COS Wins Business Dispute

19 Dec 2024
On December 19, 2024, the United States District Court for the Western District of Louisiana granted summary judgment in favor of John Yopp (“Yopp”) and Labby Memorial Enterprises, LLC (“LME”), dismissing the claim of Frank Labby (“Labby”). Yopp and LME were represented by COS attorneys, Jonathan Stokes and Leisa Lawson.
 
Yopp and LME purchased a business from Labby in 2017. In October of 2018, Labby filed suit against Yopp and LME. Amng other claims, Labby requested a declaratory relief that he was a member of LME. On October 22, 2020, the court granted Yopp and LME’s motion for summary judgment in the original suit, finding that Labby was not a member of LME. Jonathan Stokes was the primary author of the motion for summary judgment in the original suit.
 
Labby filed a second suit against Yopp and LME in July of 2022. In the second suit, Labby alleged that his unilateral act of agreeing to be bound by LME’s operating agreement caused him to become a member of LME.
 
COS moved for summary judgment on behalf of Yopp and LME on the grounds that res judicata prohibited Labby’s second suit seeking declaratory relief that he was a member of LME and his unilateral act could not cause him to become a member of LME.
 
Although Labby opposed the motion, the court granted the motion and dismissed Labby’s suit with prejudice prior to COS filing a reply brief on Yopp and LME’s behalf. Leisa Lawson was the primary author of the motion for summary judgment in the second suit.