A woman is accusing Mountaineer Insurance Group alleges fraudulent business practices and breach of contract.
Tonya Haught filed her complaint August 6 in Marion Circuit Court against Mountaineer Insurance Group and executives Robert C. Boyle and Bridget Morrison. She accuses the defendants of misleading her into a purchase agreement that left her financially disadvantaged while benefiting the defendants.
According to the complaint, Haught entered into a Purchase and Sale Agreement with Mountaineer Insurance Group on October 16, 2023. The agreement stipulated that Haught would pay $320,000 for the insurance company's book of business. However, she claims she was coerced into paying additional sums: $36,000 annually to Morrison as an employee and $120,000 over five years to lease office space from Boyle. Despite these payments, Haught says she was essentially reduced to an employee status within the company she believed she was purchasing.
Haught says Boyle used his experience as a long-time business owner to manipulate her during the transaction. She claims Boyle discouraged her from seeking legal counsel during negotiations and provided misleading financial statements.
"Boyle insisted against legal representation and declined her requests for counsel," the complaint states.
After signing the agreement under duress and misinformation, Haught says Boyle continued to operate Mountaineer Insurance Group without transferring control or assets as promised.
The plaintiff also highlights discrepancies in the terms of various agreements tied to the purchase deal. For instance, she says an employment agreement required her to retain Morrison at a specified salary or face immediate repayment of the promissory note used for purchasing the business. Additionally, lease terms mandated payments directly benefiting Boyle individually rather than Mountaineer Insurance Group.
Haught seeks a declaration voiding any termination or rescission of the purchase agreement by Boyle, economic damages for financial losses incurred, non-economic damages for emotional distress, punitive damages, a full accounting of all transactions related to Mountaineer Insurance Group since October 2023 pre- and post-judgment interests, attorney fees and other relief.
Haught is being represented by Dayton C. Meadows V of Meadows Law in Morgantown.
Marion Circuit Court case number 24-C-112