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Manty v. Ahmad Helal (In re Fifty Below Sales & Mktg.)

Manty v. Ahmad Helal (In re Fifty Below Sales & Mktg.)

Ruling
Bankruptcy court abstained from non-compete and confidentiality claims against debtor's former employer.
Procedural posture

Plaintiffs, a bankruptcy trustee and a purchaser of a bankruptcy debtor's ongoing business, brought an action in state court against defendant former employees of the debtor to enforce covenants not to compete and of confidentiality in the employment agreements of the employees. The employees removed the claims to the bankruptcy court, and the trustee and the purchaser moved for abstention and remand to state court under 28 U.S.C.S. § 1334(c).

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Commercial opinion summary, case decided on April 12, 2013 , LexisNexis #0513-034