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Rimkus Consulting Group Inc. v. Cammarata - Ballard Spahr LLP

Rimkus Consulting Group Inc. v. Cammarata - Ballard Spahr LLP

Rimkus Consulting Group Inc. v. Cammarata - Ballard Spahr LLP

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Case 4:07-cv-00405 Document 450 Filed in TXSD on 02/19/10 Page 100 of 139<br />

that both it and Bell and <strong>Cammarata</strong> argued Texas (as well as Louisiana) law in the briefs<br />

they filed on the Bell and <strong>Cammarata</strong> motion for summary judgment, the Louisiana court<br />

“could not evaluate the issues in dispute under Texas law.” (Id.).<br />

Claim preclusion applies to bar in a subsequent suit all “claims that were or could<br />

have been litigated in a previous lawsuit.” Horacek v. Watson, 06-210, p. 3 (La. App. 3 Cir.<br />

7/5/06); 934 So. 2d 908, 910 (quoting Walker v. Howell, 04-246, p.2 (La. App. 3 Cir.<br />

12/15/04); 896 So. 2d 110, 112). Under Louisiana law, a defendant is required to “assert in<br />

a reconventional demand all causes of action that he may have against the plaintiff that arise<br />

out of the transaction or occurrence that is the subject matter of the principal action.” LA.<br />

CODE CIV. PROC. art. 1061(B). <strong>Rimkus</strong> asserted its claims for breach of the noncompetition<br />

and nonsolicitation covenants in its reconventional demands. The Louisiana court ruled that,<br />

despite the Texas forum-selection and choice-of-law provision in the Employment<br />

Agreement, Louisiana law applied to invalidate the covenants. Louisiana law prevented<br />

<strong>Rimkus</strong> from litigating the noncompetition and nonsolicitation claims under Texas law in the<br />

Louisiana court. As this court previously held, the Louisiana court’s ruling that Louisiana<br />

law applies in Louisiana to invalidate the Texas forum-selection and choice-of-law<br />

provisions in the Employment Agreement does not invalidate those provisions in all states.<br />

Because <strong>Rimkus</strong> could not have litigated its Texas-law claims for breach of the<br />

noncompetition and nonsolicitation covenants in the Louisiana state court, claim preclusion<br />

does not apply to those claims. The defendants’ motion for summary judgment dismissing<br />

this case based on claim preclusion is denied.<br />

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