CHARLESTON – Lawsuits involving the family and businesses of Governor Jim Justice and Carter Bank & Trust will be dismissed once the issues are resolved.
James C. Justice, III, and Jillean L. Justice said in a statement Wednesday by Judges Counsel Steve Ruby that the Justice group of companies had “successfully concluded a number of matters relating to Carter Bank and Trust (CB&T), one of the company’s long-standing financial partners.
Carter Bank will dismiss the lawsuits it brought against James C. Justice, II, and Cathy Justice in Martinsville, Va., Circuit Court, and the law firms will dismiss their federal action against CB&T and its directors in the Southern District of West Virginia. .
“The resolution marks a resumption of the companies’ previous business relationships with CB&T and will allow them to maximize their performance in the current favorable mining, hospitality and agriculture markets,” the statement said from Ruby.
“We are delighted to have overcome our disagreements with CB&T and look forward to continuing a productive relationship with the bank in the future,” said James C. Justice, III, president of mining and agricultural activities at Justice. “This resolution paves the way for our businesses and employees to focus on what they do best: producing world-class coal and operating world-class farms. Today’s strong coal and agricultural markets present a tremendous opportunity, and we are now in an even better position to respond.
“Our relationships with our business partners are important to us and we welcome the resumption of our productive relationship with CB&T,” said Jillean L. Justice, President of The Greenbrier. “In a banner year for The Greenbrier, today’s resolution helps ensure continued strength. “
The Justice family and businesses filed a civil action against CB&T in late May seeking damages of $ 421 million related to the financing terms of outstanding loans.
The complaint alleged that the Carter Bank defendants had participated in conduct … “violation of anti-competitive behavior law, breach of contract and in particular commitment in good faith and fairness, and breach of fiduciary duties and complicity of breach of fiduciary obligations relating to funding agreements between claimants and defendants.
A declaratory judgment was sought regarding loan modifications made in 2017 by Carter Bank which the plaintiffs claim are “unenforceable” and puts the defendants in a position that they “have no right to take any action to realize these loans. (or therefore collateral or guarantees thereof) which could become due and payable without providing applicants with a good faith opportunity to repay such loans.
The judicial entities have about $ 368 million in loans outstanding with Carter Bank, which the complaint claims is the remaining debt of $ 775 million in loans in 2016, of which $ 407 million was repaid.
A more aggressive repayment schedule was initiated by Carter Bank, according to the stock, and which could not reasonably have been met.
Carter Bank had filed a complaint over loans of $ 58 million which they said were “personally guaranteed” by Governor Jim Justice and his wife Cathy.
The Justice Companies are a private mining, hotel and agricultural interest group operating in West Virginia, Virginia, Kentucky, the Carolinas and Alabama, including Bluestone Industries, Inc .; The Greenbrier; and Justice Farms of North Carolina, Inc. Since Bluestone was founded by James C. Justice in 1971, the group has grown to include more than 100 businesses employing more than 2,500 men and women.