Opinion ID: 2584287
Heading Depth: 3
Heading Rank: 4

Heading: Post-sale events leading to litigation

Text: The Ohs began operating the store on June 1, 2001. Under their management, the monthly income of the store was $22,000 to $23,000. Sometime in May or June of 2002, Mrs. Oh called Fong regarding tax liabilities for the previous year of about $30,000. The Honolulu Liquor Commission would not issue a new liquor license to CEI unless all delinquent federal and state income taxes were paid. Fong was not willing to pay the taxes owed. The Ohs did not pay the taxes, and the liquor license was lost. [7] In August 2002, the Ohs offered to convey all of the CEI stock to Fong, which offer was refused. The Ohs subsequently failed to make a payment owed to Fong under the promissory note. Litigation ensued.