In re Seminole Walls & Ceilings Corp.

Joseph Jasgur (plaintiff), over 85 years old, sold photographs to PITA Corporation, a subsidiary of bankrupt Seminole Walls & Ceilings Corporation (Seminole) (defendant); Jasgur disputed PITA's ownership of the photographs during Seminole's bankruptcy, and the bankruptcy trustee reached a heavily negotiated settlement agreement (later amended) with Jasgur in early 2005. Around the time of signing, Jasgur, represented by competent counsel who believed he supported the deal, had suffered a mini-stroke and was later diagnosed with serious medical conditions and eventually declared mentally incompetent months afterward, but an acquaintance who assisted him testified he understood he was signing a legal compromise, and notaries who witnessed his signature noticed nothing amiss; Jasgur later argued the settlement and amendment were unenforceable due to his mental incompetence at the time of signing.