Stephanie Laws, Katie Maechler, and Steve Schleicher
Stephanie Laws, Katie Maechler, and Steve Schleicher, partners at Maslon LLP, won a complete defense verdict in a Polaroid $300 million contract dispute.
A Minnesota state court jury found Polaroid did not breach a license agreement, dismissing claims worth more than $300 million brought by a former licensee.
In a suit filed March 9, 2021 in Hennepin County District Court, former licensee and distributor of Polaroid-branded products C&A Marketing and its affiliate C&A Licensing LLC (“C&A”) claimed to have suffered damages in excess of $300 million as a result of release of claims and allegedly unfavorable terms in a pair of 2017 agreements with Polaroid, which C&A alleged it had no choice but to accept under economic duress. C&A’s claims included breach of contract, breach of the implied covenant of good faith and fair dealing, fraudulent inducement, and various equitable claims.
Polaroid vigorously denied the allegations and the jury agreed.
At a two-week trial beginning on February 12, C&A sought to prove that it was under “economic duress” when it resolved its claims against Polaroid in 2017. After deliberating for two hours, jurors awarded a complete defense verdict to Polaroid.
“The jury’s verdict sends the message that businesses are expected to honor their contracts,” said Steve, who served as lead trial counsel in this matter. “We are thrilled that the jury found our client acted in good faith with regards to its former licensee.”
The jury's decision came the same week that in 1947 Polaroid founder Edwin Land introduced the world’s first instant camera in a demonstration in New York City.
The case is C&A Marketing, Inc.; C&A Licensing LLC v. PLR IP HOLDINGS, LLC; PLR BRAND SERVICES, LLC, No. 27-cv-21-2750.