A dispute over the handling of insurance proceeds following a fire at a commercial property has resulted in a federal lawsuit alleging fraud, conversion, and breach of fiduciary duty among business partners. The complaint was filed by E&Z Holdings LLC and Edward Sickmiller in the United States District Court for the Eastern District of Michigan on March 12, 2026, naming Rock Solid Concrete Inc., Zacharius Dekalita, and Kelly C. Dekalita as defendants.
According to the complaint, E&Z Holdings LLC was formed in July 2022 by Sickmiller and Zacharius Dekalita as its only two members. The company’s stated purpose was to own, hold, and lease commercial real estate. In September 2022, E&Z entered into a land contract to purchase property at 210 Industrial, Flushing, Michigan. After closing on the property, E&Z leased it to Rock Solid Concrete Inc., owned by Zacharius Dekalita, under a two-year agreement beginning January 3, 2023.
The lease required Rock Solid Concrete Inc. to pay $1,500 per month and maintain casualty insurance on the premises with E&Z named as an additional insured party. The complaint states that Rock Solid obtained an insurance policy from Auto-Owners Insurance that included both E&Z Holdings LLC and SS & LB Enterprises LLC (the land contract seller) as additional insureds.
On March 13, 2023, a fire destroyed the building leased by Rock Solid Concrete Inc. Plaintiffs allege that Zacharius Dekalita negotiated the resulting insurance claim without consulting Sickmiller or seeking his approval as co-member of E&Z Holdings LLC. Two checks totaling $872,792.26 were issued by Auto-Owners Insurance payable to Rock Solid Concrete Inc., SS & LB Enterprises LLC, and E&Z Holdings LLC.
The complaint alleges that Zacharius Dekalita requested SS & LB Enterprises LLC endorse the checks based on representations that the funds would be used to pay off E&Z’s land contract balance. However, plaintiffs claim that Zacharius endorsed the checks on behalf of E&Z without Sickmiller’s knowledge or consent and retained all proceeds for personal use rather than applying them toward company obligations.
Further allegations state that Zacharius Dekalita—with assistance from his wife Kelly C. Dekalita—used these funds to construct or purchase homes for personal use in South Carolina while concealing these actions from Sickmiller and failing to respond to repeated requests for information about the insurance settlement or missing equipment valued at over $100,000.
Plaintiffs assert multiple causes of action including accounting; claim and delivery for return of specific equipment; intentional fraud and misrepresentation; silent fraud; conversion/civil conspiracy; violation of Michigan’s Uniform Voidable Transactions Act; breach of contract related to nonpayment under the lease; and breach of fiduciary duties under Michigan law governing limited liability companies.
Among other remedies sought in court are:
– An order compelling defendants to provide an accurate accounting of all activities and assets related to E&Z Holdings LLC;
– Judgment against defendants for damages exceeding $972,791.16 plus treble damages where applicable;
– Return or value compensation for specific equipment allegedly converted;
– An equitable lien against real estate purchased with disputed funds (specifically identified as 595 Wilcox Ave., Murrells Inlet, South Carolina);
– Authority for plaintiffs to sell said real estate if necessary to satisfy any judgment;
– Attorney fees, costs, interest,
– And any further relief deemed appropriate by the court.
The complaint is signed by attorney Bruce M. Pregler of Facca, Richter & Pregler P.C., representing plaintiffs E&Z Holdings LLC and Edward Sickmiller. The case is identified as Case Number 2:26-cv-10836-MAG-APP.
Source: 226cv10836_E_&_Z_Holdings_v_Rock_soLID_Complaint_Eastern_District_Of_Michigan.pdf
