PlayUp, Inc. v. Mintas

District Court, D. Nevada·Decided December 3, 2021·No. 2:21-cv-02129·Unknown

Opinion

PLAYUP, INC., ) ) Plaintiff, ) Case No.: 2:21-cv-02129-GMN-NJK vs. ) ) ORDER DR. LAILA MINTAS, ) ) Defendant. ) ) Pending before the Court is the Motion for the Emergency Motion for Ex Parte Temporary Restraining Order, (ECF No. 2), filed by Plaintiff PlayUp, Inc. (“Plaintiff”).1 Also pending before the Court is Plaintiff’s Motion for Leave to File Under Seal Exhibits Attached to the Complaint, (ECF No. 9).2 For the reasons set forth below, Plaintiff’s Motion for Temporary Restraining Order is GRANTED in part and DENIED in part. Plaintiff’s Motion for Leave to File Under Seal is 1 Plaintiff also filed a Notice of the Federal Court of Australia’s Order, which restrains Defendant Dr. Laila Mintas from publishing false information about Plaintiff and disposing of Plaintiff’s assets. (See Notice of Lodging Federal Court of Australia’s Order, ECF No. 10).

2 Plaintiff requests leave to seal its Interactive Operations Agreement and Online Market Access Agreement, which are attached as Exhibit 1 to Daniel Simic’s Affidavit, at pages 133 through 293. (Mot. for Leave to File Under Seal, ECF No. 9). The Court finds good cause to seal the records. Kamakana v. City & Cty. of Honolulu, 447 F.3d 1172, 1179 (9th Cir. 2006) (compelling reasons exist to justify sealing court records when court files may “release trade secrets”). Plaintiff alleges that these agreements contain commercially sensitive proprietary information regarding “PlayUp’s operations, processes, and procedures with its partners.” (Mot. for Leave to File Under Seal 2:17–18). The Court agrees and accordingly grants Plaintiff leave to file under seal the Interactive Operations Agreement and Online Market Access Agreement. This action arises from Defendant Laila Mintas’ (“Defendant’s”) purported use of Plaintiff’s confidential information and alleged disparagement of PlayUp, Inc. in violation of Defendant’s employment agreement with Plaintiff (the “Employment Agreement”). (See Compl. ¶¶ 8–10, 14, ECF No. 1). Plaintiff alleges the following: Plaintiff PlayUp operates a global online and sports betting business. (Id. ¶¶ 5–6). In early 2019, Plaintiff sought to expand its gaming business into the United States. (Aff. Daniel Simic (“Simic Aff.”) ¶ 9, Ex. 1 to Compl., ECF No. 1-2). Plaintiff hired Defendant to develop its business operations within the United States. (Id. ¶ 10). On November 30, 2019, Plaintiff and Defendant entered into the Employment Agreement, in which Plaintiff agreed to serve as the Chief Executive Officer (“CEO”) of PlayUp, Inc. for two years. (Id.); (see also Employment Agreement at 115–125, Ex. 2 to Compl., ECF No. 1-3). The Agreement includes a “Confidentiality, Non-Competition, Non-Solicitation, and Non-Disparagement” provision. (See Employment Agreement § 6). Pursuant to the terms of the Agreement, “Confidential Information” is defined to mean “financial plans, business plans, business concepts, know-how and intellectual property and materials related thereto.” (Id.). The Agreement expressly imposes confidentiality and non-competition obligations. For example, it prohibits Defendant from the following: (a) Executive agrees that she shall not, directly or indirectly, take commercial or proprietary advantage of, profit from, use or disclose to any Person any Confidential Information, except in connection with the good faith performance of Executive’s duties hereunder or required by law. If ordered by a court of competent jurisdiction to disclose Confidential Information, Executive shall immediately provide written notice of that fact to the Board, enclose a copy of the subpoena and any other documents describing the legal obligation, and cooperate with the Company’s efforts to object to, or limit, the disclosure obligation.

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