APPEALS COURT UPHOLDS JLM COUTURE IN CONTRACT DISPUTE WITH HAYLEY PAIGE GUTMAN

NEW YORK, Jan. 25, 2022 /PRNewswire/ -- The Second Circuit Court of Appeals today strongly affirmed that Hayley Paige Gutman breached her clear and unambiguous employment contract and is not entitled to any additional compensation. The court stated that "JLM had no duty to pay Gutman if she did not work." It was Ms. Gutman who resigned and who breached her employment contract, not JLM, the Appeals Court ruled.

The Appeals Court also affirmed that JLM was completely within its rights to enforce a noncompete clause in the employment contract. The Court stated that, "Gutman provides no reason to question the district court's determination that this Noncompete Agreement was reasonable and fully enforceable in light of her unique role at JLM." They also stated that the District Court was correct in upholding JLM's rights to the brand name and marks in trade and commerce, and "decline(d) Gutman's invitation to depart from the plain language of the Contract."

In addition, the Court in no way ordered the Instagram account to change hands nor did they determine ownership of the account. They expressly declined to do so. They remanded this issue back down to the District Court as that is the proper procedure.

"[Ms.] Gutman agreed to sign away various rights to JLM in exchange for her salary, a stream of royalty payments, and JLM's investment of time and capital in the Hayley Paige brand," the Appeals Court wrote in a 35-page decision. "She offers no persuasive reason why the Contract no longer binds her, and the district court did not err in enforcing its clear provisions."

ABOUT JLM COUTURE, INC.

JLM Couture, Inc. (OTC: JLMC) is a multi-label bridal house engaged in the design, manufacture, and distribution of bridal gowns and bridesmaids dresses. The company's bridal gown collections are Hayley Paige, Blush by Hayley Paige, Lazaro, Tara Keely, Ti Adora, and Allison Webb. The bridesmaid collection is Hayley Paige Occasions. JLM Boutique, the company's flagship bridal store, is located in West Hollywood, California.

SOURCE JLM Couture

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