Case Study

AT ISSUE: Turkington USA, a manufacturer of commercial baking equipment, entered into a contract with a German manufacturer to provide equipment components. Turkington outsourced some of the work to JBS Process Engineering, a British manufacturer. JBS sent Turkington products that didn't meet the specifications stated in the contract. When JBS failed to correct the problem, Turkington sued for breach of contract and enlisted Womble Carlyle attorney Mark Henriques to represent them in the suit.

SUMMARY: The key to the case was venue. JBS wanted the case to be heard in a British Court, where it would be on "home turf." But Henriques argued that the case rightfully belonged in North Carolina Superior Court. He based his argument on a clause in the contract between the two companies that said the contract was governed by North Carolina law and that JBS consented to settle any lawsuits here.

After Turkington sued in North Carolina, JBS tried to force the case to be moved out of the country by refusing to show up for the hearing. Instead, the judge in Goldsboro, N.C., decided the case properly belonged in Superior Court. And since the defendants did not respond to the complaint or appear in Court, he ordered a default judgment in Turkington's favor.

RESULT: Turkington won a default judgment of $1.2 million in October, 2008. In addition to recovering its losses, the company also was able to enforce its contractual rights to have disputes settled in the United States. Turkington proved it could enforce international contracts, which often prove more complicated to enforce than domestic agreements.

ABOUT THE ATTORNEY: Mark Henriques has a wide range of business litigation experience, including breach of contract disputes. Mark's clients include companies in the banking, consumer finance, retail, pharmaceuticals, health care, information technology, construction and real estate industries. He practices in the firm's Charlotte office.

Read more Womble Carlyle Case Studies...