Reim

Hannon Engineering, Inc., Andrew Hannon and Patrick Hannon, plaintiffs and cross-defendants (hereinafter referred to as cross-defendants) appeal from a judgment entered February 26, 1980, awarding compensatory and punitive damages to defendants and cross-complainants, Robert Reim (Reim) and Andrew Ferreghy (Ferreghy) (hereinafter referred to as cross-complainants). Cross-defendants request that the award of punitive and compensatory damages be vacated and the judgment modified to reflect only the amount of vested profit sharing plan benefits plus the interest accrued thereon, contending (1) that the actions alleged in the cross-complaint are controlled by the Employee Retirement Income Security Act (ERISA) of 1974, and/or (2) that cross-complainants have failed to plead or prove a breach of the implied covenant of good faith and fair dealing.

Cross-complainants Reim and Ferreghy contend in their cross-appeal that the amount of punitive damages is inadequate, occasioned by error of the court below in evidentiary rulings and jury instructions involving punitive damages.

We disagree with both and affirm the judgment in all respects.

Factual Background

On September 26,…