Miss Bees Snoworld, LLC d/b/a Brooke's Sno World, Brooke Hyde, Michael Hyde v. Kaci Hale Guidry, Lee Guidry, The Dugout of Thibodaux, LLC and K-Lee Snoworld, LLC

CourtLouisiana Court of Appeal
DecidedJune 18, 2021
Docket2020CA0946
StatusUnknown

This text of Miss Bees Snoworld, LLC d/b/a Brooke's Sno World, Brooke Hyde, Michael Hyde v. Kaci Hale Guidry, Lee Guidry, The Dugout of Thibodaux, LLC and K-Lee Snoworld, LLC (Miss Bees Snoworld, LLC d/b/a Brooke's Sno World, Brooke Hyde, Michael Hyde v. Kaci Hale Guidry, Lee Guidry, The Dugout of Thibodaux, LLC and K-Lee Snoworld, LLC) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Miss Bees Snoworld, LLC d/b/a Brooke's Sno World, Brooke Hyde, Michael Hyde v. Kaci Hale Guidry, Lee Guidry, The Dugout of Thibodaux, LLC and K-Lee Snoworld, LLC, (La. Ct. App. 2021).

Opinion

STATE OF LOUISIANA

COURT OF APPEAL

FIRST CIRCUIT

NO. 2020 CA 0946

MISS BEE'S SNOWORLD, LLC D/B/A BROOKE'S SNO WORLD, BROOKE HYDE, AND MICHAEL HYDE

VERSUS

KACI HALE GUIDRY, LEE GUIDRY, THE DUGOUT OF THIBODAUX, LLC, AND K-LEE SNOWORLD, LLC

Judgment Rendered: JUN l 8 2021

******** Appealed from the 32nd Judicial District Court In and for the Parish of Terrebonne State of Louisiana Case No. 180288

The Honorable Randall L. Bethancourt, Judge Presiding

******** Robert J. Landry Counsel for Defendants/Appellants Tanner D. Magee Kaci Hale Guidry, Lee Guidry, Houma, Louisiana The Dugout of Thibodaux, LLC, and K-Lee Snoworld, LLC

Gregory J. Schwab Counsel for Plaintiffs/Appellees Houma, Louisiana Miss Bee's Snoworld, LLC d/b/a Brooke's Sno World, Brooke Hyde and Michael Hyde

********

BEFORE: THERIOT, WOLFE, AND HESTER, JJ. THERIOT,J.

In this case ansmg from a business dispute between the parties over a

snowball stand franchise, the defendants appeal from the trial court's award of

damages and attorney fees to the plaintiffs. For the reasons set forth herein, we

affirm.

FACTS AND PROCEDURAL HISTORY

Since 2008, Brooke Hyde and Michael Hyde have owned and operated

Brooke's Sno World, a snowball stand and restaurant in Terrebonne Parish. In

2014, after seeing an ad in the newspaper for Francorp, Inc., a franchise consulting

service, Brooke approached Rocky McMillian, a local independent sales

representative for Francorp, about franchising Brooke's Sno World. The Hydes

decided to contract with Francorp for franchise consulting services and formed a

new limited liability company, Miss Bee's Snoworld, LLC, for purposes of the

franchise. The services provided by Francorp were to "make the company . . .

franchisable," including the preparation of the Franchise Disclosure Document

("FDD") required by federal law, 1 which took several months to complete. In

addition to document preparation, Francorp provided franchisor training to its

customers. In August of 2014, the Hydes and several Brooke's Sno World

employees traveled to Chicago for two days of Francorp franchisor training, where

they learned about the process of franchising, marketing, development, and how to

train franchisees.

While Francorp was in the process of preparing franchise documents for

Brooke's Sno World, the Hydes also hired Rocky, through his newly formed

company, RPM Enterprises, to act as their liaison with potential franchisees. Aside

from identifying potential franchisees, Rocky's role was to take the reins on the

1 See 16 C.F.R. 436.l et seq.

2 franchising process to make it as smooth as possible and provide a "turnkey

business" to franchisees.

In August 2014, Brooke saw her childhood friend, Kaci Guidry, in the drive-

thru line at Brooke's Sno World. Brooke and Kaci had worked at a snowball stand

together in high school, and Brooke told Kaci about her plans to franchise

Brooke's Sno World. Kaci expressed interest in possibly owning a Brooke's Sno

World franchise. Although the franchise documents were not complete, Brooke

introduced Kaci to Rocky, and he began working with Kaci as a potential

franchisee pending completion of the documents by Francorp. Rocky went over

information about the potential franchise with Kaci, gathered necessary

information for financing, obtained bids on projects, and prepared equipment and

supplier lists for the franchise business. Brooke also introduced Kaci to her

banker, and Kaci began working with Russell Touchet at Synergy Bank to obtain

financing for the business.

Brooke and Kaci began discussing potential locations for a franchise

business, and Brooke suggested Thibodaux, Louisiana as a location because she

had observed customers traveling from Thibodaux to visit Brooke's in Houma.

Kaci agreed to Thibodaux as the potential franchise location, and Brooke began

looking for property. Brooke found a large tract of land in Thibodaux, and after

consulting with Kaci and Rocky about the location's suitability as a franchise

location, the Hydes purchased the Thibodaux property in October 2014. Although

the parties had not yet entered into a franchise agreement, Brooke explained that

she wanted to secure this land for the franchise location, so she and Michael went

ahead and bought it themselves.

By September or October of2014, Kaci began visiting Brooke's Sno World

once or twice a week for "an hour or so" at a time, and Brooke began teaching her

about the business. Although the franchise documents were still not complete,

3 Brooke testified that she explained to Kaci that everything she showed her would

have to be kept confidential, and she had her sign the same confidentiality and non-

competition agreement that she requires all of her employees to sign before

allowing her into the business. 2 During these visits to the snowball stand, Kaci was

able to observe Brooke's business and production processes and the roles of

different employees. At Brooke's direction, Kaci paid for and completed the

ServSafe Food Protection Manager Certification in October of 2014. By January

of 2015, Brooke started "extensive training" with Kaci, which Brooke described as

approximately two days a week for four to five hours each day initially, and

increasing from February through mid-May to three to four days a week for four to

five hours each day. This training was conducted both by Brooke and by her other

employees. In contrast to the testimony from Brooke and several Brooke's Sno

World employees that they provided in-depth training on all aspects of the business

to Kaci over an extended period of time, Kaci denied that she was ever trained at

Brooke's. According to Kaci's testimony, she only went to Brooke's Sno World to

visit Brooke, and she denied ever seeing Brooke's recipes, food presentation

techniques, marketing procedures and strategies, advertising and promotional

material, customer lists, or supplier lists.

The Thibodaux property purchased by the Hydes for the franchise was too

large to be used strictly for a Brooke's Sno World franchise, so the Hydes had it

subdivided into two separate tracts. Thereafter, Kaci signed a purchase agreement

on December 19, 2014 to purchase the larger tract for her Brooke's Sno World

franchise.3 Although the original closing date was delayed and the purchase price

2 Kaci's testimony about whether she discussed confidentiality and non-competition agreements with Brooke was inconsistent. She denied that she signed any agreement concerning those topics.

3 According to Brooke, Kaci specifically requested to buy the larger tract for her franchise so that

she could add an outdoor play area.

4 was renegotiated, the Guidrys ultimately purchased the larger tract from the Hydes

on May 15, 2015, for $200,000.00.

In January 2015, Kaci formed a limited liability company for the franchise

business, which she named K-Lee's Snoworld, LLC. Over the next few months,

Brooke and Kaci proceeded with building plans for the franchise location, 4

obtained building estimates from contractors, began working with the Board of

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Stobart v. State Through DOTD
617 So. 2d 880 (Supreme Court of Louisiana, 1993)
Evans v. GRAVES PONTIAC-BUICK-GMC TRUCK
576 So. 2d 1025 (Louisiana Court of Appeal, 1991)
Smith v. State
899 So. 2d 516 (Supreme Court of Louisiana, 2005)
Pinsonneault v. Merchants & Farmers Bank & Trust Company
816 So. 2d 270 (Supreme Court of Louisiana, 2002)
Succession of Etienne
118 So. 3d 1224 (Louisiana Court of Appeal, 2013)
Whitney Bank v. Nogg, L.L.C.
194 So. 3d 819 (Louisiana Court of Appeal, 2016)
Molinere v. Lapeyrouse
214 So. 3d 887 (Louisiana Court of Appeal, 2017)

Cite This Page — Counsel Stack

Bluebook (online)
Miss Bees Snoworld, LLC d/b/a Brooke's Sno World, Brooke Hyde, Michael Hyde v. Kaci Hale Guidry, Lee Guidry, The Dugout of Thibodaux, LLC and K-Lee Snoworld, LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/miss-bees-snoworld-llc-dba-brookes-sno-world-brooke-hyde-michael-hyde-lactapp-2021.