MIAMI, FL – April 6, 2026 — Bast Amron and Lowenstein Sandler obtained summary judgment on the Liquidating Trust’s claim against former CEO of Vital Pharmaceuticals Inc. (“VPX”), Jack Owoc, for breaching his fiduciary duty to VPX by engaging in a decade-long false advertising scheme that resulted in a nearly $300 million judgment against VPX and directly contributed to it seeking bankruptcy protection in 2022 (prior to the bankruptcy, the scheme was the subject of a separate seven-week trial in the United States District Court for the Central District of California and resulted in a judgment against Jack Owoc, individually, and VPX).
The Liquidating Trust argued that summary judgment was appropriate on the its claim for breach of fiduciary duty because collateral estoppel precludes Jack Owoc from re-litigating whether he engaged in false advertising, and Owoc’s decision as the CEO and sole director to engage in false advertising constitutes a breach of fiduciary duty under Florida law. Judge Peter D. Russin agreed and entered summary judgment on behalf of the Liquidating Trust.
This summary judgment clears the way for a nearly $300 million judgment against Jack Owoc for breach of fiduciary duty and avoids the need to have another lengthy trial on the issue of whether Jack Owoc’s conduct amounted to an intentional false advertising scheme. The Liquidating Trust continues to prosecute other breach of fiduciary duty claims and additional causes of action against Mr. Owoc and a number of his entities to recover monies for the benefit of creditors.
In this adversary proceeding, Bast Amron represents Steven Balasiano, in his capacity as Liquidating Trustee of the VPX Liquidating Trust, in connection with complex issues relating to fraudulent transfers, fiduciary obligations, and post-confirmation trust enforcement.
The Bast Amron team includes Brett Amron, Peter Klock, Senior Paralegals Jorge Miranda, Jr., and Maria Desvergunat.
VPX Liquidating Trust is represented by Brett M. Amron and Peter J. Klock II of Bast Amron LLP, along with Jeffrey Cohen, Michael A. Kaplan, Eric Chafetz, Erica Mannix, and Markiana Julceus of Lowenstein Sandler LLP.