On Friday a case was removed from Bexar County, Texas state court to the Western District of Texas. The case was filed by James Sweeney against Hoy Health LLC and Hoy Health Corporation, and alleges fraudulent misrepresentation regarding investment capital.
The plaintiff, according to the state court complaint, is an “iconic and prolific” investor in health ventures and had set up a new investment company called HomeFront Healthcare. This fund purportedly included $800,000 of investment from the plaintiff’s trust as well as several million from other investors.
In exchange for releasing control of the HFH investment to Hoy Health, the plaintiff states that he was promised employment as Chief Strategy Officer with an annual salary of $300,000. The plaintiff alleges that a month after the control was transferred, the plaintiff’s position was terminated, but control over the funds was not returned and reputational damage was done due to the transaction.
The plaintiff is suing for intentional misrepresentation, negligent misrepresentation, and unjust enrichment. Plaintiff is represented by The Morales Firm. Defendants are represented by Dunham LLP.
