MIAMI, July 29,
2024 /PRNewswire/ -- A Miami-Dade County jury awarded $8.3 million late Friday afternoon to Perry Ellis
International, Inc. and PEI Licensing, LLC ("Perry Ellis"). The verdict followed a ten-day
trial against New York-based
Defendants United Legwear Company, LLC ("United Legwear") and its
wholly owned subsidiary ULC IP Holdings, LLC ("ULC"), for breach of
contract, breach of the implied covenant of good faith and fair
dealing and alter ego liability. Stearns Weaver Miller Shareholders
Albert Lichy and Ezra Greenberg
tried the case in the Circuit Court's Complex Business Litigation
Division.
The trial centered on the fair market value of the Pro Player
brand, a legacy athletic brand well known in Miami for having naming rights to what is now
Hard Rock Stadium. Perry Ellis sold
the Pro Player brand to a subsidiary of United Legwear in 2020, but
sued in 2022 after a contractual appraisal process designed to
determine the brand's final sale price went awry. The trial also
focused on whether United Legwear was liable as its subsidiary's
alter ego.
"Thanks to jurors who took two weeks out of their busy lives to
resolve a dispute the parties were unable to resolve themselves,
justice was done," said Albert
Lichy, Perry Ellis' trial
counsel.
At trial, the defendants argued they had no liability because
the brand was worth less than the $5 million they had paid at
closing in December 2020. Finding for
Perry Ellis, the jury concluded that
the brand was worth $13.3 million as
of December 31, 2021, and that
Perry Ellis was entitled to
$8.3 million in damages. The jury
found that one of the defendants intentionally managed the Pro
Player brand to depress its value and ultimately to avoid paying
Perry Ellis for the brand's fair
market value. The jury also found that United Legwear was liable as
ULC's alter ego.
Perry Ellis Chief Legal Officer
Melissa Bernheim said, "Albert, Ezra
and the entire Stearns Weaver team
did an extraordinary job for the Company. Their mastery of the
facts, their trial skills and the technology they brought to the
courtroom allowed the jury to understand a very complex case
involving highly technical information about valuing apparel
brands. We are very thankful they were on our side."
The Honorable Lisa S. Walsh presided over the two-week
trial.
Contacts:
Ezra S.
Greenberg
305-789-3501
egreenberg@stearnsweaver.com
|
Albert D.
Lichy
305-789-3428
alichy@stearnsweaver.com
|
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content:https://www.prnewswire.com/news-releases/stearns-weaver-miller-team-secures-8-3-million-jury-verdict-for-perry-ellis-international-against-united-legwear-company-llc-302209086.html
SOURCE Stearns Weaver Miller