Hamden v. Total Car Franchising Corporation, No. 7:2012cv00003 - Document 38 (W.D. Va. 2012)

Court Description: MEMORANDUM OPINION. Signed by Judge James C. Turk on 8/7/12. (med)

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CL S OFFI U S. ST. ERK' CE Di COURT AT ROANOKE, VA FIED L I TH E UN I N TED STATES DI STR I C O U RT CT FO R TH E W ESTER N D I STRI T O F V I G I I C R N A R oanoke Di s on vi i AL 2 7 2 1 6 22 B L ,U I z - ,CL ERK . . E DEV IN H A M D EN , CaseN o.7: cv12- 00003 Pl ntf ai if, M EM O M N DU M O PI I N N O Y. TO TA L CA R FR AN CH I N G CO RP. SI , d/ a C O LO R S O N PA M D E, b/ By: H on.Jam es C.T urk Se or U nie St e Di t i tJudge ni t d at s s r c Defendant . 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Dk . l 3 6) Furhemor t tr us dt e ant e e ofHa 2- . t r e,he ems e o xpli he xtnt mden' ge a cae s ogrphi ra m er ia sa itc la e a saitc ma ke i a e - we eno de i d i eihe ag e me topolt n ttsi a r a nd t tsial r tng r a r t fne n t r r e nt be w ee t pa tes The t r oft Fr nc s Agr e e w a 1 ye r . t n he r i . em he a hie e m nt s 5 a s TheFr mwhie Ag ee e as i l d aco s r m nt lo ncude vena nott c nt o ompe e,i Se ton 9, tte t n ci en ild t g sa Dute ofPari sUpon Expiai n, r na i orNon- ne l'whi h sae . t ht nd Ri is te r to Te mi ton Re wa,' c t td' Pos T e m C om pe ii n- For2 yea sf l w i t t r i ton of t r tt o r olo ng he e m na i t sAgee ntneihe younora ofyo pa t rs or hi r me tr ny ur rnet) s r hol rs s l e ei o ha a fna a or ha e de t) hal ngag n, r ve ny i ncil m a e e i e e t die ty ori r ty eihe a a ofk er nag m nt nt r s , r c l ndiec l t r s n t , pr i t , nt e pl e,die t ,s r hol er f a hi ee or opr e or age , m oye r c or ha e d , r nc s parne ,i a ot m obieoftxe pantr t r tonbusne si t r n ny her l i d i eso ai i s n t s a r m e r polt s a i tc a e i w hi h t t r ior i he t nda d t o ian t ts i al r a n c he e rt y s l ae oc t d. ( . 32- a j9 .TheNonDktNo. 2, t ) compeiinAgre ntpr de amor dealdverinof tto e me ovi d e tie so t co na tnott c he ve n o ompee.Specf ly,tpr bie c t ikal i ohi td ompeii El urngt t m oft tton idl i he er he Fr anchi A greem ent'and pr ded t : se ' ovi hat 4 I t Fr nc s Agr eme i t r na e be or ise r ton dae, f he a hie e nt s e mi t d f e t xpiai t ori yo a sg orta f ryouri e es i t Fr nc s f u s i n r ns e ntr t n he a hi e A gr ent t any pers orbusi or zaton except eem , o on ness gani i a c di t Se ton 7 oft Fr nc s Agr e nt t n Yo c or ng o c i he a hie e me , he u co na ,f a pe i d of2 yea safe t r i ton, r ns e or ve nt or r o r t r e m na i t a f r as i e , t e s gnm nt not o ngage a an o ne ,ope a o ,ori a s w r rtr n ny m a ge i lc pac t i a bus ne se ged i t s m e or na r a a iy, n ny i s nga n he n sm ia t ofa a a e t c ogi wihi t m e r ia i l r ype ppe r nc e hnol es t n he topolt n s a i tc a e i whi h t Fr nc s A gr em e ' D e i t d t tsi al r a n c he a hi e e nt s s gna e M a ke i A r a i l a e ot rt an a an a horze f a hi e r tng e s oc t d, he h s ut i d r nc s e orempl oyeeofa he Col so Pa a fa hie. not r or n r de r nc s ( tNo.3 4,a 1.TheNonDk. 2- t ) compeii Agre ntaloc ane as part nontton e me s onti d e ae s i t ton pr son, c sae . olcia i ovii whih t td' D urng t t r oft Fr nc s A g e m e a f r 2 yea s a t i he e m he a hi e r e nt nd o r fer ist r i ton orahe isas i e orta f r You ag ee t t t e m na i r t s gnm nt r ns e , r ha You w ilne t rdiec l nori r c l s i i,i e,di r o l ihe r ty ndie ty olc t nduc ve t r t ke a a a c t m e w ihi t s a i tc lm a ke i a ea i a w y ny us o r t n he t ts i a r tng r n w hi h t D M A i l a e whe e yo ac ua l s r d durng t c he s oc t d r u t ly e ve i he t m oft s A gr ent er hi eem . (d..Laty, t Non- mpeii Agre ntc ane anon- s os e I ) sl he co tton e me onti d dicl ur pr vi i w hi h s a ed' o s on, c t t . D urng t t r oft Fr nc s A gr e e a t r afe ,you i he e m he a hi e e m nt nd he e t r ag e nott c re o omm uniat diecl ori r cl di get orus c e r ty ndie ty, vul o e f yourbe fto t be i ofa o he pe s orl le iy, or ne i r he neft ny t r r on ega ntt a t a s cr t w hi h a e pr pr e a y t Col son Pa ade ora ny r de e e s c r o i t r o or r ny i o m a i knowldgeorknow- de m e c i ntalunde nf r ton, e how e d onfde i r Secton 5 oft Fr i he anchi e A gr ent exceptasw e per i I s eem , m t. f t r i a t r i to oft s Agr e e ,Y o a e t tyou w il he e s ny e m na i n hi e m nt u gr e ha l ne r us o c i ntali or a i ort a s cr t ,i t ve e ur onfde i nf m ton r de e e s n he desi devel entoroper i ofany bus ness s alzi i gn, opm aton i peci i ng n a ppea a t c m ol e a Col r on Pa a a i t m . 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TheFr nc s Agr mentt r e d on M a 9, 1, Ha de c i a hie ee e m nde y 201 but m n ontnued wor ng a ki s a f a hi e be us he di no r lze t t r ha e d. H n de t tted,a Cox a e d, r nc s e ca e d t ea i he e m d nde m n es i i nd gr e t ta no tm e di Ha de com m i a oft ac slsed i Sec i n 8 oft Fr nc s ha t i d m n t ny he t i t n to he a hi e Agr m e t t r i t t A g ee e . On O c o r 1 2011 Tot le a l d H a de r m i i ee nt o e m na e he r m nt t be 2, , a m ie m n e nd ng hi t r ne hi f a hi e. O n N o m be 3 , 2011 ha ng now r a i ed hi Fr nc s m o e w s r nc s l ve z 0 , vi e lz s a hi e Agr m e t r had e d, m de no i d Tot t the woul no r ne t fa hie.Afe ee nt e m nde Ha n tfe al ha d t e w he r nc s tr r c i ng acalfom Tot lhe c e e vi l r a omplt l ce e ope a i on De embe 1 2011 e e y as d r tons c r , . 1 D i cuss on 11. s i A . A pplcabiiy ofR es ctve C ovenant i lt tri i s The i s be or t Cour i w he he t r s rc i co na si t Fr nc s a N o s ue f e he ts t r he e t i tve ve nt n he a hi e nd nCo pe ii A g ee e s a y t H a de s c r um s a e . To m a t s de e m i ton t m tton r m nt ppl o m n' ic t nc s ke hi t r na i he Co tc i r w he he t t r s û e m i ton' a t xpi a i n' ha t s m e o dif r nt ur ons de s t r he e m d r na i ' nd k r t o ' ve he a t e r fe e m eani undert Fr ngs he anchi e and N ons com petton A gr ent I t t m shave dif ent ii eem s. f he er f er 'Pe t t m soft FrnchieAgr m e t co r tpe i t rnew t Agr e en ha pased ( t No. 2 2, r he er he a s ee nt he rec rod o e he e m t d s Dk . 3 a !2 (ç uma , t ou o to rn w ti Age me t rvie y uh v : eiee t u wrt nn tc a lat t()ç Yo y a y r pin,e e hs re n po d d o a e d l rd o s it oie te s v e t r eb tn tmo et a sx mo t sbeo eti Ag e me tse p rto ..) h e u o r h n i n h f r h s r e n ' x iai n.. '. ' . mea ngst Cour m us t de i whe he Hamde tr i t d hi Fr nc s Ag ee nto ni he t t hen cde t r n e m na e s a hi e r me r whehe i e r d. l ge r l Pli ifa guest t r ti tvec na sdo nota yt hi t r t xpie n ne a , a ntf r hat he esrci ove nt ppl o m bec us ( )t ya yonl i t e ntafa hie tr naest Frnc s Agreme ,whih a e 1 he ppl y n he ve rnc s e emi t he a hie e nt c hedi no do,a ( t y a pl onl t pantr trtontc que ,whiehee l i l d t nd 2) he p y y o i esoai e hni s l xcusvey pe f m spa ntl sde r parwor ror i -es nt e i k.De e nta g st ta lt r src i c na ss d f nda r ue ha l he e titve ove nt houl ber a t a y upon t r i ton,w he e t r i ton i i t r e e br dl t i l ex r to e d o ppl e m na i r e m na i s n e pr t d oa y o nc ude pia i n. 1. Secin 9o heFr nc s Agr e nt to ft a hie e me W he i e r tng a c a tunde V igi a l w ,2t cou tfr tl n nt m e i ont c r r ni a he r is ookst t l ngua of o he a ge t a e m e a gi st wor 'herus l or na y,a popul rmea ng. Ciy of he gr e nt nd ve he ds ' i ua, di r nd t a ni ' t ' Chespea v.SttsSel-ns r r RikRee i Gr psI .628S. 2d539,541( 2006) a ke ae fl u es s tnton ou nc, E. Va. ( i D. M c ai I v. lnconCny.452S. 2d659,662( .1 ) Furhe,Cg o quotng C. cl n. nc. Ari t t, E. Va 995). t r ûnj wor o ca ei t conta wilbete t d asmea ngl si ar s bl me ni c n be d r lus n he r ct l r a e ni es f ea ona e a ng a gi n t i, nd t i i a pr s ve o t a her s e umpton t tt pa te ha no us d wor nee es l ' 1 l t i ha he ris ve t e ds dl sy. d. f he ' l ng ge oft c ntac i una bi a ua he o r t s m guous par e de i no c i r d whe de e m i ng t , ol vi nce s t ons de e n t r ni he i e oft pate .AenaCas & Sur Co. Fie uadCop.455S. 2d229, 2 ( 1 ) ntnt he ris t . . v. r c r r , E. 23 Va. 995 Cç he ac r ti complt o isfc andi pli a una guousi istr ,aco ts W n ontac s ee n t a e s an nd mbi n t ems ur i notfe t s rhf isme ngbe re o eac or t ani yondt c ta tis l.) Tot e e a g te exit he onrc tef' . he xtnt mbiuiis s, ' t c r c i c t ue a i tt dr f e . J e P. ns e n. d. N a ' Uni Fie I . he onta t s ons r d ga ns he a t r os ph Bor t i Lt v. t l on r ns Co.828F. 242,245( h Ci.1 . , 2d 4t r 987) De e n ' a gum e t te r to i buto f r o t r i ton i no pe s s ve i f nda t s r nt ha xpia i n s ne o m f e m na i s t r ua i n t co e oft s c f c co r c be or t Co t The Fr nc s A gr em e pr vi s i a he nt xt he pe ii nt a t f e he ur . a hi e e nt o de n 2A lhoughGeor alw govenst c rcttr ge r ly, To ala Ha de a ee t tVigi a l w a i st t gi a r he onta e ms ne al t nd m n gr d ha r ni a pple o teitrrtto o te rsrciec v na t.( tNo 3 -, tj1 )(ltrrtto ..ojtersrcie h nep eain f h etitv o e ns Dk. . 22 a 3 tnep eain .lf h etitv t c v n n sc n an d i t i Ag e me t.. h l b c n tu d i a c r a c wi t elwsof ttt ) eet e o e a t o ti e n h s r e n . s a l e o sr e n c o d n e t h a h sae s wh r h rsrcins i (r)t a l a dt lwso tesaes wi d tr n tee fr eblyo tec v n nst be etito t)s ae o ppy, n he a f h ttt) l eemie h n oc a ii fh o e a t o l t p ro e i t o esaes .) Th r src in a py i Vig n a t u Vig na Iw g v r st eritp rtto . e fnn d n h s t tt l'. e e tit s p l n r i i,h s r i i a o e n h i n e eai n ' o bo de s e ton e il d t s Te m Com pe ii n't tç ' 2 ye r f l i t t r i i l d ubs c i ntte d t r po tto ' ha d or F a s olow ng he e m naton oft sAgre nt..'Ha n Shal( qe gei ..a ot rmobieoftxe pant hi e me .' mde i l not nga n . ny he s l i d i rsorto busnes ..' ( . . 2,a j9)(mphai add l3 Defnda ctsaha ulof et ain i s.. DktNo 32- t ' e ss ed . e nt ie ndf c e i whi h c t havehel t tt r i to i l se r ton ort tt tr sar as s n c ours d ha e m nai n ncude xpia i ha he e m e i er ha a e.Se eg.N aur zwn ofAmerc l v. es Gr LLC,484 F.Supp.2: nt c nge bl e . , t ata ia. nc. W t oups 1 392, ( M d. ) Da elBooneClni,PSC v.Dah n,73 S. . 488,490( Ct 401 D. 2007 ; ni ic ha 4 W 2d Ky. . App.1 7) TheCou tdoe notfndt s c e i tuci be aus c r ti eprtton 98 . r s i he e ass nsr tve c e ontac ntr eai ne es a iy va i w ih t l ngua oft s ii c r c a ne t roft c r c si t s c s rl res t he a ge he pec f c onta t nd ihe he ont a t n he e c esa e t s m e a i t pr s ntca e. I e i D a e Boone,t c tahe r vi wi ût as r he a s n he e e s nde d, n ni l he our r e e ng the c nrc a awh l'h l t a tr n to me n e dn a drj ce teplitf sc n e to o ta t s oe' ed h t emiain a s n ig n ee td h anif o tnin t ts m pl be us t w o dst na i a e r ton w e e bot us d i t c r c t y ha i y ca e he r enni ton nd xpia i r h e n he onta t he mus ha dif r ntm e ni . 73 S. . a 490. I t pr en c e,whe t conta ti t ve fe e a ngs 4 W 2d t n he es t as n he rc s r viwe asawhol i i cea t tt r i tonha apa tc a mea ng t ti expl ne i e e d e t s l r ha e m na i s riul r ni ha s ai d n dea li Se ton 8oft Fr hieAgr e e t ti n c i he anc s e m n. Furhe m or ,t Fr hi e A gr e e be we n H a de a To a i ditngui ha e t r e he anc s e m nt t e m n nd t l s s i s bl fom t c r c i N a ur la n e n t ug bot con r c sus t l ng r he ont a t n t a v w ve ho h h t a t e he a uage C e m i to ofa i r na i n t n a r e e f a r s n.' 48 F. g e m nt or ny ea o ' 4 supp. a 401 U nlke t c r ti Na ur w n whe e zd t . i he ontac n t aLa r t c ts a e t tt e r ton ofa a e m e ti a m or s cii t oft r i ton, a he our t t d ha ç xpi a i an n gr e n s e pe fc ype e m na i ' ' c l i t twasno unde m i d by 'hef c t tbot wor a a i ot rpr sonsof oncuson ha t r ne ç a t ha h t ds ppe r n he ovii t Fr hieAgre ntl' t Frnc s Age me bewe n Hamde andTot doe mor he anc s e me g' he a hie re nt t e n al s e t n m e el i l bot w or ;i pr de a de aied ls ofc tons unde w hi h t ha r y nc ude h ds t ovi s t l it ondii r c he A gr e e t m i t s a om a i aly a apr vi i n f t fa hi e t t nui t t e m nt er na e ut tc l nd o s o or he ' nc s e o e na e he r 3A pro bol s econ e il ûYourOblga i 'be nsç ft sAgr emen tr i t franyr a on, ...' a ir ded ubs t ntted f i tons' gi ç hi l e t em naes o es ' nd g e o t ls rq ie nst b c mpee b tefa c ie i tee e to atn nain ( tNo 3 2 a j9. o s n o ite urme t o e o ltd y h rn hse n b v n f e ni to . Dk . . 2-, t ) Howeve ,none oft s r r m e spe t n t pos -e m compe ii r he e equie nt rai o tt r tton. 8 Ag ee ntvol a iy.I r me untrl d.The e or unlket c r i N aur la t sCour doe notne d r f e, i he ou t n t a vFn, hi t s e t d ndoverba kwa ds' k sor t pli m e ni oft eeve yda t r s' o fnd t ti ot be c r 'or t t the an a ng hes di r y e m 't i ha n t Fr nc s Ag ee ntbef r t sCour t r i ton a e r ton do notha t s me he a hie r me o e hi t em na i nd xpia i ve he a mea ng.L. ni ds z Ha ng de e m i t tt nni ton a e r ton a e nots vi t r ned ha e na i nd xpia i r ynonym ous t Cour m us , he t t ne de i whe he H a de t r i t d t Fr nc s A g e m e . A lhough t r i ton a xt c de t r m n e m na e he a hi e r e nt t e m na i nd e r to a ene rex i il de i i a t r ss c i be us t co r thasnone, n t xpia i n r ve plc ty fned n e m e ton ca e he ntac i he pr c ng s c i e il d ' i a i n a Te m i ton,' he Fr hi e A gr e e s a est e edi e ton, ntte t ol to nd r na i ' t v anc s e m nt t t he Ag e me wiltr naei a oft f l nge nt oc ur:( )t ma age r l r e nt l emi t f ny he olowi ve s c s 1 ç You ke ne a asi ntfrt be ftofce t s'( C vol aiya sgnme o he nei rdior, 2)ç ' You untrl bandont fa hie busne s' he r nc sd i s r ' ( ç peii f ba r ptyf lqui ton,ror niai orsmia pr e ngi fldbyor 3) t tton or nk u c or i dai e ga z ton, i lr oce di s ie A a i tyou;yourr a orpe s lpr pe t i a t c d orl e upon by a govenz e of i i l ga ns el r ona o ry s ta he evi d ny m nt f c a o c mp tn j rs ito , ()t o aef u dg iyb ac u t.. fafl n , ( )d uma ea f o ee t u idcin' 4 t u r o n ul y o r . o eo y' 5 t ' y t ' Yo k maei mirpr e ai oromiso unde t a quiii oft fanc s ' ()û f l.. tral se esntton sin r he c ston he r hie, 6 s ai . ' You t c ywiha maera pr vii oft sAgre nt'( C e o ompl t ny t il o sons hi e me ,'7) t ngagei numeous You n r b sn s a t te i as b tn ilyu tia matr'()t ue a ei a yo eaino te u ie s ci is n u sa tal nehc l te , 8 k ng g n n p rto f h vi ' Yo fa hie busnes outi t trioy, ()tYoufi t c eetani i ama rt ou rnc sd i s sde he ertr ' 9 ç al o omplt ri ng n ' nne o r stsa ton,' 1 ç dicl eourta sc esorohe c i nta i or ton, a ( 1 aifci '( 0) t You s os rde e r t t r ontde il nf mai ' nd 1 ) ' t û You a t m ptt m a a una ho i ed t a f r as i e ,s e ore um br nc ofyourrght te o ke n ut r z r ns e , sgnm nt al nc a e i , tteori ee tunde t sAgee t' (d. tj8 .Fi ly,hes ci pr de kYouma il ntrs r hi r men.' l a ) nal t e ton ovi s t y t r i t t s Agr em e w ihoutt a f ronl i you a e i f lc pla e w ih a 1ofis e m na e hi e nt t r ns e yf r n ul om i nc t l t pr viinsa gi us60 da noi ofyoz itnt' (d.. o so nd ve ys tce lr ne . l ) ' 9 Ha n di notco mi, nd Cox hasa tedHa n d d notcommi, ny oft a t mde d m ta dmit mde i ta he cs t twoul gi rs t a o a i tr na i Nordi Ha n notf Tot lofhi i e i t ha d ve ie o ut m tc e mi ton. d mde iy a s ntnton o t r i t t ag e m e . Thus unde t pl i l ngua oft Fr hi e A gr e e , he e m na e he r e nt , r he a n a ge he anc s e m nt t A g e e di no t na e. Be a e t Fr nc s Agr m e di nott r i t ,bu r t r r em nt d t enui t c us he a hi e ee nt d e m na e t a he e r Se ton 9 doesnota y a H a d n i n bo by ist r s4 xpied, c i ppl nd m e s ot und t em . M or ove ,Sec i 9 doe no a y bec us Pl ntf do no e e r ton s t ppl a e ai i f es t ngage i pa ntr t a i n i esor ton, butr t ro y pe f m spantl s de r par5 Pli ifa g Se ton 9 i i pplc bl ahe nl ror i -e s nt e i. a ntf r ues c i s na i a e be us Sec i n 9 o y c r a ûm obie orfxe l aton pai r s or i busne si t ca e to nl ove s t l i d oc i nt e t at on i s n he s a r m e r ia s ats i a a e i whi h t t r ior i l t d' a H a de ope a e a t nda d topolt n t i tc l r a n c he e r t y s oca e ' nd m n r t s pantls d trpai busnes.( . 32- a j9)(mphassa i -e s en e r i s DktNo. 2, t e i dded) Dee ntsae t t . fnda tts ha t ppe r nc t hnol es' a us i t i usr i ude bot pa ntr s or ton a pai - r e û a a e ec ogi , s ed n he nd ty, ncl s h i e t a i nd ntf e a ' de r par Furhe ,bec us t tr G ppea a et cmol 'i us d i t r ct l t t nt e i. t r a e he e m ç a r nc e l ogy' s e n he e ia s o he Fr nchi e A g ee e ,D e e a s r m nt f ndan a g t r t i tve c na c r bot t s ofs vi es t r ues he esr c i ove nt ove s h ype er c . H o e r e n a s i a g ndo t D e e nt s sa e e t tû ppea a t hnol ' w ve , ve s um ng r ue he f nda ' t t m nt ha û a r nce ec ogy' i ude pai - e sde r pai,i co r c i t r e a i n, he pr sonsc l c ,c t s d ncl s ntl s nt e r n nt a t n e pr t to w n ovi i ont i t ours houl r s l t ny a r nti ons senc be w e a c a e t ti ge r ly and br dl i l i i e o ve i a ppa e nc i t y t en l us ha s ne a l oa y nc usve n c r c e ,a a c a e t ti m or s c fc i c a t r' n f voroft m or s c f c c a e. ha a t r nd l us ha s e pe i i n har c e ' i a he e pe ii l us Chanil Co t.Co . De t ofHi vsa Tr p.369S. 2d438,445( Ct App. tly npr m v. p . chwa nd ans , E. Va. . 1 )(ii M ut Liel .Co. Hil 1 U. 551 558( 904:.Hee,hersrctve 988 ctng ual f ns v. l, 93 S. , 1 r t e ti i c na i Seci n 9 s ii sç i r sor ton, whih i m or s c fct n t t r ove nt n to pec fe f nt e t a i ' c s e pe ii ha he e m pa ' l ppe r nc t c og es' us d i t r cial . Thus t t m pa ntr t a i gove nsa t a a e e hnol i ,' e n he e t s a , he er i esor ton r nd bas d on t pl n m e ng oft t m i do noti l pa n -es de r pa r t s r c s a e e he ai ani hat er t es nc ude i t l s nt e i ; he e vi e r 4Thi r a ngoft Fr nc s Agr emen i f t rr i or d b t lngu oft ot rr titvec nant i s e di he a hie e t s urhe enf ce y he a age he he esrc i ove s n t Agr m e ,a dicus e be ow. he ee nt s s s d l 5Eve Ha de sf a hi e c da e f r s cii t the wast pr de C n m n' r nc s andi t o m pe fed ha o ovi K PDR onl .'( t No. 2 1 a 1 . y ' Dk . 3 - , t ) 10 no i e c nge bl . Thus t Cour fndst r titvec na doesnota y t pai -es t ntr ha a e6 , he t i he esrci ove nt ppl o ntl s de r pa r a t r f e, a eHn nonl peror spaitl sde r pai,hei notbound nt e i, nd he e or bec us mde y f m n -es nt e r s by t s c i sr t i tons. he e ton' es rc i J. NoncompeeCl eo heNo compeii Agr me t aus ft ntton ee nt Aga n, ai i fa gue t t non- m pe e cl us i i pplc e be aus t Fr nc s i Pl ntf r s hat he co t a e s na i abl c e he a hi e Ag ee nte r r t rt n t r na e I t c t xtoft spa tc a ca e, f nda ' r me xpied ahe ha e mi t d. n he on e hi ri ulr lus De e nts a gum e t tt r i ton e m pa s sex r to i pa tc a l i pl usbl bec us t cl us r nt ha e m na i nco s e pia i n s r i ul r y m a i e a e he a e sa e :tl t Fr nc s Ag e m e i t rmi t be or ise r ton da e ..You c na , t t s tf he a hie r e nt s e na ed f e t xpi a i t . ove nt f aperod of2 year afert naton . .nott engage i t sam e or s m iart of or i s t enni i . o n he i l ype a aa tc oge ..'( t No.32- a 1 (mpha i adde .Thus i o de t gve ppe rnce e hnol is ..'Dk . 4, t ) e ss d) ,n r r o i e f c t e h wor i t c a e, . M c a n,45 S. 2d a 6 t r i t d a e r ton f e t o ac d n he l us D C. cl i 2 E. t 62, e m na e nd xpi a i mus ha difr ntm e ni bec us i t y di nott sclus woul benons nsc .The t ve fe e a ngs a e f he d hi a e d e ial lngua i t non- om pe ec a ec imst Cour' r a ng o t t r st r nai a a ge n he c t l us onfr he ts e di f he e m e mi ton nd e r ton i t Fr nchieAgr e e . Se M us el n v.Gls W or sL. C. 533 S. 2d 91 xpia i n he a s e m nt e s ma as ks L. , E. 9, 921( .2000)(ttngt i eg ae busnes ta a to prncpl rquie c t t co tue Va sai he nt r td i s rns cin i i e e rs ours o nsr muli edoc nt t t rt di net i e oft pa te ) Acc di y,t Co ta i tpl ume s ogehe o vi he ntnt he ris. or ngl he ur gan fndst tt r i ton i di tnc fom a doe no e om pas e r t o Thus bec us i ha e m na i s s i t r nd s t nc s xpia i n. , a e H a de d d no t r i t t Fr nc s Agr e e he i notbo by t non- om pe e c a e m n i t e m na e he a hi e e m nt s und he c t l us i t N on- petton A gr ent n he com ii eem . A Non- iiaton Cl s o heNon- mpeii Agr ment solct i au e ft co tton ee Pli ifsmia l a guest thei notbound byt non-olc tton clus oft Nonantf i lry r ha s he s iia i a e he Compeii Agre ntbe aus t clus sae ia iso yCg urngt tnu oft tton e me c e he a e tts t pple nl ûdl i he e he Fra se A gr entand f 2 years aft i t i i orafer is assi entortansf .' nchi eem or er ts erm naton t t gnm r er. .' 6AttilCoxde c i t frtTotlbusnes a :am a , adr a ,a a c n ofpa nt' ra s rbed he is a i s s û n e m nd a i . ' 11 a heddno tr naet Fr nc s Agre nt ( . 32- a 1 (mpha i a de .The nd i t emi t he a hie e me . DktNo. 4, t ) e ss d d) pl i l ng ge oft c aus doe no s a et tt no s i ia i n cl us s v ve t e r ton a n a ua he l e s t t t ha he n- olc t t o a e ur i s he xpi a i oft c r t A sil tat d by al t r s rc i c he ontac . lusr e 1 he e t i tve oven t , he dr t r a s gne di f r n an s t afe s s i d f e e t t mpor llm ia i t e h r srci c na , hus ha t wihe t y c d ha p ovi e a i ttons o ac e ti tve ove nt t , d hey s d he oul ve r ded t tt eno s i iai c na ts vi d t expiai n oft c r t Ofnot ,i a her ha h n- olct ton ove n ur ve he r to he ontac . e n not s c i t dr fe ss c fe t tHa e ton, he a tr pe iid ha mdenwasnott c es t vai t ofTo a ' Comme ca o ont t he ldiy t ls r il Symbol é i t t m oft sAgre nta a trise rton. ( . 3 2 a j5 . s t ng he er dur hi e me , nd fe t xpiai ' DktNo. 2- t ) ' Thedr he sdi nots pr vi i t non-olct to clus . Ha ng f a r d o o de n he s iiai n a e vi ound t tt r na i a ha e mi ton nd expiai dono ha t s me me ng i t Non- m peii Agr e e , heCour hol r ton t ve he a ani n he co tton e m nt t t ds t tt e n com pe ii c a e doe notbi Ham de be a e he di nott r i t t ha h ontton l us s nd n c us d e m na e he Fr nc s Agr e e . a hie e m nt 4. Non- s l eCl o heNonDicosur ause ft compeiinAgr ment tto ee Thenon- sl ur ca erquiedt tSrq i t tr oft Frnc s Ag e me dicos e lus e r ha 'durng he em he a hie r e nt a t ra ,( nd hee her Hamde agrenott c nl e o ommuniaedie tyori r ty,di get orus f c t rcl ndiecl vul o e or yourbe ft..a tades c e swhi a epr it r t Col son Pa a orany i or ton, ne i . ny r e rt ch r opre a y o or r de nf ma i knowldgeorknow- w dee e ho med c i ntalu rSe ton 5 oft Fr nc s Agr e e ..' onfde i nde c i he a hie e m nt.. ' Se ton 5 c e nst o i to oft f a hi e br dl a w ih r ga dst c tona ci onc r he blga i ns he r nc s e oa y, nd t e r o ondii l i onna i pr desonl t tTot ' Com m e c a Sy bol be ong t Tot e us ve y a nf ton, ovi y ha als ril m s l o al xcl i l ny ma notbeus wihoutTot ' consnt ( . 32- a j5) l doe notohewiedic s y ed t als e . DktNo. 2, t . t s t r s s us c i nta i or tonorkno edg (#..Hee, mde ha rprs nt az Dee nt onfde il nf mai wl e. Ja) r Ha n s e e e ed td fnda doe no c es , ha he pr pty r m ove t de al fom hi t uc a r ur d t m a o s t ont t t t om l e d he c s r s r k nd et ne he l ng wih a l r i ng m a s doc e s a fl i hi pos es i t To al Thus unde t t r s t l t a ni nual , um nt , nd ies n s s s on o t . , r he e m 1 2 oft non- s l ur caus r a i t co e oft Fr nc s Agr ment t Cou tfndst t he dic os e l e, e d n he nt xt he a hie ee , he r i ha Ha n hasf l c mde uly ompledwih t spa t t non- s os e ca e. i t hi r of he dicl ur lus Thes c pal oft non- s l ur ca esae 'gq t r i a tr nai oft s e ond 4 he dicos e lus tts kif hee s ny emi ton hi A g e m e ,You a e t tyou w ilne rus ourc i nta i o m a i ort a s c e s i r e nt gr e ha l ve e onfde i l nf r ton r de e r t , n t de i n,de l e oro r ton ofany b i s s ci lz ng i a he s g ve opm nt pe a i usnes pe a i i n ppea a t hnol esa r nce ec ogi s Col r on Pa a a i t m . Def n a ar t a g t tH a de ca os r de pples he ' ' enda t ppe s o r ue ha m n nnotus a e ny i or ai ac r d whiewor ng f Tot ç ort pul eofde opi orope a i a nf m ton quie l ki or al t he pos f vel ng r tng busne sSpe aii i a rncetch ogis''( . 35a !65) Howeve,be aus i s s cilzng n ppeaa e nol e .' DktNo. t . r c e t s s nt nc r qui e t r i ton oft Fr nc s A gr e e t be e f tve a H a de di hi e e e e r s e m na i he a hie e m nt o f ec i nd m n d nott r nat hi Fr nc s Ag e m e ,t ss ntnc i i pplc bl t Ha de Ac or ng y, e mi e s a hie r e nt hi e e e s na ia e o m n. c di l t Co tfndst tHa de haseihe ale dy c pledwih t non- s l ur ca eori not he ur i ha m n t r r a om i t he dic os e lus s bound by isr s rc i nsbe a e he di no t r i t hi Fr nc s Agr m e . 7 t e ti t o c us d t e m na e s a hi e ee nt B. A t orneys'Fees t Pl i ifr que t a awar ofa t r ys'f e unde t Fe r lD e ar t y J a ntf e s s n d to ne es r he de a cl a or udgm e nt A c , Pl i iff rhe a gue t tt con r c ne d noti l a f c a e f t c t o a r t a ntf ' t r r s ha he t a t e u nc ude ee l us or he our t wa d at ne 'fe .Seel r USA CommecilM o t Co.8 F. zd 1 47,11 9 ( Nev. tor ys e s ne r a rg. , 02 supp. 1 7 D. 2 1 (iigGa tv Gr n Lo eo Te ,1 F.d9 8 1 0 ( 0hCi. 9 3 (ttn i c u t 01 ) ctn n . a d du f x. 2 3 9 , 0 3 1 t r 1 9 ) saig ( o r a ha t pow e i a di r iy c s t a a d f s a d m a sunde s c i 2202 e n t s he r n ve s t a e o w r ee s n ge r e ton ve houg t y h he aenotr o rbl unde sae1w') fnda co est tat r ec vea e r tt a ' .Dee nt untr ha tonwys f e aenot ) ' es r a op i t i t s c s bec us t be a a de f e m us be a l e unde a i bl s t ntve ppr r a e n hi a e a e o w r d es t low d r pplca e ubs a i sae lw,W e t nd Ac stt Cp.LLC- Uni r a W eahe & Avi ton. nc.668F. tt a swi quiiim e v. ve s l t r ai l , supp. zd . 7 75 ( D. 2009) a underet Vigni orGeo galw at neys fe a'not 49, 4 E. Va. , nd iher r i a r i a tor ' e s t e 1H a nghedt tt r titvecove nt i t FrnchieAgr m e andN o com pe ii A g e e donot vi l ha he esrci na s n he a s ee nt ntton r em nt a y t Hamdenbec ehedi no tr i t hi Fr nc s Agr m e andnordoeshee ppl o aus d t em nae s a hie ee nt ngagei pan r so ain n it et r to s vies t Cour ne notr c t enf c abiiyoft r srciecove nt t s ve . er c , he t ed ea h he or e lt he e titv na s hem el s p r te , sel t De t o S c S l . O' l 5 3 S. 2 4 2, 93( . 0 0 emitd Ru sl Cny. p . f o . ews v. Oui 2 E.d 9 4 Va 2 0 ) m, ( di at ne 'fesar notpe mitdtnt a e eofasaut o c rc t t hol ng tor ys e e r te ç he bs nc i tt e r onta t o he c ntay';Ga. o rr ' l CodeAnn.j1 6 11(ttngatr ys fe aeo ya r dwher dee nt 3-- sai tone ' e s r nl wade e fnda hasa t d i ba f ih,be n subbor y ltg ous orha c us d t pli ifunnec s a y toubl c e n d at e t nl ii i , s a e he antf esr r e a e nd xpens . e) Und rt eDe lrt r J d me t tc u t ma g a tk l rhe n c sa yo p o e e h caao y u g n Ac o rs y rn ifu t r e e s r r r p r l r l fb sdo ade lrtr j d me t. a an t n a v rep rywh s rg t h v be n ei a e n caao y u g n . g is a y d e s a t o e ih s a e e e . deemi dbys hj tr ne uc udgment' 28U. C.j2202.l di riyc es s h a t pr e c s , . ' S. n vest as , uc s he esnt a e c t m a a r r as ours y wa d e onabl a t e 'f est t e e t ts h f sa ealo d under e tom ys e o he xtnt ha uc ee r l we a i bl s t ntve s a e l w . W e t r W or d I .Co. H a f d M ut I Co. 602 F. p. pplca e ubs a i t t a se n l ns v. r or . ns. , sup 36,37( M d.1 ,afdi pa t78 F. 558( h Ci.1 )( tr ngt awa dof D. 985) f n r, 4 2d 4t r 986 afimi he r at ne feswihoutdic sngt undeli saes tni lw) Thus unde Vigi a tor ys' e t s us i he ryng tt ubsa tve a . , r r ni l w , hepr va lng pa t t us i ntf a s c t c s a ut y gr ntofa hort t te bl s a c t a t e ii r y t t de iy pe ii t t or a m ut iy ha na e our t a r a t ne s f es ..' s lCount 523 S. 2 a 492. I t pr en c e, he e i no o wa d tor y' e . .' Rus el y, E. d t n he es t as t r s s h gr ntof a t iy unde whi h t Co tm a a a d a t ne sf s Fur he r t uc a u hort r c he ur y w r tor y' ee . t nuo e, he Pl ntf hasnots ai if hownt tt Dee ta tdi ba fih.Se Ga. ha he fndan ce n d at e CodeAnn.j 1 6- 1 3- 1 . Ac or ngl at ug heFourh Cicui hasnotdiecl r ed o t sis ,i doe no a a c di y, lho ht t r t r ty ul n hi s ue t s t ppe r t tt Fourh Cicui woul pe mi a a r ofat r 'f esi t sc e. Eve as umi ha he t r t d r t n wa d to neys e n hi as n s ng a g ndo t tt Four h Cic tw oul a l a a r ofa t ne 'f esi t sca e,a pe ha r ue ha he t r ui d low n wa d tor ys e n hi s s r ps t Te h Ci c tm i , he uli a e d i i i s ill f t t di c e i oft Cour . H e e t he nt r ui ght t tm t ec s on s tl e 4 o he s r ton he t r , he Co r fn sta De e d n wa j si e i s e igt e f rewh tib le e t b v l u tid h t fn a t s u tt d n e kn o n o c a t eiv d o e ai i d r t i tve covenant i t Fr es r c i s n he anchi Agr enta N onse eem nd com petton A gr entand declnes ii eem i t aw ar ator o d t neys'f ees. Pl ntf f t rr que t a a r ofc t .Hmnde sa e t tt Vigi a De a a or ai if urhe e ss n wa d oss n tt s ha he r ni clr t y J m e A c ,V a. udg nt t Code A nn.8. - 90,pr de t tic t , s h par t r ofast co t 01 1 ovi s ha t os s or uc t he e he ur ma dee pr ra j ti viw oft patc a cic tnce oft ca e maybea r dt y m ope nd us n e he riulr rumsa s he s , wade o a pa t ' The Cour doe no be i ve t V igi a D e l r t y J ny ry. ' t s t le he r ni c a a or udgm entA c gove nshe e t r r be us i f de alpr e ngst Fed a D e l a or J m e A c gove ns See Gr mw ca e n e r oc edi he er l c ar t y udg nt t r . a Goos Foods l v.Bhd.ofTe m se s& Aut Tr k Drve sLoc lNo.7 ofAlm e Count e . nc. a tr o uc i r a 0 a da y, 41 U. 423,437( 974) Howe , chDe aaoyJ 5 S. 1 . verwhi clrtr udgme Ac a i doesnotc nt t pples hange t r ul,a unde e t r s a r t d t r i to i l t o t di c e i oft c t A s he es t s r ihe t nda d he e e m na i n s ef t he s r ton he our . sae a o e Dee d n ddno p ru i c s i b df i a dwa j siidi se igt ttd b v , fn a t i t u s e t a e n a at n s u tfe n e kn o s h e or ewha i bele t bevai r titvec na s Ac or ngl t Cour de i t nf c t t ived o ld esrci ove nt . c di y, he t clnes o a a d c t t Pl i tf . w r os s o a n if IV.C oncl on usi Fo tef r g igr ao ,heCo r e tr j d me ti fv ro Plitf.Plitf dd r h o e on e s ns t u t ne s u g n n a o f anif an if i no t nni t t Fr nc s A g e m e a nordoe he pe f pa ntr s or t o Thushe i not t e na e he a hi e r e nt nd s r onu i e t a i n. s bou by a oft r t i tve c na s i t Fr nc s A gr e e orN onnd ny he esr c i ove nt n he a hi e e m nt com pe ii tton Agr m e . H ow e r t Cour dec i t a a d Pl i i ft r ques e a t ne 'f e a ee nt ve , he t lnes o w r a ntf he e t d tor ys e s nd c t . A n a opra e J os s ppr i t udgm e s l t s da i s nt ha l hi y s ue. ' - a t ut 01 Au lxrsR:'l s r 4J dyo- g s, 2 2 :r ra i r , 1 . . Senl Unied St esD i r' tJudge ör t at st 15

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