T&S Brass and Bronze Works Inc et al v. Slanina et al

Filing 208

ORDER granting 207 Motion for Permanent Injunction. Signed by Honorable Mary Geiger Lewis on 3/20/2018. (Attachments: # 1 Exhibit A - Final Judgment of Non-Dischargeability)(abuc)

In the United States District Court
District of South Carolina
Greenville Division
)
T&S Brass and Bronze Works, Inc. and )
) C.A. No. 6:16-cv-03687-MGL
EnviroPure Systems, LLC,
)
)
Plaintiffs,
) Consent Judgment, Injunction, and
v.
) Final Order
James Slanina, Linda Basinger
)
)
individually and d/b/a Advantagreen,
)
Advantago, Inc., and Opus
Distribution, Inc.,
)
)
)
Defendants.
I. Background
Plaintiffs commenced this action on November 20, 2016. On May 4, 2017, this
Court granted a Motion for Stay pending arbitration as to Defendant Basinger. On
December 13, 2017, this Court lifted the arbitration stay. (Docket Entry 194). On June
9, 2017, Defendants Slanina, Advantago, Inc., and Opus Distribution, Inc. filed a
Suggestion of Bankruptcy. (Docket Entry 187). On June 12, 2017, this Court issued a
stay as to Defendants Slanina, Advantago, Inc., and Opus Distribution, Inc. (Docket
Entry 189).
Only Defendant Slanina filed a Petition in Bankruptcy. (In re James Slanina, 1717230-EPK (S.D. Fla. Bankr.) (“the Bankruptcy Action”).

Plaintiffs filed adversarial

actions against Slanina in the Bankruptcy Action.
Defendant Slanina and Defendant Basinger (who voluntarily appeared in the
Bankruptcy Action) agreed to nondischargeable judgments of Five Hundred Thousand
Dollars ($500,000). (Docket Entry 197-1 at pp. 8-41). The Bankruptcy Court adopted
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the agreement and entered judgment against Defendants Slanina and Basinger. (Exh.
A). The parties’ Agreement reached in the Bankruptcy Action resolves all claims for
monetary relief against Defendants Slanina and Basinger, but leaves open issues of
injunctive relief.
Although monetary relief against Defendants Advantago, Inc. and Opus
Distribution, Inc. is not addressed in the Agreement reached in the Bankruptcy Action,
as they were never made parties to any Petition, Plaintiffs have agreed not to pursue
any claims for additional monetary relief as to Advantago, Inc. or Opus Distribution, Inc.
in exchange for Defendants’ consent to the terms of this Order.
On March 13, 2018, this Court lifted the bankruptcy stay that applied to
Defendants Slanina, Advantago, Inc., and Opus Distribution, Inc. (Docket Entry 206).
Accordingly, all stays previously imposed have been lifted and this Court has jurisdiction
over all Defendants in this action.
II. Order
With the consent of the parties, the court ORDERS as follows:
1.

The security previously posted by Plaintiffs in the amount of Five Thousand
Dollars (Docket Entry 18) shall be refunded by the Clerk to Plaintiffs.

2.

This Order will act as res judicata bar as to any claims or counterclaim that have
been or could have been brought in either this action or any arbitration between
the parties including, but not limited to, any claims for overpayment of or failure to
pay commissions.

3.

Nothing in this Order is intended to affect any orders or judgments entered by the
United States Bankruptcy Court for the Southern District of Florida.
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4.

Nothing in this Order is intended to affect the right of any party as to any position
taken with respect to the sentencing phase of United States v. Slanina, 6:17-cr00824-HMH.

Provided, however, that nothing in this Order constitutes an

admission by Slanina or any other Defendant as to any criminal liability.
5.

Defendants are enjoined from:
a.

Using or disclosing the plaintiffs’ trade secrets and property, including any
data or information obtained from the plaintiffs or the successor from
which the plaintiffs purchased the property, data, and information;

b.

Developing, marketing, selling, or exercising any ownership or dominion
over products or services in the food waste disposal industry in violation of
their Covenants Agreements;

c.

Operating or using <enviropuresystems.co.uk> or including any reference
to EnviroPure or any of its products on <advantagreen.com> or in any
other communication for purposes of dealing in products sold by
Enviropure or in competition with any product sold by EnviroPure;

d.

Conducting

any

business

with,

assisting,

consulting

with,

or

communicating about the food disposal industry with Karen or Daniel
Wordsworth, X-Met, Bond of London, or OMPECO or any employees,
agents, or affiliates thereof prior to November 18, 2018;
e.

Entering into any employment relationship with any person or entity prior
to November 18, 2018 for the purpose of developing, manufacturing, or
selling any food disposal systems or related products. This prohibition is
both by consent and based on this Court’s finding of actual
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misappropriations and disclosures and the continued threat of the same
and not based merely on the knowledge Defendants hold. 18 U.S.C. §
1836(b)(3)(A)(i)(I). Each Defendant is a “natural person who is a citizen or
permanent resident alien of the United States, or an organization
organized under the laws of the United States or a State or political
subdivision thereof,” and “an act in furtherance of the offense was
committed in the United States.” Id. § 1837. Accordingly, each restriction
imposed in this Order applies both within and outside of the territory of the
United States.
6.

Except as otherwise provided in the Agreement the parties reached in Defendant
Slanina’s Bankruptcy proceedings, each party is responsible for their own
attorney’s fees and costs of this action. No additional monetary relief is awarded
under this Order. Nothing in this Agreement, however, waives Plaintiffs’ rights to
any amounts agreed to be paid in the bankruptcy matter or to any restitution or
similar relief should the Court order such in United States v. Slanina.

7.

The Court retains jurisdiction to enforce the terms of this Order.

8.

Each party waives any right of appeal as to this Order.

9.

The Motions for Contempt (Docket Entries 147 and 164) are denied as moot by
consent of the parties.

IT IS SO ORDERED.
s/Mary Geiger Lewis
Mary Geiger Lewis
United States District Judge

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We Consent:
For the Plaintiffs:

For Defendants Slanina, Advantago,
Inc. d/b/a Advantagreen, and Opus
Distribution, Inc.:

s/ Brian P. Murphy
Brian P. Murphy
Stephenson & Murphy, LLC

s/ David E. Rothstein
David E. Rothstein
Rothstein Law Firm, PA
For Defendant Basinger:

s/ Hannah Rogers Metcalfe
Hannah Rogers Metcalfe
Metcalfe & Atkinson, LLC

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