Defended a franchisor against fraud claims made by franchisees, who sought tens of millions of dollars in actual and punitive damages. After a five-week trial, WTO won judgment for our client. The Court awarded $2 million in attorneys' fees against the franchisees.
Colorado Coffee Bean, LLC v. Peaberry Coffee, Inc
Ten specialty coffee franchisees filed suit in Colorado state court alleging a variety of fraud-in-the-inducement and breach-of-contract claims against our clients, including the franchisor, its parent company, and the franchisor's CEO and vice president of franchise operations. The franchisees sought tens of millions of dollars in actual and punitive damages. The franchisees later added aiding and abetting and conspiracy claims against the franchisor's former attorneys who had prepared the franchise offering documents.
After WTO successfully defended a challenge to our client's attorney-client privilege with its former attorneys, the case proceeded to a bench trial that lasted five weeks stretched over a four-month period. The Court found in favor of our clients on all claims. The Court also awarded our clients a judgment for their counterclaims for breach of contract, plus attorneys' fees and costs.