Buttacavoli

FACTS

Rojas met Buttacavoli in April 1991. Buttacavoli was the sales manager at what would become Fullerton Dodge. Buttacavoli became a partner in Fullerton Dodge in 1993, 18 months after its opening. Buttacavoli initially invested $111,000, resulting in Rojas and Buttacavoli each owning 50 percent of the dealership. Buttacavoli continued operating as the sales manager and Rojas saw to the interactions outside the dealership. Rojas and Buttacavoli formed Stone Properties LLC to purchase and hold the real property upon which the dealership was located. Chrysler Financial Services financed the operations of Fullerton Dodge, and over the course of the parties’ ownership of Fullerton Dodge, Chrysler Financial Services lent Fullerton Dodge approximately $12.8 million. Buttacavoli, his wife, and Rojas signed personal guarantees of at least some of those loans. Beginning in late 2001 the dealership began facing a cash shortage. Starting as early as 2002, Buttacavoli made a series of loans to Fullerton Dodge to help fund the store. In 2002, Fullerton Dodge issued a demand note entitling Buttacavoli to payments in the amount of $1,456,464.85. This reflected the amount Buttacavoli had…