Shaking Up Established


A team of Haynes and Boone, LLP lawyers successfully defended franchisor Party City Corporation against a failed franchisee’s claims of breach of the covenant of good faith and fair dealing, tortious interference, and promissory estoppel, achieving a complete defense judgment in which the judge further awarded the client $150,733.40 in damages on a counterclaim for past due amounts. The New Jersey judge also denied millions of dollars in damages sought by franchisee Party City of Countryside, Inc. for the alleged claims.

The Haynes and Boone trial team included Dallas partners Deborah S. Coldwell and Debbie J. McComas and associates William D. White and Katie Dolan-Galaviz. Washington, D.C. Partner Jan S. Gilbert advised the trial team on transactional and franchise matters before and during trial.

“This is a great result for our clients and for franchisors in New Jersey, which has a very broad interpretation of what the duty of good faith and fair dealing means in franchise cases,” said David Harper, co-section leader of the firm’s litigation practice. “We are very happy for our clients and proud of our team for their dedication and great work.”

The Haynes and Boone Franchise and Distribution Practice represents companies of all sizes and in diverse industries. Its attorneys have the industry insight to help clients establish new franchise, licensing and distribution programs around the world. By drawing on the firm’s capabilities to help with financing, IP, tax, real estate, corporate, labor and employment, and many other issues, its attorneys help resolve whatever business problems arise for clients – from structuring the franchise or distribution program to enforcing the agreement and creating innovative financing and operational solutions.


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