Alarm Protection Technology, LLC v. BradburnAnnotate this Case
In this case in which in which a sales representative of Alarm Protection Technology (APT) sought to challenge a set of steps taken by APT to insulate itself from claims for unpaid compensation, the Supreme Court held that the district court did not err in denying a motion filed by Plaintiff.
Plaintiff, a former sales representative for APT, filed an action alleging that APT and related parties owed him $348,434 in unpaid commissions. This appeal concerned steps taken by APT to insulate itself, including its payment of an advance in exchange for the execution of a confession of judgment, the entry of a judgment by confession, the issuance of a writ of execution against Plaintiff's claims for unpaid commissions, APT's subsequent purchase of those claims, and APT's substitution as plaintiff on the claims against itself. At issue were the district court's denial of Plaintiff's motion for return of excess proceeds and unused property from APT's purchase of his claims. The Supreme Court affirmed, holding that APT was not required to (1) establish the value of Plaintiff's claims before executing on them and purchasing them, (2) presume that the true value of the claims was established in the allegations of Plaintiff's complaint, and (3) return to Plaintiff exceeds proceeds or remaining property on the basis of those allegations.