Fox Wins $12.2 Million Jury Verdict in U.S. Distributor’s Suit Against Taiwanese Manufacturer

November 23, 2016 – Press Releases

A team of litigators from Fox Rothschild LLP won a $12 million verdict in a California federal court on behalf of Mighty Enterprises, Inc. in its dispute with She Hong Industrial Co. Ltd, a Taiwanese manufacturer of heavy equipment.

The suit alleged that, under a 33-year-old oral agreement, Mighty was granted the exclusive rights to distribute She Hong’s goods in the United States.

But when the relationship soured, the suit alleged that She Hong – which sells machines under the brand name Hartford – began unlawfully contacting and advertising directly to U.S. dealers, persuading them to no longer contract with Mighty.

Mighty filed suit for breach of contract, tortious interference with contract and fraud.

The Fox team, led by partner John Shaeffer, argued to the jury that while She Hong had the right to terminate its oral agreement with Mighty, She Hong did not have the right to terminate the agreement in the manner it did.

After a four-day trial and one day of jury deliberations, Mighty was awarded $6.2 million in compensatory damages and $6 million in punitive damages.

Shaeffer was assisted on the matter by Fox attorneys Christina S. Chen, Amanda D. Murray and Jeff H. Grant.