LOS ANGELES – A Carson
company alleges it will be damaged if a direct competitor is permitted to be a
distributor of products it also sells.
Salon Services and Supplies Inc. filed a
complaint on March 3 in the U.S. District Court for the Central District of
California against Dermalogica LLC alleging that the franchisor violated the
California Franchise Investment Protection Act.
According to the complaint, the plaintiff
alleges that it has been the exclusive distributor of the defendant's skincare
products in Washington, Oregon, Idaho and Montana since 1993. It alleges the
defendant has threatened to enter in or has entered into an agreement with a
third-party to distribute the defendant's products in the plaintiff's
territory. The plaintiff holds Dermalogica LLC responsible because the
defendant allegedly breached the implied covenant of good faith and fair
dealing by considering entering into an agreement with plaintiff's direct
competitor for distribution of its products in plaintiff's territory.
The plaintiff requests a trial by jury and seeks
injunctive relief enjoining defendant from violating the exclusive distribution
agreement, award of monetary damages, costs and attorneys’ fees and such other
just and appropriate relief. It is represented by Kathy Bazoian Phelps of
Diamond McCarthy LLP in Los Angeles and Paul Richard Brown of Kurt Tuttle
Campbell in Seattle.
U.S. District Court for the Central District
of California, Western Division Case number 2:17-cv-01731