Antitrust Law Daily Wrap Up, FRANCHISING & DISTRIBUTION NEWS: Ramada files suit against terminated hotel licensee, (Jul 25, 2013)
Law Firms Mentioned:Clyde & Co. US LLP
Organizations Mentioned:Ramada Worldwide Inc.
By Peter Reap, J.D., LL.M.
In a suit brought by hotel franchisor Ramada Worldwide Inc. in the federal district court in Newark, terminated licensees Steve Young Kim and Young Soon Kim are alleged to have breached their agreement with the franchisor.
Ramada asserts that it terminated the Kims after repeated defaults. Those defaults included failures by the Kims to pay recurring fees due under the agreement and failures to provide proof that they had maintained the minimum insurance coverage required by the agreement.
Ramada seeks an award of liquidated damages as provided for in the parties’ agreement. In the alternative, if the court determines that the Kims are not liable to pay the liquidated damages specified in the agreement, Ramada seeks the actual damages for the premature termination of the agreement. It also requests $96,782 in unpaid recurring fees still owed by the Kims.
The complaint in Ramada Worldwide Inc. v. Steve Young Kim, Case No. 2:13-cv-04472-DMC-JAD, was filed July 24, 2013.
Attorneys: Bryan P. Couch (Clyde & Co. US LLP) for Ramada Worldwide Inc.
Companies: Ramada Worldwide Inc.
News: FranchisingDistribution NewJerseyNews