Gorder

MEMORANDUM *

Beginning in 1997 and lasting until its dissolution in 2001, Interesting Exhibits (IE) reported losses on its tax returns and allegedly borrowed substantial amounts of money from its president, director and sole shareholder, Ray L. Gorder. IE subcontracted the construction of a number of displays to Rapid Displays (Rapid) on May 24, 2000. IE paid one third of Rapid’s invoice up front, and Rapid extended credit to IE for payment of the remainder at a later date. IE alleged that Rapid had not performed adequately under the subcontract and refused to pay the balance of Rapid’s invoice. Rapid brought a claim for the unpaid amount and IE stipulated to' it. Seeking payment as a judgment creditor, Rapid brought another suit, this time against Gorder, Imagination/Fabrieation (IF) —a new company Gorder formed as IE was being wound down — and other parties. Rapid won a modest amount of damages in district court, and is now appealing that amount. Gorder is also appealing the amount of damages awarded. We reverse the district court’s damages award in part, affirm in part and remand for recalculation of damages. Because the parties are familiar with the facts, we do not recite…