Uptown Grill, LLC v. Shwartz et al

Filing 357

FINDINGS OF FACT AND CONCLUSIONS OF LAW. Signed by Judge Jane Triche Milazzo.(Reference: All Cases)(ecm)

UNITED STATES DISTRICT COURT
EASTERN DISTRICT OF LOUISIANA
UPTOWN GRILL, LLC

CIVIL ACTION

VERSUS

NO: 13-6560
c/w 14-810; 14-837

MICHAEL LOUIS SHWARTZ, ET AL

SECTION: “H”(4)

FINDINGS OF FACT AND CONCLUSIONS OF LAW
The long and complicated factual and procedural background to this case
has been outlined in this Court’s previous decisions and need not be recounted
here. 1 The Court previously denied all of the Schwartz parties’ claims except
those for breach of contract arising from the post-termination provisions of the
License Agreement. The Court also determined that the measure of damages
for such a breach would be the losses sustained by the Schwartz parties and
the profit of which they were deprived, not the disgorgement of the Khodr
parties’ profits. 2 The Court found that the Khodr parties breached the License

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2

See Docs. 294, 331.
See Doc. 331.

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Agreement by using covered marks at the Chartres Street location from June
1, 2011 to November 1, 2013. 3
At a bench trial held on March 28, 2018, the parties presented evidence
regarding the time periods in which the Khodr parties allegedly breached the
License Agreement and any damages that the Schwartz parties sustained.
Having considered the evidence admitted at trial and the arguments of
counsel, this Court makes the following findings of fact and conclusions of law.
To the extent a finding of fact constitutes a conclusion of law, and vice versa,
the Court adopts it as such.
FINDINGS OF FACT
1.

At its restaurant on Chartres Street, Chartres Grill, LLC used Camelia
Grill registered trademarks from August 15, 2015 to December 19, 2016.
CONCLUSIONS OF LAW

2.

Louisiana law applies to this action.

3.

Chartres Grill, LLC breached sections 12.1 and 12.2 of the License
Agreement by using Camelia Grill registered trademarks covered by the
License Agreement from August 15, 2015 to December 19, 2016.

4.

Camelia Grill Holdings, Inc. (“CGH”) was unable to prove that it suffered
any compensable damages as a result of Chartres Grill, LLC’s breach of
the License Agreement from August 15, 2015 to December 19, 2016 or
from June 1, 2011 to November 1, 2013.

5.

Pursuant to section 17.2 of the License Agreement, Chartres Grill, LLC
and The Grill Holdings, LLC are liable to CGH. for the attorney’s fees
and costs that CGH incurred obtaining only the judgment that Chartres

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Doc. 331 at 14

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Grill, LLC and The Grill Holdings, LLC breached the post-termination
provisions of the License Agreement from August 15, 2015 to December
19, 2016 and from June 1, 2011 to November 1, 2013.
CONCLUSION
For the foregoing reasons, the Court concludes that Chartres Grill, LLC
breached the License Agreement.
The Court further concludes that CGH failed to show that it sustained
any losses or was deprived of any profit as a result of the breach. Accordingly,
the Court denies any award of compensable damages.
The Court further finds that CGH did incur attorney fees related to the
breach at the Chartres Street location and awards attorney fees for that cause
of action only. See Doc. 331 at 10. The Court refers to the Magistrate Judge the
calculation of the amount of attorney’s fees incurred.
The Court further finds that CGH is entitled to an injunction to preclude
any further operation in violation of the License Agreement. Accordingly, the
entities that the Court has already found to be bound by the License
Agreement—Chartres Grill, LLC, The Grill Holdings, LLC, and Uptown Grill,
LLC—are hereby ENJOINED from employing the Camelia Grill trademarks
specified in Exhibit 1.1 of the License Agreement at any location other than
the Carrolton Location.
New Orleans, Louisiana this 17th day of April, 2018.

____________________________________
JANE TRICHE MILAZZO
UNITED STATES DISTRICT JUDGE
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