Liberty Tax Loses Appeal on Franchisee Preliminary Injunction (1)

A trial court didn’t abuse its discretion when it refused to preliminarily block Liberty Tax’s former franchisees from running a tax preparation business near where they formerly operated under their franchise agreements.

Liberty Tax Service sued former franchisees Alexia Agnant and her New York company, Demetress Corporation, asking a district court to impose a preliminary injunction that would block Agnant and her company from preparing income tax returns for profit within 25 miles of where they previously operated under the “Liberty Tax” name, as well as from soliciting recent clients. In May, the US District Court ...