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Legal System and Adr Analysis

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Legal System and ADR Analysis
JP
LAW/531
November 24, 2013
XXXX Gray

TO: Judith Gray, Professor LAW/531
FROM: John R. Peterson, Manager Team A
DATE: November 24, 2013
SUBJECT: The Legal System and ADR Analysis

This research paper discusses the Internal Business Dispute over the Trademark Rights for the “The Cupcakery” company. Moreover, it will cover the other possible legal phases the case could take within the Texas State court system as well as pursue Alternative Dispute Resolutions possibly skipping the traditional court system altogether. The Cupcakery lawsuit arose between the two parties that stemmed from loans paid to Pamela Jenkins from her Uncle Rockey Perrit a Texas resident. According to “Las Vegas Trademark Attorney” (2011), “Perritt, with the full knowledge of Jenkins, decided to open up his own “The Cupcakery” stores – first in Frisco, Texas (owned by the Texas based, and co-Plaintiff , The Cupcakery, LLC), and then a second store in Dallas, Texas (owned by co-Plaintiff Buster Baking, LLC), and later a third store in The Woodlands, Texas (owned by co-Plaintiff The Woodlands Baking, LLC). Perritt’s Texas stores used the same name, recipes and other intellectual property used by Cupcakery NV” (Internal Business Dispute Over “The Cupcakery” Trademark Reignites). Armed with this background, let us first take a look at what legal phases this case could take within the Texas court system.

Texas Legal Court System
At the time this lawsuit was filed, the total loan provided to Ms. Jenkins was over $280 thousand dollars and in most cases would have entered in the Texas court system at the County-Level. However, because Mr. Perrit opened up multiple stores in separate cities within the state of Texas, which operates with the same name and menu as the original company based in Las Vegas Nevada, this suit is considered to be general jurisdiction and therefore falls under the jurisdiction of the Texas District Court. According to “The Free Dictionary” (2008), “General jurisdiction is the legal authority of a court to entertain whatever type of case comes up within the geographical area over which its power extends” (General Jurisdiction). If the trail provided findings, which in this case it did, then any appeal would then go through the Texas Court of Appeals and if not resolved, eventually making its way to the Texas Supreme Court. However, what if the lawsuit never made the Texas court system?

Alternative Dispute Resolutions
Mr. Perkins and Ms. Jenkins could have chosen a variety of Alternate Dispute Resolutions that would have kept this out the Texas Court Systems. In fact, they could have possibly chosen to use negotiations to resolve their differences. This would have been voluntary and could have been facilitated by their attorneys, saving them time, effort and court costs because it could have been settled prior to the lawsuit. What is more, both parties could have used a third-party mediator who could have helped facilitate a resolution. In addition to these alternatives, they could have chosen to use a fact-finder who would have gathered information and presented their results to both parties. Though the fact-finder could not render a resolution, the information provided could help both parties if they chose to pursue a lawsuit. Finally, they could have chosen to use a mini-trial, which would have provided them an idea of whether or not their case was strong enough to even pursue a lawsuit. If the lawsuit was necessary, what would be the cost and benefits to both parties for pursing a traditional court system avenue versus finding an alternative method?

Cost & Benefits
Because both parties were related, it would have been monetarily beneficial for them to come to an agreement that did not involve the Texas court system. As a result, any of the before mentioned alternative dispute methods would have saved them thousands in court costs as well as the damaging possibility of never mending their family relationships. Although, the court was able to settle the dispute by awarding both parties a share of the pie (the only benefit), it was not enough to keep it from making it back to the Texas court system, because Ms. Jenkins was dissatisfied with the outcome.
References
Las Vegas Trademark Attorney. (2011). Retrieved from http://www.vegastrademarkattorney.com/2011/01/internal-business-dispute-over.html
The Free Dictionary. (2008). Retrieved from http://legal-dictionary.thefreedictionary.com/General+Jurisdiction

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