EDWARDSVILLE – A Godfrey attorney is demanding the former owner of a shuttered trucking company to pay $1.5 million he allegedly owes under an indemnification agreement.
Attorney J. Thomas (Tom) Long filed suit against Vern Van Hoy, who founded Nature's Second Chance Hauling in Alton, which closed following its filing for bankruptcy protection in 2018.
According to the suit, filed Jan. 22 in Madison County Circuit Court, the parties signed an indemnification agreement on April 17, 2017, in favor of Long. Under the agreement, Long was protected from losses and any actions against Nature's Second Chance.
On Nov. 27, 2019, Long settled a $1.5 million guaranty obligation with the Bank of Rantoul, the suit states. Long alleges he paid the bank on Dec. 2 to settle debt owed by Nature's Second Chance. Under the indemnification agreement, Van Hoy now owes Long the money, he claims.
Van Hoy could not be reached for comment prior to publication.
On Jan. 7, Long issued a written demand for payment but Van Hoy has failed to come up with the funds.
The lawyer, who is Godfrey's village attorney, is asking for a judgment of $1.5 million, costs and any other amount the court finds just and proper.
Long was involved in the company for some years, including sitting on its board of directors. Nature’s Second Chance filed Chapter 11 bankruptcy in April 2018, according to the St. Louis Business Journal.
The Record previously reported that Long's wife, Robin, filed suit against Van Hoy in the same court, alleging default in payments on a promissory note. He was alleged to owe $165.547, according to the Jan. 2, 2019 filing.
For the more recent suit, the plaintiff is represented by Deanna L. Litzenburg gof Mathis Marifian & Richter of Belleville.
Madison County Circuit Court case number 2020-L-0084