Kaepa, Inc. v. Achilles Corp.
United States Court of Appeals for the Fifth Circuit
76 F.3d 624 (1996)
- Written by Josh Lee, JD
Facts
Kaepa, Inc. (plaintiff) was an American company that made athletic shoes. Kaepa entered into a distribution agreement with Achilles Corp. (defendant), a Japanese company with over a billion dollars in annual sales. The distribution agreement stated that it was governed by Texas law, that interpretation would be governed by the English language, that it was enforceable in Texas, and that Achilles consented to the jurisdiction of the courts in Texas. Kaepa was not satisfied with Achilles’s performance and filed a lawsuit in Texas. Kaepa alleged breach of contract and fraud and negligent misrepresentation to induce Kaepa to agree to the contract. Achilles defended itself in the litigation, including removing the lawsuit from state court to federal court, and the parties engaged in a laborious discovery process. Later, Achilles filed an identical lawsuit against Kaepa in Japan. Kaepa filed a motion in the Texas lawsuit, seeking an injunction against Achilles proceeding with the Japanese lawsuit. The trial court granted the request and entered the injunction. Achilles appealed.
Rule of Law
Issue
Holding and Reasoning (Wiener, J.)
Dissent (Garza, J.)
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