For Immediate Release
Contact: D. Linn Wiley, President and Chief Executive Officer
Citizens Business Bank Wins Appeal
Ontario, California, September 19, 2000-D. Linn Wiley, President and Chief Executive Officer, announced today that Citizens Business Bank received a favorable decision in their lawsuit with MRI Grand Terrace from the California Court of Appeal for the Fourth District. They have issued a final verdict that reversed a judgement in excess of $5 million against Citizens Business Bank.
Plaintiffs, MRI Grand Terrace, Inc. and TRI National Development Corporation, filed an action against the Bank that alleged that the Bank had sold a retirement hotel to MRI without disclosing that a large rear parking lot was actually encroaching on a neighboring property. They brought an action in San Bernardino County Superior Court. The jury rendered a series of special verdicts that awarded damages to the plaintiffs.
The Bank appealed the judgement. On September 14, 2000, the Court of Appeal for the Fourth District issued a final decision that a series of special verdicts issued by the jury were irreconcilable. The Court states in its final verdict that the Bank was entitled to a new trial and the judgement should be reversed.
"In an effort to keep our shareholders notified, we have reported regularly on the disposition of our law suit with MRI Grand Terrace. It has been under review by the California Court of Appeal for a number of months," stated Linn Wiley.
Mr. Wiley further stated that, "We are pleased to report that CVB Financial Corp. today received a final verdict from the Appellate Court indicating that the verdict of the lower court should be reversed. It appears that this will lead to a new trial. We believe the case will resolve in our favor. However, until a decision is final, the funds placed in reserve for this case will not be released. If the case goes to a new trial, final resolution could take several years."
CVB Financial Corp. operates Citizens Business Bank, the largest bank headquartered in the Southern California Inland Empire region. Shares of CVB Financial Corp. common stock are listed on the American Stock Exchange under the ticker symbol of CVB.