury found the Plaintiff entitled to exemplary damages. They ordered Dar Jebara to pay $1,500,000, Sadeq to pay $1,500,000, and Dana Furniture to pay $250,000 in exemplary damages. Thus, a total of $3,250,000 in exemplary damages was awarded.

Further, the jury also directed the Defendants to pay $313,951.30 in attorney fees. The breakdown of the amount in the jury verdict is as follows:

  • For representation in the trial court – $233, 951.30
  • For representation in the court of appeals – $20,000
  • For representation at the petition for review stage in the Supreme Court of Texas – $20,000
  • For representation at the merits briefing stage in the Supreme Court of Texas – $20,000
  • For representation through oral argument and the completion of proceedings in the Supreme Court of Texas – $20,000

Court Documents:

Available upon request