White v. Pepin

Defendant appeals from a judgment awarding the plaintiff $150,000 in consulting fees and dismissing his counterclaim against the plaintiff. We reverse.

I

In the early 1970s, plaintiff invented a new kind of ratchet screwdriver which he named the “Easydriver,” and which he patented and began to produce through a corporation known as Creative Tools, Inc. located in Bennington, Vermont. Although the business thrived through the late 1970s, gross sales fell drastically by 1981, and in December of that year the corporation sought protection under Chapter 11 of the Bankruptcy Code. Because plaintiff…