Document Type

Case Summary

Publication Date

6-11-2009

Case Synopsis

Certified questions from the United States District Court, District of Nevada, arising from a action by HD Supply Facilities Maint., Ltd. (“HDS”), seeking enforcement of restrictive employment covenants against its former employee, Leif Bymoen (“Bymoen”) and Bymoen’s current employer AZ Partsmaster, Inc. (“AZP”). The questions each relate to whether the Nevada rule, set forth by the Nevada Supreme Court in Traffic Control Servs. v. United Rentals,2 prohibiting the assignment of noncompetition covenants in asset purchase transactions “applies when a successor corporation acquires covenants of noncompetition, nonsolicitation, or confidentiality as a result of a merger.”

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