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VRS Wins Trial in Federal Court Case in Los Angeles

VRS is pleased to report that the firm, with partner Adam Greely as lead trial counsel, recently achieved a great result at trial in the US District Court in Los Angeles. VRS’ client is a manufacturer that was sued by its distributor. The client was originally sued in Michigan State Court for allegedly violating its exclusive distribution agreement. The distributor demanded lost profits for past and future sales, and claimed that the manufacturer’s products were defective and harmed the distributor’s reputation and led to the distributor’s complete financial ruin. The distributor claimed millions in damages.

In response to the lawsuit and over vigorous objection by the distributor, VRS moved the case to US District Court in Los Angeles. VRS also asserted a counter-claim against the distributor for its client’s unpaid invoices for products and warranties.

After a 3 day trial, the Court found that the exclusive distribution agreement was terminated and did not renew, and therefore the distributor did not have the exclusive right to sell the manufacturer’s products. The Court also found that the distributor failed to prove any damages as a result of the alleged problems with the products.

The Court issued a judgment in favor of VRS’ client for the entire amount of the unpaid invoices. The Court denied all claims of the distributor against VRS’ client, except for a very small sale which was conceded by the client. This was a tremendous victory for VRS and its client. Congratulations to Adam and his litigation team on a great result. While most cases are resolved without trial, some cases have to be tried. VRS is prepared to take cases to trial …and win!