Equipmentshare.com, Inc. v. Ahern Rentals Inc. et al

On October 18, 2021, Equipmentshare.com Inc (“Plaintiff” or “EquipmentShare”), represented by Mitchell J. Langberg of Brownstein Hyatt Farber Schreck, LLP, filed a personal property fraud lawsuit against Ahern Rentals, Inc., (“Ahern”), Don Ahern (“Mr. Ahern”) and Does 1 through 100, inclusive, (collectively, “Defendants”). Plaintiff seeks injunctive and compensatory relief, attorneys’ fees and costs for the Defendants’ alleged threats, intimidation, subterfuge, and other improper conduct intended to harm EquipmentShare, one of Ahern’s direct competitors in the construction equipment rental business. This case was filed in U.S. District Court in the District of Nevada with Judge Cam Ferenbach and Judge Jennifer A. Dorsey presiding. 

In the complaint, the Plaintiff alleged that, “Defendants conspired with Mike Klingenmeier, Dewey Rodriguez, Bob McGee, and Scott Lucas (collectively the “Ahern Employees”) to commit fraud and unlawfully compete against EquipmentShare. On information and belief, at the direction of Ahern and Don Ahern, the Ahern Employees—clearly acting outside the scope of any legitimate employment relationship with Defendant Ahern—made false representations and/or failed to disclose their true motivations to EquipmentShare by feigning interest in employment opportunities to induce EquipmentShare to engage in actions that could serve as the basis for additional lawsuits by Ahern against EquipmentShare or, in the alternative, the basis for harassing litigation threats by Ahern’s outside counsel designed to force EquipmentShare to incur legal fees and costs and to prevent it from lawfully soliciting or considering applicants previously employed by Ahern for positions at EquipmentShare.”

The Plaintiff further alleged that, “At the time of the Ahern Employees’ misrepresentations and/or failures to disclose material information, Plaintiff was not aware of their falsity and believed the statements to be true.” “The above-identified misrepresentations were false when made, were material to Plaintiff, and Defendants caused the Ahern Employees to make them with knowledge of their materiality and falsity and to induce Plaintiff to engage in employment discussions with the Ahern Employees. If Plaintiff knew the falsity of the Ahern Employees’ representations or were aware of the information the Ahern Employees failed to disclose, Plaintiff would not have communicated with the Ahern Employees in any way regarding their feigned job interest.”

The Plaintiff also alleged that, “Defendants have disparaged the services and business reputation of EquipmentShare by false or misleading representations of fact.” “Defendants have used threatening, intimidating, profane and obscene language in the course of interacting with Deron Growe during his employment with a company that was a prospective and/or existing customer of Ahern. Defendants have further threatened Mr. Growe’s life following commencement of his employment at EquipmentShare.”

The Plaintiff lists out three claims for relief. The first claim alleged is for Intentional Interference with Contractual Relations. The second claim alleged is for violation of Nevada Deceptive Trade Practices Act and the third claim alleged is for Civil Conspiracy. The Plaintiff also alleged that EquipmentShare had existing agreements with Helix Electric and XL for the rental of construction equipment and that, on information and belief, Defendants threatened Helix Electric and XL with the intent that these entities terminate their agreements with EquipmentShare and cease any further equipment rentals.

In their prayer for relief, the Plaintiff requested the Court for an award of compensatory, exemplary, and punitive damages and statutory double and treble damages as applicable, along with preliminary and permanent injunctive relief. Furthermore, Plaintiff requested that the Court award attorneys’ fees and costs with pre-judgment and post-judgment interest as well as such other and further relief as the Court deems just and equitable.

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