Piller Power Systems, Inc. v. Jurek

Background

The dispute concerns Piller Power’s “Trade Secrets and Proprietary Information Covenant and Non-Compete Agreement” with Justin Jurek, whom the opinion describes as a former employee. The opinion states that Jurek worked for Piller from November 2010 through July 3, 2020, and began working for HiTec Power Protection, Inc. in California on July 6, 2020. Piller alleged that Jurek violated the agreement by working for a competitor and by making allegedly untrue comments about Piller’s products to Blue Origin, Inc.

After Piller sent Jurek a cease-and-desist letter, Jurek filed a declaratory-relief action in San Diego Superior Court on November 18, 2020, seeking to determine his obligations under the agreement. Piller later removed that case to the U.S. District Court for the Southern District of California. Piller then filed a separate action in New York State court, which Jurek removed to the Southern District of New York.

Request to Stay

Jurek asked the New York court to stay, or pause, this case under the first-filed rule. That rule generally gives priority to the court where a substantially similar lawsuit was filed first. Jurek argued that the California case involved the same parties, agreement, and facts, and that the California court should decide whether the dispute should remain there. The opinion also states that Piller had asked the California court to dismiss or transfer the California case to New York.

Order

The court ordered Piller to file a letter by February 19, 2021, explaining why Jurek’s request for a stay should not be granted. The order stated that, if Piller did not respond by that date, the court would consider the request. Judge Ronnie Abrams did not grant or deny the stay motion in this order. The opinion text does not state a later disposition of that motion.