The Shocking Details of the Case
August 2023
Three men sue Glen Frost and Strategic Tax Planning for failing to pay promised commissions for client referrals.
March 24, 2024
Jury finds Strategic Tax Planning liable on three counts of unjust enrichment and breach of contract.
Verdict Amounts
$434,025 to George Divel III
$233,565 to Gary Stastny
$16,353 to Chris Callaway
April 2, 2024
Strategic Tax Planning pays the fines after attempting to vacate the verdict.
The Employment Retention Credit Scheme
The plaintiffs helped Strategic Tax Planning recruit clients seeking the Employment Retention Credit, a federal tax refund available to businesses affected by COVID-19. Text messages showed Frost offered a cut of the company's fees, but later refused to pay.
Frost's Failed Defense
The defendants argued they didn't sign contracts and weren't subject to the Maryland Wage Protection and Collection Law. However, the plaintiffs successfully argued they didn't need contracts for work that took less than a year to complete.
"The independent contractor agreement offered to my clients was inadequate, and the parties agreed to 'figure this out later.' The commission percentage was constantly changing." - Timothy Mummert, Plaintiffs' Attorney