Litigation


Plaintiff Pete Zagaroli (“Zagaroli”), the former owner of now-defunct Zagaroli Construction Co. Inc., alleges that he and Defendants James Clayton Neill (“Neill”), Rick Berry (“Berry”), and Neill Grading and Construction Co., Inc. (“Neill Grading”) formed a partnership with the intent of developing three historic mill properties in Catawba County, North Carolina: Hollar Hosiery Mill, Moretz […]

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Nominal Defendant Steel Tube, Inc. (“Steel Tube”) was founded by Plaintiff W. Avalon Potts (“Potts”) and Walter Lazenby (“Lazenby”), who both served as Steel Tube’s officers and directors until Lazenby resigned in early 2015. In January 2015, Defendant Leon L. Rives, II (“Rives”) and Lazenby executed an agreement whereby Lazenby would transfer a 50% interest […]

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Plaintiff First Citizens Bancshares, Inc. (“First Citizens”) has moved to enjoin a shareholder rights plan implemented by Defendant KS Bancorp, Inc. (“KS Bancorp”), a private corporation, arguing that KS Bancorp’s plan violates North Carolina law by discriminating against only certain shares of stock within a larger class of shares. KS Bancorp is a small, privately held, […]

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Plaintiff Pee Dee Electric Membership Corporation (“Pee Dee”) is the only party to make an appearance in this action, so for the purposes of entry of default and default judgment, the court has deemed that Defendants have admitted the allegations in Pee Dee’s complaint. In November 2012, Pee Dee purchased software licenses and support services for […]

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Plaintiff Window Gang Ventures, Corp. (“Window Gang”) operates or franchises commercial facilities-cleaning outlets in twenty states.  Defendant Gabriel Salinas (“Salinas”) entered into a franchise agreement (the “Franchise Agreement”) with Window Gang in 1997, giving him the exclusive right to operate a Window Gang franchise in Wilmington, North Carolina, and the surrounding counties.  Among other things, […]

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This case is a consolidation of several actions, the allegations of which can be found in earlier opinions by the North Carolina Business Court.  Most of the claims in the various disputes have been settled and dismissed.  However, the current dispute is whether Micro-Miniature Bearing Co., Inc. (“MMB”), and Vincent Sabatino (“Sabatino”), through their respective […]

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Using a Rule 12(c) standard and assuming the facts in the Plaintiff’s complaint to be true, the Court construed the facts in Plaintiff’s favor. Zloop was an electronic-waste recycling business incorporated and run by Robert Boston (“Boston”) and Robert LaBarge (“LaBarge”).  Zloop had originally retained McGuire Woods LLP (“McGuireWoods”) as corporate counsel for a securities […]

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This case is a consolidation of five actions brought by students of Defendant Charlotte School of Law (“CSL”) before it closed.  When this opinion was published on February 14, 2018, eighty-four cases had been assigned to the North Carolina Business Court, representing claims of 147 former CSL students. The Court accepted all uncontested facts to […]

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As alleged in Plaintiff’s Complaint, Plaintiff Aym Technologies, LLC (“Aym”) is a North Carolina limited-liability company (“LLC”) that provides software to several industries, including the Medicaid developmental-disability (“I/DD”) industry. Defendant Rodgers is a North Carolina resident that contracted with Aym to refer software customers to Aym and, eventually, to assist Aym in identifying potential purchasers […]

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The Court evaluated several motions under a Rule 12(b)(6) standard, assuming the facts alleged by the nonmovants to be true.  On May 8, 2016, JBC Acquisition, Inc. (“JBC”), a subsidiary of Ross Environmental Services, Inc. (“Ross”), and A&D Holdings, Inc. (“A&D”) entered into a stock-purchase agreement (the “SPA”) by which JBC agreed to purchase the […]

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