R|S Wins Complete Defense Victory in Multi-Million Dollar Tortious Interference and Misappropriation of Trade Secrets Case

On March 30, 2009, the firm, in a multi-million dollar lawsuit initially filed in the District Court for the County of Dallas, Texas, which was removed to the United States District Court for the Northern District of Texas, and later transferred to the United States District Court for the Eastern District of North Carolina (Case no.: 5:08-cv-00282-FL), obtained summary judgment for its client, a large publicly traded entertainment business. In this case, the firm’s client acquired an adult nightclub in Raleigh, North Carolina. Plaintiffs claimed to have a contract with the sellers which it asserted prohibited the transfer of the business and entitled it to ongoing revenues from the business. In addition, the Plaintiffs alleged that the Defendant misappropriated its trade secrets. Plaintiff’s initial claim was for in excess of $80,000,000.00.


After substantial litigation, the Chief Judge of the Eastern District of North Carolina found that the firm’s client was legally justified in acquiring the assets from the seller and that no evidence existed to demonstrate that the firm’s client misappropriated Plaintiffs trade secrets. The case, captioned Thee Dollhouse Productions, N.C., Inc., et. al. v. VCG Holding Corp., et. al. was dismissed in its entirety.