LFP, Inc. Vindicated in Giant Mobile Arbitration

LOS ANGELES, Feb. 11 /PRNewswire/ -- In an arbitration that involved
claims by Giant Mobile that it was entitled to receive in excess of $23
million in damages, LFP successfully convinced the presiding Arbitrator, the
Hon. Richard C. Neal, that Giant Mobile's claims for damages were grossly
inflated and not supported by its paltry record of earnings.
While LFP objects to the Arbitrator's finding of liability, and maintains
that it did nothing wrong, Michael H. Klein, President of LFP stated: "Even
though we unfortunately did not prevail on the issue of liability, the fact
that the Arbitrator saw through Giant Mobile's efforts to extract an unearned
windfall justifies our decision to have this matter arbitrated, and not to
cave into the outrageous demands of Giant Mobile."
Commenting on recent claims of victory made by Giant Mobile in the press,
Klein continued: "This was an unfortunate situation where we believed Giant
Mobile had over promised what it could deliver to us. We tried to negotiate
an amicable resolution with Giant Mobile before the arbitration hearing, and
even offered to settle for more than we believed the case was worth in order
to allow the parties to part on good terms. Giant Mobile just kept asking for
more, and it got to a point where we just said enough is enough, let the
Arbitrator decide. The most satisfying thing for me is that the amount Giant
Mobile was awarded was substantially less than what they sought, and less than
what we offered to settle. It just doesn't pay to be greedy."
"Our attorneys, Joseph Manna and Jonathan Brown, did an excellent job in
evaluating this case. They were adamant that even in a worse case scenario --
with LFP being found liable -- that the amount of damages sought by Giant
Mobile would never be awarded. They were right; I guess it pays to have good
legal advisors."
Citing caution when awarding damages to a start-up company that never made
a profit, the Arbitrator awarded Giant Mobile damages totaling approximately
$470,000. This amount was less than the $600,000 that Giant Mobile paid to LFP
during the course of their relationship, and about 2% of the $23,000,000
originally demanded by Giant Mobile in its lawsuit.
SOURCE LFP, Inc.

Michael H. Klein, LFP, Inc., +1-323-651-5400 x7421, mklein@lfp.com