Tag Archives: Breach of Contract

Honest Abe Roofing sues Georgia Couple for Breach of Franchise Agreement, Trademark Infringement

09 Friday Sep 2022

Posted by in Business Law, Indiana, Intellectual Property, Litigation, Southern District of Indiana, Trademark

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In April 2021, the Georgia-based defendants in this Indiana lawsuit entered into a Franchise Agreement with Honest Abe, a roof installation corporation located in Terre Haute, Indiana. The franchise relationship did not last long, and Honest Abe send a first Notice of Default in March 2022 asserting several material defaults. Following the failure by defendants to timely cure the defaults, a Notice of Termination was sent to the defendants on May 5, 2022. The defendants allegedly owe the plaintiff around $186,000 in past-due fees. The defendants are also accused of violating their non-compete agreements by starting a competing roofing company in the same geographic area. The Complaint (below) details interactions between an investigator and the defendants in which the defendants continue to refer to themselves as “Honest Abe.”

Honest Abe also requests a temporary restraining order and preliminary injunction (see Motion below).

Based on the very thorough complaint (with 19 exhibits) and the motion for a temporary restraining order/preliminary injunction, I expect the defendants will have a big fight on their hands. Pursuant to the Franchise Agreements, the defendants could also be responsible for Honest Abe’s attorney fees and costs, which are probably already substantial.

Stay tuned for updates.

Honest Abe Roofing Franchise, Inc. v. DCH & Associates, LLC et al.

Court Case Number: 2:22-cv-00387-JRS-MG
File Date: September 7, 2022
Plaintiff: Honest Abe Roofing Franchise, Inc.
Plaintiff Counsel: William W. Drummy of Wilkinson Goeller Modesitt Wilkinson & Drummy LLP
Defendants: DCH & Associates, LLC, Honest Abe Roofing of Macon Georgia, LLC, Dameion Harris, Christine Harris
Cause: Federal Trademark Counterfeiting, Federal Trademark Infringement, Federal Unfair Competition, False Designation of Origin, Breach of Franchise Agreement, Breach of Contract, Common Law Unfair Competition, Misappropriation of Goodwill
Court: Southern District of Indiana
Judge: James R. Sweeney II
Referred To: Mario Garcia

Complaint:

Brief in Support of Motion for Temporary Restraining Order and Preliminary Injunction:

AV Intern sues Kilroy’s Sports for Non-Payment of Wages, Copyright Infringement

09 Tuesday Aug 2022

Posted by in Copyright, Indiana, Intellectual Property, Litigation, Southern District of Indiana

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A popular college bar in Bloomington, Indiana is accused of non-payment of $12,000 to an intern who had been creating content for their social media accounts. The Complaint (below) details several months of promised, delayed, and ultimately unrealized paychecks.

The Complaint includes claims for declaratory judgment of copyright ownership and copyright infringement, but I assume that the intern is less interested in ownership of the bar’s social media content and more interested in getting paid for months of labor. The specific works alleged to have been infringed are not identified in the Complaint and there is no mention of registration of any works, a prerequisite for a copyright infringement claim, so the copyright claims could be vulnerable to challenge. As jurisdiction for the lawsuit is based on the copyright and declaratory judgment of copyright ownership claims, we might see an early battle over jurisdiction.

Ideally, the intern will just get paid what he is owed before lawyers for both sides get deep into researching and drafting motions. Stay tuned for updates.

Schwartz v. Kilroy’s North America, LLC et al

Case Number: 1:22-cv-01563-SEB-DML
File Date: August 5, 2022
Plaintiff: Elijah Schwartz
Plaintiff Counsel: Kimberly D. Jeselskis, B.J. Brinkerhoff, Hannah Kaufman Joseph of Jeselskis Kaufman and Joseph, LLC
Defendant: Kilroy’s North America, LLC, Kilroy’s Sports, LLC, Kilroy’s on Kirkwood, LLC
Cause: Violation of the Wage Payment Act, Breach of Contract, Promissory Estoppel, Unjust Enrichment, Fraud, Declaratory Judgment of Copyright Ownership, Copyright Infringement
Court: Southern District of Indiana
Judge: Sarah Evans Barker
Referred To: Debra McVicker Lynch

Complaint:

Carmel-based Autoniq sues Laser Appraiser for False Advertising, Breach of Settlement Agreement

25 Friday Feb 2022

Posted by in Indiana, Intellectual Property, Litigation, Southern District of Indiana, Trademark

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The plaintiff, Carmel, Indiana-based Autoniq, provides a software solution that allows vehicle dealers to find, research, purchase and price vehicles, both online and at auction.

On January 29, 2021, Autoniq settled a prior lawsuit against the defendant, Laser Appraiser of Watkinsville, Georgia, based on trademark disputes involving deceptive online advertising. The parties signed a settlement agreement which included a $10,000 per breach liquidated damages provision for any future violations.

Apparently the defendant’s marketing department just couldn’t stand not using “Autoniq” in their online ads (along with arguably deceptive information about the plaintiff’s software), as less than a year later, in December 2021, Autoniq discovered new online advertisements by Laser Appraiser that allegedly violate the terms of the parties’ settlement agreement. As such, Autoniq has filed this lawsuit based on the new advertisements, but now backed with a $10,000 per breach liquidated damages provision.

Stay tuned for updates.

Autoniq, LLC v. Laser Appraiser, LLC

Case Number: 1:22-cv-00368-JMS-DML
File Date: February 21, 2022
Plaintiff: Autoniq, LLC
Plaintiff Counsel: Louis T. Perry of Faegre Drinker Biddle & Reath LLP
Defendant: Laser Appraiser, LLC
Cause: False Advertising, Breach of Contract
Court: Southern District of Indiana
Judge: Jane Magnus-Stinson
Referred To: Debra McVicker Lynch

Complaint:

RE/MAX sues Realtor Franchisee for Competing Against His Own Franchises

25 Wednesday Aug 2021

Posted by in Indiana, Intellectual Property, Litigation, Southern District of Indiana, Trademark

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Apparently all the intellectual property litigators in Indiana took nice long summer vacations, as this is the first new IP lawsuit filed in over two months (since July 22, 2021). After the long wait, the lawsuit we get is mostly about the breakdown of a 10-year franchise relationship.

The Plaintiff is RE/MAX, a global franchisor of real estate brokerage services.

The Defendant is a franchisee accused of numerous violations of the franchise agreement, including actively competing against his own franchises, sending sales associates to a competitor, and enabling competing agents to operate out of RE/MAX locations.

These franchise lawsuits always have two sides, so it’s typically a good idea to read both the Complaint and the Defendant’s Answer for a better picture of how a 10-year franchise relationship breaks down to the point of a lawsuit. Stay tuned for updates.

RE/MAX, LLC et al v. Dulin et al.

Case Number: 1:21-cv-02321-TWP-TAB
File Date: Tuesday, August 24, 2021
Plaintiff: RE/MAX, LLC, RE/MAX Integrated Regions, LLC
Plaintiff Counsel: Lucy Dollens of Quarles & Brady LLP, Kathryn A. Reilly, Thomas A. Olsen, Chuan (CiCi) Cheng of Wheeler Trigg O’Donnell LLP
Defendant: James E. Dulin II, The Hamilton Group, Inc.
Cause: Breach of Contract, Federal Trademark Infringement, Unfair Competition, Declaratory Relief
Court: Southern District of Indiana
Judge: Tanya Walton Pratt
Referred To: Tim A. Baker

Complaint:

Equestrian Arena Equipment Manufacturer Sues Competitor for Breach of Contract, Misappropriation of Trade Secrets

13 Tuesday Apr 2021

Posted by in Business Law, Indiana, Intellectual Property, Litigation, Patent, Southern District of Indiana, Trade Secret, Trademark

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Here’s an interesting lawsuit, which seems like it wants to be a patent lawsuit but instead is masquerading as a breach of contract or trade secret lawsuit.

In September 2016, the parties allegedly into a “Product Lines Purchase Agreement,” by which the Plaintiff purchased “all specifications, shop drawings, blueprints, records and intellectual property rights” relating to the Kiser DragMaster and Kiser Edge, equipment used for grooming and maintaining equestrian arenas.

Despite selling the intellectual property for those products to Plaintiff as a part of the deal, the Defendants are now accused of selling knockoff products, although under different product names. It seems that what Plaintiff really wants to do is prevent the sale of competing products, but they don’t have any patents to truly protect their product designs. As such, the Plaintiff’s lawyers had to get creative and try to bring breach of contract, trademark, and trade secret claims.

Apparently, representatives of the Defendants have referred to the Defendants’ products as a “redesign” of Plaintiff’s DragMaster. Even if true, the Defendants could claim a nominative fair use defense, as such references seem to actually be referring to old DragMaster products. The law around comparative advertising is pretty well-settled in favor of consumer knowledge, absent evidence of false endorsement. Competitors comparing a new product to an older competing product via name is typically allowed.

By way of example, the Complaint (below) contains the following diagram comparing the Defendants’ “Kiser 1000” to the Plaintiff’s “ABI DragMaster”:

Similarly, the “Kiser 200” is compared to the “ABI Edge”:

These are the types of comparison drawings you’d typically see in a patent lawsuit. All of the features being compared are utilitarian product features. The product names (i.e. trademarks) aren’t compared because they aren’t similar at all…Kiser 1000 vs. ABI DragMaster.

Proving a breach of contract or misappropriation of trade secrets will necessarily depend on proving that the Defendants’ products are actually infringing on the intellectual property owned by Plaintiff. Without any prior patent protection, that could be difficult to do in this context.

Stay tuned to see how the Defendants respond, perhaps with a Motion to Dismiss for some of the claims.

ABI Attachments, Inc. v. Kiser Arena Specialists, Inc. et al.

Court Case Number: 1:21-cv-00890-SEB-DLP
File Date: Monday, April 12, 2021
Plaintiff: ABI Attachments, Inc.
Plaintiff Counsel: James M. Lewis, Michael J. Hays of Tuesley Hall Konopa LLP
Defendant: Kiser Arena Specialists, Inc., Robert D. Kiser, James Kiser
Cause: Breach of Contract, Misappropriation of Trade Secrets, Lanham Act Violations, False Designation, False Advertising, Common Law Unfair Competition, Common Law Trademark Misappropriation, Unjust Enrichment
Court: Southern District of Indiana
Judge: Sarah Evans Barker
Referred To: Doris L. Pryor

Complaint: