A Honolulu jury yesterday awarded a $25.8 million verdict to a Houston businessman who sued a Cleveland-based financial services company, alleging he was secretly cut out of a 2004 deal to buy Honsador Lumber Corp.

"At the end of a five-week trial we asked the jury to return a verdict that would send a message about ethics and fair dealing in our business community," said attorney Mark Davis, who helped businessman Richard R. Foreman in the suit against Key Principal Partners LLC and its parent company, KeyCorp.

"The jury did just that."

Foreman filed the lawsuit shortly after Honsador, the state's largest building materials supply company, was sold three years ago to a group that included Key Principal Partners and Amway co-founder Richard DeVos. KeyCorp is one of the largest financial services companies in the United States.

The suit alleged that Foreman, who had moved to Hawai'i to purchase Honsador, had brought Key as joint-venture partner and lender on the transaction.

The suit said Foreman was excluded from the purchase when Key went behind his back to negotiate secretly with Honsador owner Jim Pappas. Foreman later moved back to Houston.

"They literally stole the deal out from under him," said Davis. The jury awarded Foreman $12.2 million in compensatory damages and $13.6 million of punitive damages.

Davis said under the law the compensatory damages will be tripled.

Lawyers for Key Principal and KeyCorp said they planned to appeal.

"While we respect the jury's decision, we believe we have substantial grounds for an appeal based on rulings made and instructions issued by the court during the case," said Scott O'Connell, attorney representing the companies.

Reach Greg Wiles at gwiles@honoluluadvertiser.com.