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Man claims house-flipping partner breached business agreement, misappropriated profits

MADISON - ST. CLAIR RECORD

Sunday, November 24, 2024

Man claims house-flipping partner breached business agreement, misappropriated profits

Lawsuits

EDWARDSVILLE — A man is claiming his business partner failed to pay his share of the costs and misappropriated income from their house-flipping partnership.

Jerome Kellerman filed a complaint on July 14 in Madison County Circuit Court against Babatunde Owoseni, Berkshire Hathaway, unknown owners, non-record claimants and unknown occupants, alleging breach of contract and breach of fiduciary duties, among other claims. 

Kellerman alleges in his complaint that on March 3, 2019, Owoseni proposed a business partnership that included "renovating and selling houses" and then equally splitting the profits. On March 13, 2019, the parties agreed to purchase their first property in Edwardsville. 

Kellerman claims that since the beginning of the purchase of that property, Owoseni breached their business agreement by failing to pay his obligated half of the homeowner's insurance policy premium, earnest and purchase money for the property. Kellerman also claims Owoseni misappropriated "partnership assets and income" by failing to compensate him for covering his share of the costs. 

Kellerman alleges Owoseni also did not put is name on the homeowners insurance policy and when the property was vandalized on June 20, 2019, Owoseni kept two insurance checks for $73,598.17 and $13,376.77. 

Kellerman states in his suit that he and his family invested 97% of capital and over 700 hours in labor to the project. 

He seeks a judgment in his favor and all other just relief. He is represented by Paul Marks and Todd Sivia of Sivia Law in Edwardsville.  

Madison County Circuit Court case number 20-L-975

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