Jackson Hewitt Says Bankruptcy Precludes $7M Suit

Law360, New York (August 12, 2013, 9:08 PM ET) -- Jackson Hewitt Inc. on Friday asked a New Jersey federal judge to dismiss a $7 million suit filed by an Oregon franchisee alleging tortious interference, saying the franchisee’s claims were discharged when it signed a release as part of Jackson Hewitt’s Chapter 11 restructuring.

Jackson Hewitt argued in its motion to dismiss that its franchisee, Boise, Idaho-based FasTax Inc., had no standing to bring claims against it because eight of FasTax’s nine claims were discharged as part of the tax preparation company’s bankruptcy proceedings.

FasTax accused...
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