Successfully Defended Rep In $1.5 Million Breach of Contract Case
June 8th, 2009
We just concluded a bench trial in Federal Court in New York City. The client was an accessories rep organization, sued by an importer it sold product for, claiming that the rep group had breached their contract by selling competing product. The vendor sought damages of over $1.5 Million, and to add insult to injury refused to pay our client over $110,000 in commissions for product actually sold before their falling out. While the Court found that our client had sold competitive product, the vendors damages were only $33,000, and in the context of over $30 Million in sales over a five year period, this was truly insignificant. Fourtunately, the Court also awarded our client its unpaid commissions. It just goes to show how emotion can really cloud good judgment.