Dan Rozansky - Stubbs Alderton & Markiles, LLP

Stubbs Alderton & Markiles' litigators, Partner Dan Rozansky and Associate Celina Kirchner, successfully defended SA&M client Second Generation, Inc. before the California Court of Appeal.

Second Generation, a clothing distributor, entered into an agreement with Kody Brand, a clothing manufacturer, wherein Kody Brand would manufacture and ship various items of clothing that Second Generation would then distribute to major retailers in the United States. Kody Brand’s subsidiaries (all referred to as “Kody”) all performed different parts of the manufacturing and distribution process, but the entities were operated by the same employees and often performed overlapping tasks. After several years, Kody Brand began delivering shipments late then ceased shipping altogether.

Second Generation included a “liquidated damages” provision in its contract with Kody Brand. If a party to a contract with a liquidated damages provision breaches, the contract provides either a set damages amount or a formula for calculating how much the breaching party must pay in damages. Second Generation’s liquidated damages provision set damages at 2% of the contract price for any late order per day late.

When Second Generation demanded that Kody pay liquidated damages, Kody refused, and Second Generation sued. SAM filed a successful summary judgment motion on behalf of Second Generation. As a result of the summary judgment motion, Second Generation was awarded more than $2.5 million in liquidated damages and nearly $1 million in fees and interest. Moreover, all of the Kody Defendants were held to be the alter egos of one another, which made all of the defendants jointly and severally liable. This was critical as the primary stakeholders had considerable assets but the entities had nothing. Kody appealed from the $3.5 million judgment in Second Generations favor. After extensive briefing and oral argument, the Second Appellate District upheld the trial court’s decision on alter ego as well as the enforceability of the liquidated damages provision.

The Kody defendants argued that the liquidated damages award should be overturned, particularly since the liquidated damages award was more than seven times the actual damages Second Generation incurred. In enforcing the liquidated damages provision, the court rejected Kody’s hindsight test and instead focused the efforts Second Generation made at the time it entered to contract to ascertain the range of damages it would incur in the event of a breach.

Equally significant is that the Court of Appeal upheld the trial court’s finding of alter ego against all of the defendants. There is a paucity of cases in which courts find alter ego liability on summary judgment, and appellate courts are even less likely to uphold such a finding on appeal. In affirming the alter ego ruling, the Second Appellate District stated that SAM had presented “a veritable mountain of evidence” of alter ego liability and that an inequitable result would follow if the Kody defendants were not found to be jointly and severally liable.

Through the hard work and legal strategy formulated by the SAM team, Second Generation was able to obtain and uphold a high liquidated damages award and will be able to pursue the damage award from each of the defendants, who are jointly and severally liable.

Stubbs Alderton & Markiles is pleased to announce that Daniel Rozansky has been ranked in the 2019 edition of Chambers and Partners for Litigation: Media & Entertainment. He has received this honor for the past 8 years consecutively. Chambers and Partners rank individual lawyers in their practice area(s) on the basis of their legal knowledge and experience, their ability, their effectiveness, and their client-service. The rankings are determined by 150 editors and researchers who talk to lawyers and clients year-round, conducting in-depth phone interviews.

Daniel Rozansky is a Partner of the firm in the Business Litigation Practice. Clients engage Dan before disputes ever arise to advise on strategies to minimize litigation risk and to put clients in a position for a successful outcome if litigation does arise. For example, he regularly reviews television pilots, screenplays and other material in development to assist those clients in identifying and avoiding potential liabilities; he advises clients, including Fortune 100 companies, on best practices for recording communications; he counsels clients on best practices to protect trade secrets and other confidential information; and he guides clients contemplating exiting unfavorable business relationships. When disputes arise, Dan brings his decades of experience at AmLaw 100 and 200 firms and his relentless approach help achieve the best possible outcome for his clients. This approach has led Dan to be recognized as an industry leader, including being listed as a top entertainment and media litigator in Chambers USA (2011-2018). In 2013, 2014, and 2016, he was featured in Variety’s “Legal Impact Report,” which names the top attorneys who are making a significant impact in the entertainment industry.

In areas of entertainment and media litigation, Dan represents clients across multiple platforms including film, television, music, concerts and touring, and digital media. As a result of his well-recognized skills, Dan has prevailed in a number of high-stakes entertainment cases, including some of Hollywood’s most significant cases in the areas of copyright, trademark, First amendment, profit participation, reality television, right of publicity, rights of privacy and breach of implied contract.

Dan’s achievements are not limited to the entertainment industry. He has successfully represented clients in the real estate, toy, banking, insurance, restaurant, clothing, luxury goods, and travel industries, in such areas as trade secrets, partnership, contract, and unfair competition disputes. While Dan is known for his willingness to “take it all the way”, Dan’s goal is to design a strategy to put his clients in the best position for early dismissal including through motions to dismiss, anti-SLAPP motions, summary judgment motions, and favorable settlements. As a result, not only has Dan achieved early dismissal of multiple claims and actions, but he has also prevailed in cases short of trial, resulting in significant recoveries. When cases do go to trial, Dan has achieved great success at the state, federal and appellate levels. In all instances when his clients prevail, Dan looks for opportunities to recover their attorneys’ fees and has, in fact, recovered millions of dollars in fees for his clients.

Stubbs Alderton & Markiles, LLP is pleased to announce that six lawyers have been named to the 2018 Southern California Super Lawyers. Super Lawyers is a rating service of outstanding lawyers from more than 70 practice areas who have attained a high-degree of peer recognition and professional achievement. The patented selection process includes independent research, peer nominations and peer evaluations.

Super Lawyers Magazine features the list and profiles of selected attorneys and is distributed to attorneys in the state or region and the ABA-accredited law school libraries. Super Lawyers is also published as a special section in leading city and regional magazines across the country. Lawyers are selected to a Super Lawyers list in all 50 states and Washington, D.C.

Stubbs Alderton & Markiles, LLP would like to congratulate the following attorneys named to the 2018 Super Lawyers list –

Scott Alderton is a founding partner of the Firm, Managing Partner, and a member of the Firm’s Executive Committee. Scott is co-chair of the Firm’s Venture Capital and Emerging Growth Practice Group and chair’s the Firm’s Interactive Entertainment and Video Games Group. Scott advises both public and private clients across a number of industries, including technology, manufacturing and distribution of goods in commerce, finance, the Internet, interactive video games, and new media industries.

Kevin D. DeBré is the chair of the Firm’s Intellectual Property & Technology Transactions Practice Group. Kevin advises entrepreneurs and companies that use intellectual property to build their businesses. Kevin has particular expertise in structuring and negotiating technology commercialization and patent licenses, strategic alliances, research and development collaborations, trademark licensing and brand merchandising agreements and manufacturing, distribution and marketing arrangements. He also counsels clients on compliance with data security and privacy laws and regulations.

Jeff Gersh is a Partner of the Firm. He has litigated, arbitrated, or mediated complex business and commercial matters, for both plaintiffs and defendants, whether individuals, public or private corporations, partnerships, limited liability companies and/or its members, shareholders and partners, involving various types of disputes, including contract matters, trade secrets, intellectual property (trademarks, copyrights and trade dress) negligence and fraud, employment, real estate, license agreements, the apparel and garment industry, and general business matters.

Daniel Rozansky is a Partner of the Firm in the Business Litigation Practice. Dan concentrates his practice on entertainment, privacy, First Amendment and complex business and real estate disputes. Dan’s areas of focus are entertainment finance, anti-SLAPP motions, unfair competition, trade secrets, intellectual property, surreptitious tape recording, reality television, profit participation, rights of privacy and publicity, real estate, partnership disputes and First Amendment issues. He represents clients both at the trial and appellate levels in state and federal court on a wide array of issues.

Michael Sherman is an accomplished trial lawyer in high-stakes, “bet-the-company” litigation, and has represented both large and early-stage companies as well as entrepreneurs in all facets of business and complex commercial litigation. He has evenly split his litigation practice on both the plaintiff and defense side of cases, has first-chaired numerous trials in complex matters in industries as varied as energy, securities, healthcare, environmental, consumer products, technology, project development/finance, advertising, real estate and apparel, and is highly skilled in class actions and unfair competition law.

Joe Stubbs is a founding partner of the Firm, and a member of the Firm’s Executive Committee. He is co-chair of the Firm’s Venture Capital and Emerging Growth Practice Group, and of the Firm’s Mergers and Acquisitions Practice Group. Joe practices in the areas of corporate and securities law, emphasizing the corporate representation of both publicly-held and privately-held emerging growth and middle-market companies, venture capital and private equity firms, angel investment groups and investment banks.

The official Super Lawyers 2018 publication can be read in its entirety here.

For more information about Stubbs Alderton & Markiles, contact Heidi Hubbeling at or (310) 746-9803.

Stubbs Alderton & Markiles' Partner Dan Rozansky was featured in the Hollywood Reporter in a roundup of Hollywood law firm promotions and hires.

Dan concentrates his practice on entertainment, privacy, First Amendment and complex business and real estate disputes. In addition to his diverse litigation experience, Dan also counsels a broad array of clients on developing the best strategies to avoid disputes. For entertainment clients, he regularly reviews television pilots, screenplays and other material in development to assist those clients in identifying and avoiding potential liabilities. Dan’s areas of focus are entertainment finance, anti-SLAPP motions, unfair competition, trade secrets, intellectual property, surreptitious tape recording, reality television, profit participation, rights of privacy and publicity, real estate, partnership disputes and First Amendment issues. He represents clients both at the trial and appellate levels in state and federal court on a wide array of issues.

Los Angeles, CA, January 16, 2018 (Newswire.com) - Stubbs Alderton & Markiles, LLP, Southern California’s leading business law firm, has announced that Dan Rozansky has joined the firm as a partner in its Sherman Oaks office. Mr. Rozansky will join the Business Litigation practice group.

“Dan is a fantastic addition to our firm” commented Scott Alderton, Managing Partner. “Not only does he augment our litigation practice at a very senior level, which is the fastest growing segment of our firm, he also brings a synergy to our entertainment and digital media practices, which are at the core of our technology expertise. Dan would be a great asset to any firm in the country, and we feel very fortunate that Dan chose to join Stubbs Alderton & Markiles.”

Mr. Rozansky concentrates his litigation practice on entertainment, privacy, First Amendment and complex business and real estate disputes. Recognized as an industry leader, Dan has been listed as a top entertainment and media litigator in Chambers USA (2011-2016). In 2013, 2014, and 2016, he as featured in Variety’s “Legal Impact Report,” which names the top attorneys who are making a significant impact in the entertainment industry. Prior to joining Stubbs Alderton & Markiles, he worked at Jenner & Block’s Los Angeles office.

Dan Rozansky stated, “I am thrilled to be joining the firm. It is rare to find a business law firm of this size with such high quality corporate lawyers and litigators under the same roof. I chose Stubbs Alderton because its technology focus and deep bench of talented attorneys will allow me to continue delivering excellence to my clients.”

To view the full press release, visit here.
To view the story on the SFV Business Journal, visit here.

About the Stubbs Alderton & Markiles Business Litigation Practice
The Firm’s business litigators have significant depth and breadth of resources and a detailed knowledge of clients’ industries and business concerns. As trusted counselors to middle market businesses, and particularly early stage, growth companies and entrepreneurs, we understand that how a company or entrepreneur handles dispute risk oftentimes is the difference between business success and failure. For more information about the Business Litigation practice at Stubbs Alderton, click here.

About Stubbs Alderton & Markiles, LLP
Stubbs Alderton & Markiles, LLP is a business law firm with robust corporate, public securities, mergers and acquisitions, intellectual property and business litigation practice groups focusing on the representation of venture backed emerging growth companies, middle market public companies, large technology and Internet companies, entertainment, video games and digital media companies, investors, venture capital funds, investment bankers and underwriters. The firm’s clients represent the full spectrum of Southern California business with a concentration in the technology, entertainment, video games, apparel, consumer electronics, and medical device sectors. The firm’s mission is to provide technically excellent legal services in a consistent, highly-responsive and service-oriented manner with an entrepreneurial and practical business perspective. These principles are the hallmarks of the firm. For more information, please visit www.stubbalderton.com.