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Treasure Chest Themed Value Mail Inc. v. David Morris Int'l Inc.

Court Explains Damages Awarded Direct Mail Advertiser Over Contract's Breach

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MEMORANDUM AND ORDERPlaintiff Treasure Chest Themed Value Mail, Inc. (“Treasure Chest” or plaintiff) commenced this action against defendant David Morris International, Inc. (“David Morris” or defendant), seeking damages, interest thereon, and attorneys’ fees for the latter’s failure to perform under their “Vacation Travel Mailing Participation Agreement.” The parties proceeded to a June 5, 2018 bench trial before this Court, at the conclusion of which plaintiff’s motion for a directed verdict was granted. This Memorandum and Order constitutes the Court’s findings of fact and conclusions of law consistent with that ruling. See Fed. R. Civ. P. 52(a).BACKGROUNDTwo witnesses testified at trial. Plaintiff called Richard Shane, Treasure Chest’s founder and chief executive officer. Affidavit of Richard Shane (“Shane Aff.”)1, May 21, 2018, Dkt. No. 39. The direct testimony of Mr. Shane was by affidavit pursuant to court order. Defendant called David Morris himself solely as an impeachment witness.Treasure Chest is an advertising company that “primarily employs direct mailing and digital media to deliver advertising materials to consumers.” Id.3. To that end, Treasure Chest “maintains a proprietary database comprised of the names and addresses” of 1.4 million “individuals in the United States who have expressed interest in vacation travel by requesting travel-related information directly from Treasure Chest and/or travel-related periodicals.” Id.

4-5; see Trial Transcript (“Tr.”) 26:4-14.In January 2016, David Morris contracted with Treasure Chest, pursuant to a “Vacation Travel and Mailing Participation Agreement” (the “Contract”), to include advertising materials for Arosa Cruises and AutoEurope in Treasure Chest’s Spring 2016 mailing to the individuals in its database. See Shane Aff.

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