Jen Arnold and Bill Klein, married stars of the TLC series TheLittleCouple, lost a big chunk of their lawsuit over the reality series when a California federal judge rejected their fraud and conversion claims
, Defendants’ alleged fraudulent conduct that forms the basis of Plaintiffs’ fraud claim does not go beyond Defendants’ contractual obligations," states the summary judgment opinion. "Plaintiffs’ fraud claim is premised on the defendants’ alleged misrepresentations made in connection with the profit participation statements, which were provided to Plaintiffs as part of defendants’ contractual obligations.
Later, in the decision, in examining whether rescission of IP rights conveyed in an option agreement is available as a remedy, Judge Kronstadt rules in the negative partly because Arnold and Klein have failed to show a triable issue as to whether they were fraudulently induced into the contract.
. The case moves forward on a contract breach claim from Arnold and Klein, although in light of the latest decision, the litigation is a decent bet to be settled.
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