1. Should two partners who have agreed to separate be forced to continue the LLP’s existence for a certain period of time?
2. Could it be argued that the debt actually was incurred once C&E had notice of that they had infringed on Dillard’s trademark?

Chargois and Ernster(C&E) were individuals who formed and registered a limited liability partnership to operate their law practice in 2002. In an attempt to solicit business, C&E developed a Web site in June 2003 which included a link using Dillard Department Stores’s corporate name and trademarked logo. Dillard's sued C&E for trademark infringement, but during the litigation, Chargois and Ernster executed a separation agreement that provided for dissolution of the partnership. C&E‘s registration as an LLP was not renewed with state authorities and their registration expired later that same year. The court entered a final judgment ordering "Chargois & Ernster, L.L.P." to pay Dillard's $143,500.

  • CreatedNovember 06, 2014
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