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Franchise Litigation

August 22, 2006

Eric Frisch recovered $952,028.17 in liquidated damages and past due fees for Holiday Hospitality Franchising, Inc. based on the early termination of a Holiday InnĀ® brand hotel in Maryland. The franchisee breached the license agreement and failed to pay franchise and other fees less than six months into a ten year term. The franchisee denied liability and counterclaimed for fraud and violations of the FTC Franchise Rule and Maryland law. Judge Thomas Thrash in the Northern District of Georgia awarded HHFI summary judgment, upholding the liquidated damages provision and awarding attorney’s fees and expenses of litigation. Holiday Hospitality Franchising, Inc. v. 174 West Corp., 2006 WL 2466819 (N.D.Ga., Aug. 22, 2006).

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