Virnich v. Vorwald

Dist. Ct. did not err in dismissing plaintiff’s action alleging under Wisc. Statute that defendants had entered into conspiracy whereby defendants sought involuntary receivership of plaintiff’s company and generated false affidavit that misrepresented company’s financial condition and damaged plaintiff’s reputation. Record showed that plaintiff’s company had previously participated in action in which receivership was established for plaintiff’s company and in which court had found that plaintiff and his company had waived any right to seek damages for allegedly filing inaccurate documentation to support appointment of receivership. As such, plaintiff was precluded by collateral estoppel where instant lawsuit essentially sought to relitigate waiver issue in prior receivership action. Fact that plaintiff was not personal party in receivership action did not require different result where plaintiff stood in privity with his company.