Back to all newsCW wins jury trial on directed verdict motion, resulting in dismissal of all claims against client
November 2024
After a two-month jury trial, CW successfully moved for a directed verdict on behalf of our client, United Apparel Industries LLC, putting an end to years of baseless litigation brought by multilevel marketing conglomerate LuLaRoe (LLR, Inc.) against United Apparel
In 2020, United Apparel purchased assets that had previously been owned by Providence Industries LLC, an apparel manufacturer that was embroiled in a dispute with LuLaRoe over $60 million in unpaid invoices. LuLaRoe cross-claimed against United Apparel, maintaining that the assets had been fraudulently transferred by Providence for the purposes of escaping debts owed to LuLaRoe.
At the close of all evidence presented to the jury, the CW team—led by partner Marc Williams—moved for a directed verdict on all claims against United Apparel. We argued that LuLaRoe had failed to prove that the value of the Providence assets exceeded the value of valid liens encumbering those assets. Without such evidence, LuLaRoe could not establish any harm from the alleged fraudulent transfer. The court granted the motion for directed verdict while the jury was deliberating, entitling United Apparel to judgment in its favor.