High Court Clears Way for Round 2 of Bitter Maglica Palimony Trial

The California Supreme Court on Wednesday cleared the way for the second round in one of the nation’s highest profile and most expensive palimony battles, one involving Orange County flashlight mogul Anthony Maglica.

The court denied a request by Maglica’s attorneys for a hearing, sending the long-running case back for a new trial. In 1994, an Orange County jury ordered Maglica to pay his companion of 20 years, Claire Maglica, $84 million. The judgment is believed to be the highest palimony award ever.

At stake are the fortunes of Mag Instrument Inc., which manufactures the popular Mag-Lite flashlight.

During the initial trial, and the following appeal, Claire Maglica’s attorneys argued she was owed a share of the wealth because of implied promises Anthony Maglica allegedly made during the couple’s 20-year relationship. Anthony Maglica’s attorneys have dismissed the claimed promises as “pillow talk.”

An Orange County jury found partially in favor of Claire Maglica. An appeals court in September overturned the award, but ordered a new trial because the judge had erred in giving the jury instructions that favored Anthony Maglica.

“Now we are back to square one. But the good news is we can sue for more,” said John W. Keker, one of the attorneys representing Claire Maglica.

Keker said his client, who is vacationing in Denver, was not available to comment.

Dennis Wasser, an attorney representing Anthony Maglica, said he was not aware of the most recent decision and could not comment. Anthony Maglica could not be reached.

Maglica’s company is estimated to be worth about $400 million.

Keker said that with a new trial, his client could potentially win half of the money.

“I am pleased the Supreme Court denied the petition [for a hearing], and I am sure Mrs. Maglica is as well,” he said. “We look forward to the new trial.”

Anthony Maglica, 67, the son of Croatian immigrants, opened a machine shop in 1955 that eventually blossomed into a multimillion-dollar business. He and Claire Maglica, 64, met in the early 1970s. Both had gone through bitter divorces in previous marriages.

The couple shared an Anaheim Hills home and worked together at Mag Instrument Inc. Although they were never married, the two were known as husband and wife among the Orange County social elite where the couple mingled with the powerful and moneyed. The relationship soured in 1992, when Claire Maglica discovered her mate planned on leaving the company to his children.

She sued for palimony and claimed half of his business assets. The jury rejected her claims to the business, but nevertheless awarded her $84 million for her services. The trial with its rags-to-riches story, spurned love and high financial stakes, was broadcast nationally by the Court TV cable network, and many around the country took sides.

Arlene Colman-Schwimmer, a family law specialist in Beverly Hills, said most palimony lawsuits are unsuccessful. Juries are reluctant to award large damages unless there is proof of an explicit agreements between the parties.

Colman-Schwimmer said the Maglica case stood out because of the amount of money involved.

“It is really not fair for one person to walk away with all the money after such a long relationship,” she said. “A case like this should really be settled. What the jury awarded in this first verdict shows her claims cannot be easily dismissed. From that standpoint, they should be able to reach a fair resolution.”