Boyd Powers Williamson trial team secures $5M punitive damages, exposes scheme by business partner to operate competing clinics
FORT WORTH, Texas – A jury has awarded a $7.8 million verdict to a North Texas physician and stem-cell treatment innovator after finding that his business partner locked him out of the clinic they jointly owned and siphoned off assets to a competing clinic set up at the same location.
Jurors found that defendant Neil Riordan conspired to lock Dr. Wade McKenna out of his ownership stake in the Riordan-McKenna Institute, or RMI, in Southlake, Texas in 2018. Trial lawyers from Boyd, Powers & Williamson presented evidence that Dr. Riordan schemed to transfer RMI’s assets to another company that he owned. Dr. Riordan continued to operate the clinic at the same location using the RMI initials but doing business as the “Riordan Medical Institute,” removing Dr. McKenna’s name.
In reaching the breach of fiduciary duty verdict on August 31, jurors agreed that Dr. McKenna was not fairly compensated for those assets and for revenue generated by the competing business. The verdict also included $5 million in punitive damages.
Dr. McKenna is a respected orthopedic surgeon and is well-known in the emerging stem-cell therapy field. At trial, lead trial lawyer Derrick Boyd presented evidence that Dr. Riordan schemed to sever Dr. McKenna from the business in hopes of pursuing a much larger global stem cell company funded by wealthy investors.
“This jury saw this case for what it was – an attempt by Dr. Riordan to use deception and fraud to take control of the clinic and all the good work that Dr. McKenna has done,” Mr. Boyd said.
The case is R. Wade McKenna, D.O. v. Neil Riordan, Ph.D., Individually and d/b/a Riordan Medical Institute et al., Case No. 348-300858-18 in Tarrant County District Court.
In addition to Mr. Boyd, the trial team included Jesse King and Scott Lindsey of Boyd, Powers & Williamson, as well as Mike Henry and Jay Henry of Michael J. Henry Law Firm in Fort Worth.
Boyd, Powers & Williamson represents clients in commercial disputes, including litigation against banks and financial institutions for fraud, breach of contract and other wrongdoing. The trial team represents individuals in catastrophic injury litigation, including trucking, motor vehicle and construction accidents, as well as injuries caused by dangerous products. For more information, visit https://www.bpwlaw.com/.
Holly Sanders Fuller