AllCells, LLC v. Jack Zhai et al

Filing 131

STIPULATION AND ORDER re 130 FOR ENTRY OF FINAL JUDGMENT; FINAL JUDGMENT > filed by AllCells, LLC. Signed by Judge Edward M. Chen on 6/16/17. (bpfS, COURT STAFF) (Filed on 6/16/2017)

Lily Lim (SBN 214536)
[e-mail]
Michael Liu Su (SBN 300590)
[e-mail]
FINNEGAN, HENDERSON, FARABOW,
GARRETT & DUNNER, LLP
3300 Hillview Avenue
Palo Alto, CA 94304-1280
Telephone:
[phone]
Facsimile:
[phone]

J. James Li (SBN 202855)
1 Tony Abdollahi (SBN 157235)
LILAW, INC.
2 5050 El Camino Real, Suite 200
Los Altos, California 94022
3 Telephone: [phone]
Facsimile: [phone]
4 Email: [e-mail]
5 Attorneys for Plaintiff
ALLCELLS, LLC
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Attorneys for Defendant
CEPHEUS BIOSCIENCES, INC.

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Mark S. Zhai (SBN 287988)
[e-mail]
7660 Beverly Blvd. Apt. 307
Los Angeles, CA 90036-2734
Telephone:
[phone]
Facsimile:
[phone]

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Attorney for Defendants
JACK ZHAI AND JAMES LEE

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UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF CALIFORNIA
SAN FRANCISCO DIVISION

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Case No.: 3:16-cv-7323-EMC

16 ALLCELLS, LLC, a California Limited
Liability Company
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Plaintiff,
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v.
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JOINT STIPULATION AND
[PROPOSED] ORDER FOR ENTRY OF
FINAL JUDGMENT

20 JACK ZHAI, an individual, JAMES LEE, an
individual, and CEPHEUS BIOSCIENCES,
21 INC., a Delaware Company
Defendants.

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Plaintiff AllCells, LLC (“Plaintiff” or “AllCells”) and Defendants Jack Zhai (“Dr. Zhai”),
James Lee (“Mr. Lee”), and Cepheus Biosciences, Inc. (“Cepheus”) (collectively, “Defendants”)
entered into a confidential settlement agreement (“the Agreement”) to resolve this Action, and as
a condition of the Agreement, AllCells and Defendants (together, “the Parties”) jointly stipulate
to the following:

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JOINT STIPULATION FOR
ENTRY OF FINAL JUDGMENT
CASE NO.: 3:16-cv-7323

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1.

Entry of a permanent injunction against Defendants identical in scope as the

2 limited preliminary injunction granted in part by the Court on March 28, 2017 (D.I. 104).
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2.

Entry of a final monetary judgment in the amount of $1 million dollars (the

4 “Settlement Judgement”). The Settlement Judgement shall be entered only against Cepheus and
5 not Dr. Zhai nor Mr. Lee, and which AllCells may only attempt to enforce against Cepheus’
6 insurance carrier, State Farm General Insurance Co. (“State Farm”) according to the terms of the
7 confidential Agreement.
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3.

Subject to the terms set forth in the confidential Agreement, assignment to

9 AllCells of all rights, claims, and causes of action under Cepheus’ insurance policy (No. 97-CR10 P068-2) issued by the State Farm, whose representative Benita Selo was present at the
11 Settlement Conference on April 17, 2017 before Chief Magistrate Judge Spero and who did not
12 object to the assignment or stipulated judgment.
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4.

Dismissal of all remaining claims against Dr. Zhai and Mr. Lee with prejudice.

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5.

The Parties shall each bear their own attorneys’ fees, costs and expenses in

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6.

The Court retains jurisdiction to enforce the terms of the Agreement and the

17 stipulated Final Judgment.
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Exhibit A is a proposed Final Judgment and Dismissal.

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Dated: June 12, 2017
By:

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/s/ Mark S. Zhai
Mark S. Zhai
Attorneys for Defendants
JACK ZHAI and JAMES LEE

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JOINT STIPULATION FOR
ENTRY OF FINAL JUDGMENT
CASE NO.: 3:16-cv-7323

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Dated: June 12, 2017

FINNEGAN, HENDERSON, FARABOW,
GARRETT, DUNNER, LLP

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By:

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5 Dated: June 12, 2017

/s/ Lily Lim
Lily Lim
Attorneys for Defendant
CEPHEUS BIOSCIENCES, INC.

LILAW, INC.

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By:

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/s/ J. James Li
J. James Li
Attorney for Plaintiff
ALLCELLS, LLC

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The filer of the document hereby certifies that Lily Lim and Mark
Zhai have consented to affixing their electronic signatures to this
document. /s/ J. James Li

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JOINT STIPULATION FOR
ENTRY OF FINAL JUDGMENT
CASE NO.: 3:16-cv-7323

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[PROPOSED] ORDER FOR ENTRY OF FINAL JUDGMENT PURSUANT TO

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STIPULATION OF THE PARTIES

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The Court, having considered the Joint Stipulation of the Parties, requesting Entry of

4 Final Judgment, HEREBY ORDERS AS FOLLOWS:
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1.

This Court has jurisdiction over the parties and the subject matter of this action,

6 and venue is proper in this Court.
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2.

In accordance with the Joint Stipulation of the Parties and this Order, the Clerk of

8 the Court is hereby directed to enter the Final Judgment attached as Exhibit A.
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3.

The Final Judgement is binding upon the Parties, their agents, and others acting in

10 concert with them, and the Parties each waive their right to appeal the Final Judgement.
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4.

This Court retains jurisdiction to enforce this Order, the stipulated Final

12 Judgment, and the Settlement Agreement between the Parties.

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By: ____________________________________
HON. EDWARD M. CHEN
United States District ard M. Chen
dwJudge
Judge E

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6/16
Dated: _________, 2017

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JOINT STIPULATION FOR
ENTRY OF FINAL JUDGMENT
CASE NO.: 3:16-cv-7323

Exhibit A

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UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF CALIFORNIA
SAN FRANCISCO DIVISION

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4 ALLCELLS, LLC, a California Limited
Liability Company
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Plaintiff,
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v.
7

Case No.: 3:16-cv-7323-EMC

[PROPOSED] FINAL JUDGMENT AND
DISMISSAL PURSUANT TO
STIPULATION OF THE PARTIES

8 JACK ZHAI, an individual, JAMES LEE, an
individual, and CEPHEUS BIOSCIENCES,
9 INC., a Delaware Company
Defendants.

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[PROPOSED] FINAL JUDGMENT
WHEREAS, Plaintiff AllCells, LLC (“AllCells”) and Defendants Jack Zhai
(“Dr. Zhai”), James Lee (“Mr. Lee”), and Cepheus Biosciences, Inc. (“Cepheus”) (collectively
“Defendants”) entered into a confidential settlement agreement (the “Agreement”) to resolve this
Action;
WHEREAS, AllCells and Defendants (together, “the Parties”) each consent to personal
jurisdiction in the Northern District of California for purposes of enforcing the Agreement and
this Final Judgment; and
WHEREAS, pursuant to stipulation of the Parties, the Court has issued an Order for
Entry of Final Judgment.
Accordingly, it is hereby ORDERED, ADJUDGED, and DECREED that:
1.

The Court has jurisdiction over the Parties and the subject matter of this Action,

and venue is proper in this Court.
2.

Defendants, their agents, and others acting in concert with them, are hereby

permanently enjoined from disclosing or using: (1) AllCells’ Standard Operating Procedures or
protocols (“SOPs”); (2) AllCells’ slide deck entitled “2013 AllCells Q3 Business Meeting”; and

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[PROPOSED] FINAL JUDGMENT AND DISMISSAL
PURSUANT TO STIPULATION OF THE PARTIES
CASE NO.: 3:16-cv-7323

1 (3) AllCells’ information about customer needs/preferences, key contacts within a customer2 company, pricing, and sales forecasts/projections. The permanent injunction is identical in scope
3 to the preliminary injunction set forth in the Court’s March 28, 2017 Order (D.I. 104), such that
4 Defendants are not barred from soliciting customers of AllCells or otherwise using publicly5 available information and their general knowledge and experience acquired in former
6 employment.
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3.

AllCells is awarded a final monetary judgment in the amount of $1 million dollars

8 (the “Settlement Judgement”). The Settlement Judgement is entered only against Cepheus and
9 not against Dr. Zhai or Mr. Lee, and shall only be enforced against Cepheus’ insurance carrier,
10 State Farm, according to the terms and conditions of the Agreement.
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4.

All the remaining claims asserted by AllCells in this Action against Dr. Zhai and

12 Mr. Lee are dismissed with prejudice.
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5.

The Parties shall each bear their own attorneys’ fees, costs and expenses in

14 connection with this Action.
The Court retains jurisdiction to enforce the terms of the Agreement and this Final

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By: ____________________________________
en
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HON. EDWARD M. CHEN
e Edwar
Judg
United States District Judge

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6/16
Dated: _________, 2017

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16 Judgment.

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[PROPOSED] FINAL JUDGMENT AND DISMISSAL
PURSUANT TO STIPULATION OF THE PARTIES
CASE NO.: 3:16-cv-7323