Ecoff Campain & Kay prevail in trial against local bank for failing to fund construction loan

In June 2022, Ecoff Campain & Kay substituted into a case against
Cathay Bank relating to the Bank’s failure to fund a construction loan relating to the
construction of a real estate project in Greenville, Texas. The firm was hired to try the
case after the completion of discovery by a predecessor firm. The firm’s client entered
into a construction loan in excess of $12 million with Cathay Bank to fund a commercial
construction project. After Cathay Bank funded a little more than $5 million, Cathay
Bank ceased funding. The firm’s client filed a lawsuit for breach of the construction loan
contract. Cathay Bank countersued. The case was ordered to a reference proceeding,
which was tried by attorneys Lawrence C. Ecoff and Kevin T. Kay before Judge Richard
Stone (Ret.), in March 2024. Following the trial, Judge Stone ruled in favor of the firm’s
client, awarding damages over $750,000, plus an award of the client’s attorney’s fees.
Judge Stone also rejected all of Cathay Bank’s claims, by which it was seeking close to
$9 million dollars against the firm’s client.