Court Dismisses Masood Khan’s and Gary Johnsons’ Frivolous Lawsuits

Public Adjusters Abandon Frivolous Claims, Khan Found to Lack Credibility

SAN FRANCISCO--(BUSINESS WIRE)--Two frivolous lawsuits brought by Gary Johnson and Masood Khan, public adjusters, have been dismissed by the Court. These lawsuits were brought in bad faith against their former employer, Greenspan Co./Adjusters International, Inc. (“Greenspan”). Greenspan is California’s largest public adjusting firm and has guided thousands of satisfied clients in their insurance recovery efforts.

Johnson and Khan, who are now partners at Sunpoint Public Adjusters, filed their specious lawsuits to attempt to extort a nuisance settlement from Greenspan. The pair, who were attempting to finance their upstart competing firm with their nuisance lawsuits, made no public comment on the dismissals. “We are pleased that the Court recognized the arguments made by Johnson and Khan were frivolous,” said Gordon Scott, Chief Executive Officer at Greenspan.

Court Finds Khan Lacks Credibility as Witness

Khan, who claimed he was a “whistleblower” and was allegedly “forced out” of Greenspan for complaining that Greenspan employee Mark Fratkin was improperly working at the company, was expressly found to “lack credibility” by the Judge. In rejecting Khan’s testimony, the Court found many “examples of inconsistencies and exaggerations in Plaintiff’s written and oral testimony.” The Court rejected that Fratkin, who properly works at Greenspan, impersonated Khan or that Khan’s testimony supported his so-called “whistleblower” theory. A link to the Court’s order can be found here.

Rather than being terminated from Greenspan, Khan actually voluntarily left the company to join Sunpoint and compete directly with Greenspan. Since Khan’s departure from Greenspan, the company has learned of substantial claims that it has against Khan. Khan’s actions were particularly unethical because he also acted as the Company’s in-house legal counsel. Greenspan intends to take all available administrative and legal action available against Khan. “We will seek full restitution from Khan,” said Scott, “We will not allow our competition to act unethically.”

Johnson Voluntarily Abandons His Frivolous Employment Claims

Gary Johnson, Khan’s business partner at Sunpoint, who has a long history of being an unsuccessful vexatious litigant, voluntarily dismissed his employment claims against Greenspan after the Court granted Greenspan’s response to Johnson’s complaint. A link to the dismissal can be found here.

The timing of Johnson’s dismissal of his much-publicized claims was telling given that the claims were dismissed following Greenspan’s discovery of its claims against Johnson. Greenspan intends to seek full restitution from Johnson.

Greenspan terminated Johnson in 2018 after an independent investigation revealed his inappropriate and unethical behavior.

Greenspan Co./Adjusters International, Inc.