SWB Attorneys Secure Jury Verdict for Fraud and Fraudulent Transfer in Franchise Dispute

Our client, a weight-loss franchisee, achieved a complete victory in the 429th District Court of Collin County after a nearly five-year battle. The franchisor claimed it had granted our client the use of an exclusive patented three-step weight loss process for sale to customers. However, the franchisor did not own any patents and the weight loss system did not work. After our client and other franchisees discovered no patents existed for the treatment, its owner then began fraudulently transferring personal and company assets to an affiliated weight loss company.

Once the owner put the franchisor into bankruptcy, SWB attorneys Josh Weems and Regina Schneider tried the remainder of the case against the owner and affiliated company to a jury. After only a few hours of deliberation, the jury returned a verdict in favor of our client finding the owner had defrauded our client into becoming a franchisee, accepting payment of the franchise fee, and then fraudulently transferring assets to the affiliated company. Congratulations, Josh and Regina, on a fantastic result for our client!

Contact us today if you are facing a franchise dispute.

Carlisle A. Braun is a value-added business attorney who regularly serves as outside general counsel for midsize and small businesses, particularly in the real estate, franchising and hospitality industries. Mr. Braun is often the first call when companies encounter business issues with legal implications. Acting as a strategic advisor, Mr. Braun provides timely and on-demand legal counsel in order to execute and implement progressive solutions for his clients’ businesses.

Saunders, Walsh & Beard is a business and litigation law firm in McKinney, Texas. Formed in 2012, today SWB has more than 16 attorneys. The firm assists individuals and businesses with commercial, business and tort litigation, construction law, corporate and partnership formation and expansion, employment law, insurance disputes, judgment collection, personal jurisdiction, and real estate. We believe the client’s “experience” is of paramount importance. Explore our practice areas and see why the attorneys of Saunders, Walsh & Beard are ranked by their clients and peers as among the best in their fields.