Sheppard secured another significant victory for client Stride, Inc. in its long-running trademark infringement and false advertising dispute with Florida Virtual School (FLVS), obtaining a court-ordered sanctions award of more than $1.3 million in attorneys' fees and costs against FLVS and its attorneys.
On July 14, 2026, the U.S. District Court for the Middle District of Florida awarded Stride $1,311,959.10 in attorneys' fees and costs after finding that FLVS and its attorneys pursued meritless nationwide damages claims despite lacking evidentiary support for nationwide injury or actual damages. The court held FLVS and multiple current and former in-house and outside attorneys jointly and severally liable for the sanctions award.
The ruling follows an April 2026 decision by the court granting Stride's Rule 11 motion and finding that FLVS's pursuit of nationwide damages was frivolous and sanctionable. The court found that FLVS and its counsel acted in "bad faith" through their "belligerent prosecution" of claims seeking more than $6 billion in damages, despite discovery closing without evidence supporting any nationwide injury or actual harm.
Following a full-day evidentiary hearing, Judge Gregory Presnell determined that Stride was entitled to recover $910,919.26 in attorneys' fees and $401,039.84 in costs, for a total award of $1,311,959.10. In its order, the court reaffirmed sanctions against FLVS and its attorneys, denied efforts by certain attorneys to avoid liability, and concluded that a substantial monetary sanction was necessary to deter similar conduct.
The sanctions award marks the latest victory for Stride in the long-running trademark dispute, following Stride's complete trial victory in 2023 and the Eleventh Circuit's January 2026 decision affirming the district court's rulings "across the board," which Sheppard previously detailed in Landmark Win for Stride, Inc. in Eleventh Circuit Trademark Appeal.
Steve Hollman, who serves as lead counsel for Stride, said: “We appreciate the court’s opinion which reaffirms the proposition that in any case – whether routine or exceptional – civil litigants and the court need to be protected from abusive claims that are not well founded in fact or warranted by existing law. Hopefully, these sanctions will serve to deter FLVS and its various many counsel from frivolous litigation in the future."
Stride also continues to seek an "exceptional case" determination under the Lanham Act and an additional award of attorneys' fees and costs.
The Sheppard team included Steve Hollman, Abram Shanedling, Anne-Marie Dao, Maria-Laura Coltre and Teresa Morin.
Read the order here.