@ ORIGINAL © SKADDEN, ARPS, SLATE, MEAGHER & FLOM LLP Lance A. Etcheverry (State Bar No. 199916) lance [email protected] per a 300 South Grand Avenue, Suite 3400 Los Angeles, California 90071-3144 or (213) 687-5000 wD (213) 687-5600 suagallef fGen STUBBS ALDERTON & MARKILES, LLP Michael A. Sherman (Bar No. 94783) WAR 03 2017 masherman(@stubbsalderton.com sua Cte, gue Ure Ryan C. C. Duckett (Bar No. 288750) eS he, Der [email protected] 15260 Ventura Boulevard, 20th Floor Sherman Oaks, CA 91403 Telephone: (818) 444-4500 Facsimile: (818) 444-4520 Attomeys for Plaintiff, ALPHA GRP, INC. _ Banloarm Scheper/ SUPERIOR COURT OF THE STATE OF CALIFORNIA IN AND FOR THE COUNTY OF LOS ANGELES BC6519238 ALPHA GRP, INC., a Delaware corporation, | CASE NO.: Plaintiff, COMPLAINT FOR: vs. 1. BREACH OF IMPLIED COVENANT OF FAIR DEALING; BRIAN GALE, an individual; and DOES 1 through 15, inclusive, 2. BREACH OF CONTRACT; Defendant. 3. UNFAIR COMPETITION IN VIOLATION OF CAL. B.&P.C. § 17200, ET SEQ.; 4, FALSE ADVERTISEMENT IN VIOLATION OF CAL. B.&P.C. § 17500; Ben = 5. VIOLATION OF L. PACT § (ay), SUS. § L125; ed DEMAND FOR A JURY TIL a AL, 5 00° ser: zztgo et¥so/so senuneseTHOD te 1 330/437 THSHO/LTO ‘COMPLAINTRoos se ne) 10 u 12 13 14 15 16 17 18 19 20 21 2 23 24 25 26 2 28 Plaintiff ALPHA GRP, INC., a Delaware corporation (“Alpha”), for its Complaint against Defendants BRIAN GALE, an individual, (“Gale”), and DOES 1 through 15, inclusive (collectively “Defendants”), alleges as follows: INTRODUCTION 1, Plaintiff Alpha is the owner, promoter and operator of the Red Bull Global Rallycross (occasionally “Red Bull GRC”), which fields competitive motorsport racing by world- wide teams on Red Bull GRC tracks which feature some of the most diverse and technical challenges in the world of motorsport. Defendant Gale formerly worked for Alpha prior to the termination of his employment, and now competes against Alpha, in promoting a competitive motorsport company called “Speed League.” Gale is the driving force behind Speed League and rampantly lies about himself, his background, and his accomplishments, with Gale portraying himself as having sourced/originated techniques, strategies, connections, and affiliations during his tenure at Alpha, which are demonstrably false. As but one example of many, Gale never had anything to do with sourcing the “Red Bull” sponsorship/afiiliation of Red Bull GRC, yet he misrepresents that fact. Another example is Gale’s involvement in Speed League association of its relationship with ESPN X Games as consisting of events with the exact particular names of those athletes and teams that Alpha sourced, signed and organized after Gale’s employment was terminated. If Gale had simply been applying for a job, he would be accused of “resume fraud”; here, however, Gale’s conduct in creating this false identity steals Alpha/Red Bull GRC’s accomplishments and arrogates them for himself ~ no different than if he had been falsely claiming he graduated an Ivy League college, or successfully started and grew a small business. To make matters worse, the false palming off that Gale engages in are actions that Gale takes in violation of contractual obligations he voluntary agreed to at the time of his departure from Alpha in early 2014. 2 ‘COMPLAINTRo ioe aon eee ts, 10 1 12 13 14 1S 16 7 18 19 20 21 rl 23 "4 25 26 27 28 PARTIES 2, Plaintiff Alpha is a Delaware corporation that does business in the County of Los. Angeles, State of California. Alpha is duly licensed and authorized to conduct business in the State of California, and as alleged hereinabove it is the owner, promoter and operator of Red Bull GRC. 3. Alpha is informed and believes, and thereon alleges, that Defendant Gale is a resident of the State of Colorado. At the time of certain of the events at issue herein, Gale was either employed by Alpha or was doing business in Los Angeles, California. Alpha is informed and believes, and thereon alleges, that at some or all of the times at issue herein, Gale’s wrongful conduct occurred in the County of Los Angeles, State of California. 4. The fictitiously named Doe Defendants, and each of them, were in some manner responsible or legally liable for the actions, events, transactions and circumstances alleged herein. The true names and capacities of the fictitiously named Doe Defendants are presently unknown to Alpha, and Alpha will seek leave of Court to amend this Complaint to assert their true names and capacities when the same have been ascertained. 5. Alpha is informed and believes, and thereon alleges, that: (a) Defendants, and each of them, were the agents, employees, partners, joint-venturers, co-conspirators, owners, principals, and employers of the remaining Defendants, and each of them, and are, and at all times herein mentioned were, acting within the course and scope of that agency, partnership, employment, conspiracy, ownership, or joint venture; (b) the acts and conduct of each such Defendant, as alleged herein, were known to, authorized by, or ratified by the other Defendants, and each of them; and (c) some or all of the Defendants, were acting on behalf of and controlling the conduct of the other Defendants. JURISDICTION AND VENUE 6. This Court has personal jurisdiction over Defendant by virtue of the wrongful conduct in which he engaged in the State of California, which caused harm to Plaintiff Alpha in this state. 3 COMPLAINTo & oe won Ro) eo eee 10 MW 12 ak) 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 7. ‘Venue in this district is appropriate under California Code of Civil Procedure § 395. FIRST CAUSE OF ACTION [For Breach of Contract] 8. On November 6, 2012, Gale and Alpha entered into an employment agreement, whereby Gale agreed to be employed by Alpha with specific job duties and compensation. 9. OnFebruary 5, 2014, Alpha and Gale entered into a Separation and Settlement ‘Agreement (“Agreement”), wherein Alpha and Gale terminated the November 6, 2012 employment agreement and otherwise severed all business and professional ties each had with the other, and settled, fully and finally any and all claims either may have against the other, on the terms set forth therein, In addition to terminating Gale’s employment agreement and settling claims, Gale agreed to resign from any and all positions, offices and memberships he held with Alpha, and to completely disassociate from Alpha. 10. Pursuant to the Agreement at paragraph 5, entitled “Confidentiality,” Gale acknowledged that he had been provided access to confidential and proprietary information belonging to Alpha, identified as “Confidential Information” and agreed in the broadest form possible and with the greatest cloak of confidentiality to be provided, to further acknowledge that Confidential Information was to be construed most broadly to include virtually everything and anything Gale did or came across while employed by Alpha. 11. In addition to agreeing to strictly hold as confidential, the Confidential Information, Gale agreed to promptly retum or permanently delete so as to make irrecoverable, all Confidential Information, including all copies, extracts and other objects or items in which Confidential Information is contained or embodied. Gale further agreed not to disclose or make use of any Confidential Information to a third party. 12. Alpha is informed and believes and thereon alleges that: On or about the fourth quarter of 2015, Gale violated the Confidentiality clause of the Agreement by contacting third 4 ‘COMPLAINT@ & @ ~ war wd Soe x» a i a 13, 14 15 16 7 18 19 20 21 22 23 24 25 26 27 28 party Liza Markle and discussing Confidential Information that both he and Liza Markle acquired during their employment relationships with Alpha. Additionally, Gale used to his benefit and disclosed Confidential Information with Alpha’s athletes, vendors and others closely tied into a business relationship with Alpha. Such Confidential Information includes, without limitation: Power Point slides, rating reports, media buys, and contact information. 13. Gale’s conduct, as alleged above, constitutes breaches of the Confidentiality terms of the Agreement. 14. Asa direct and foreseeable result of Gale’s breaches of the Agreement, Alpha has been damaged in a sum which is presently unknown to it. Alpha will seek leave of Court to plead the amount of said damages when the same has been ascertained. 15. Inaddition to its economic loss and damage, Alpha is and continues to be ireparably damaged by Gale’s breaches of contract, as alleged above. Such damage includes, without limitation, the disclosure of valuable information known to Alpha and used to secure business relationships. 16. By reason of the foregoing, and in addition to its compensatory damages, Alpha is entitled to equitable relief in the form of temporary restraining orders and injunetive relief to the effect that: a. Gale, and all those acting in concert with him, be required forthwith to disgorge all information acquired through the employment relationship between Alpha and Gale in breach of the Agreement, including any duplicates or copies thereof. b. Gale be required to maintain and not delete, destroy, erase or wipe any information on any database, or any backups thereof, so that said databases and any backups can be analyzed by an independent expert to determine whether any information belonging to Alpha is or was maintained thereon, and to facilitate the complete destruction of all Confidential Information. 5 ‘COMPLAINT3} oS Ro cos on neato 10 u 12 13 14 15 16 7 18 19 20 21 2 B 24 25 26 27 28 c. Gale, and all those acting in concert with him, be preliminarily and thereafter permanently enjoined and restrained from using any of the information or data acquired through the employment relationship between Alpha and Gale in breach of the Agreement, for any purpose, including without limitation from using any information about actual or prospective athletes, vendors, investors or clients of Alpha, from contacting any such actual or prospective athletes, vendors, investors or clients, or in any other way using information about Alpha’s actual or prospective athletes, vendors, investors or clients to gain an economic advantage against Alpha, SECOND CAUSE OF ACTION [For Breach of the Implied Covenant of Good Faith and Fair Dealing] 17. Alpha incorporates herein by reference each and every allegation as set forth in Paragraphs 1 through 16, above. 18. Contained within each contract or agreement, under California law, there is an implied covenant of good faith and fair dealing which imposes upon the contracting parties the duty to refrain from doing anything which would render the contract useless or go against the contracting parties’ intentions, and also the duty to do everything that the contract presupposes the parties will do to accomplish the purpose of the contract. 19. Alpha performed all of its obligations under the Agreement. As such, all conditions for Gale’s performance under the Agreement had occurred. 20. Pursuant to the Agreement, at paragraph 6, entitled “Ownership,” Gale acknowledged that he is not the owner of any right, title or interest in any of “Work Product” created during the employment relationship between Alpha and Gale. Moreover, Gale agreed that Alpha is the sole owner of such Work Product, which is expressly defined as, without limitation, all material of any kind and nature relating to the business of Alpha — whether tangible or intangible — produced, conceived, developed, created and/or furnished by Gale while employed by 6 ‘COMPLAINTee a aA ew 10 ul 12 13 14 15 16 7 18 19 20 21 22 2B 4 25 26 2 28 Alpha. Gale further expressly “recognizes and agrees that Alpha is the sole author and holder of the Work Product.” The parties to the Agreement further expressly regulated and constrained Gale’s ability to make any public statements conceming his tenure with Alpha. Gale’s express agreement in agreeing to terms of confidentiality (paragraph 5) and in recognizing that Alpha ‘would be considered the “sole author” of the Work Product (paragraph 6) was intended by the patties thereto to be consistent with its ordinary meaning and usage of “author” or “authorship” in this context, meaning as defined in Webster's Encyclopedic Unabridged Dictionary of the English Language 1996, in using said phrase as “the maker of anything; creator; originator: ...” thereby implying the term that Gale would part ways with Alpha in a mutually controlled manner and ‘cease any efforts to claim “credit” for Alpha’s business, prospects or operations including Red Bull GRC. Alpha’s protection over its Work Product and creations, among other things, was clearly contemplated to the point that it needed not be expressly further stated/articulated. Had ‘Alpha thought of or known that Gale would have claimed origination/creatorship of entities originated by Alpha during or even affer Gale’s employment relationship ended with Alpha after agreeing to be bound both by confidentiality agreements and by agreements whereby Gale expressly acknowledged to not take credit for what Alpha had evolved into, Alpha would have assured the promise was expressly stated in the Agreement, regardless whether Gale’s claim of creative authorship/origination/creation was truthful or not, by the terms of the parties” express agreements regulating both confidentiality and “Work Product” as alleged hereinabove. 21. — OnNovember 5, 2015, Gale caused to be published a press release stating that “Denver based Speed League is a new motorsport league founded in May of this year by Red Bull Global Rallycross creator Brian Gale.” (emphasis added). Brian Gale was never in any way associated or affiliated with Alpha’s owned/promoted/operated Red Bull GRC. The false indication publicized through this press release that Brian Gale is not only associated with Red Bull GRC but is also the “creator”/“maker”“originator” of Red Bull GRC weakens and dilutes the association that Alpha is legally entitled to possess over Red Bull GRC and the Red Bull GRC brand. On information and belief, Gale published numerous other false and misleading statements ‘COMPLAINToe 3 eee ers ww rasa 10 i Fs 13 14 15 16 17 18 19 20 21 2 23 24 25 26 27 28 in various forms falsely proclaiming an affiliation, creatorship, makership or authorship between Gale and Plaintiff's operations, goodwill, athletes and sponsors. 22. Additional false language that Gale published takes credit for the rallycross and off road racing competitions that Alpha organized with X-Games where Alpha’s top athletes participated in competing. More specifically, in the same November 5, 2015 press release, Gale caused to be released the statement that “Speed League activities include organizing and sanctioning races for ESPN X Games. The rallycross and off-road racing competitions at X Games feature intense high-flying action between some of the world’s best known athletes such as: Travis Pastrana, Ken Block, Tanner Foust, Brian Deegan, ... and Bucky Lasik, as well as top level manufacturer backed teams from Subaru, Ford, VW and Chevrolet.” Gale’s purported “Speed League” was not involved with “organizing or sanctioning” events with all of these athletes for ESPN X Games. On the other hand, Alpha did sanction these events with all of these athletes and manufacturer backed teams. Notwithstanding the parties’ Agreement, Gale is stealing Allpha’s success, and wrongfully seizing acclamations/credits belonging to Alpha, while at the same time, intentionally confusing the public and diluting Alpha’s brand and goodwill. Without implication of such terms these statements by Gale render sections of the Agreement dealing with confidentiality and ownership toothless and illusory without thereby implying the term that Gale ‘would part ways with Alpha in a mutually controlled manner and cease any efforts to claim “credit” for Alpha’s business, prospects or operations including Red Bull GRC. Pursuant to the ‘Agreement, Gale and Alpha contracted to accredit Alpha all of the produces, services, customer, clients, ete. generated through Brian Gale, Nevertheless, Brian Gale claims to be the creator of Red Bull GRC, regardless of his agreement that he was a “work for hire” (and further regardless that in fact he is not the creator of “Red Bull” GRC) and that all Work Product created or authored during the employment relationship would be considered Alpha’s Work Product, with Alpha and not Gale as the creator or author, Moreover, in addition to the false statements that Gale has made alleged hereinabove, whether Gales’ additional statements are true or false, Alpha is informed and believes and thereon alleges that Brian Gale has made additional public statements violating his 8 ‘COMPLAINTa S ROE oot a veoy ne et ooo) 10 u 12 13 4 15 16 17 18 19 20 21 2 2B 24 25 26 27 28 ‘Agreement with Alpha in instances where he has breached the implied covenant that Gale would keep his mouth shut about the things he allegedly accomplished, produced, or created through his prior association with Alpha (see, e.g., Gale’s self-posted Linkedin profile, where he falsely lists his association with Global Rallycross as spanning between December, 2010 and December 2013, an over 3-year association, and where he falsely and wrongfully claims that he “conceived of and created the (Red Bull) Global Rallycross Championship in conjunction with ESPN X Games. GRC is a revolutionary and high-impact racing series widely acknowledged as the most exciting and fastest growing motor sports property worldwide. The sport features high-flying extreme competition between cars and drivers that are relevant to youth.”). 23. By Gale’s wrongful acts as hereinabove alleged, he has breached the implied covenant of good faith and fair dealing, and as a consequence thereof, Alpha has been damaged in a sum which is presently unknown to it. Alpha will seek leave of Court to plead the amount of said damages when the same has been ascertained. THIRD CAUSE OF ACTION [For Unfair Competition for Violation of Bus. & Professions Code § 17200 et seq., for Injunetive Relief and for Disgorgement of Alpha’ Data and any Profits Derived Therefrom] 24, Plaintiff Alpha incorporates herein by reference each and every allegation set forth in Paragraphs 1-16 and 18-23, above. 25. Upon terminating the employment relationship with Alpha, Gale left to form a similar extreme sporting competition gaming event called “Speed League” that is engaged in substantially the same business as, and competes with, Alpha by targeting the same demographic audience, vendors, athletes, sponsors, etc. Alpha is informed and believes, and thereon alleges that Gale took valuable Confidential Information of Alpha, from Alpha, including media other research information known to Alpha, planning to form Speed League and intended to use Alpha’s data and other information so that Speed League could compete unfairly with Alpha. After the wrongful obtaining/retention of Alpha’s Confidential Information, Gale used this information 9 ‘COMPLAINTey eo aN eet eon, 10 af 12 1B 4 1S 16 "7 18 19 20 21 2 2B 4 25 26 27 28 during presentations to acquire and/or compete for the same vendors and third parties that Alpha targets, including spectators and audience. Because Gale wrongfully obtained valuable information belonging to Alpha, Gale is not entitled to have or to usé the information or data taken from Alpha, including without limitation Alpha’s media and research information or any other Confidential Information. 26. Alpha has also engaged in the unlawful practice of falsely claiming credit for Alpha’s success. In Gale’s November 15, 2015, press release, he implies and takes responsibility for creating Red Bull GRC and organizing and sanctioning games hosted by ESPN X Games with athletes and manufacturer backed teams for “rallycross and off-road racing competitions” that were actually organized and sanctioned by Alpha — not Gale. 27, — Gale’s conduct, as alleged hereinabove, constitutes unfair business practice and unfair competition within the meaning of the California Unfair Competition Law, California Business & Professions Code section 17200 et seq. 28. Alpha therefore requests that this Court grants Alpha equitable relief as against Gale as follows: a. Gale, and all those acting in concert with him, be required forthwith to provide restitution to Alpha of the ownership interest in the Work Product that had been in Alpha’s possession and that Gale wrongfully took, including the media buy-out and other research information. b. Gale be required to forthwith provide restitution to Alpha of the ownership interest in the Work Product that had been in Alpha’s possession and that Gale wrongfully took, including all data in his possession, custody or control and wrongfillly taken from Alpha. ©. Gale be required to maintain and not delete, destroy, erase or wipe any information on any of Gale’s computers or any backups thereof, so that said computers and any backups can be analyzed by an independent expert to determine whether any information belonging to Alpha is or was maintained thereon, and to 10 ‘COMPLAINTSew aanuar wn il 13 4 15 16 7 18 19 20 ai 22 B 24 25 26 27 28 facilitate the complete destruction of all Work Product and Confidential Information. d. Gale, and all those acting in concert with him, be preliminarily and thereafter permanently enjoined and restrained from using any of the information wrongfully taken from Alpha, for any purpose, including without limitation from using any information about actual or prospective vendors, investors, athletes, sponsors or clients of Alpha, from contacting any such actual or prospective vendors, investors, athletes, sponsors or clients, or in any other way using information about Alpha’s actual or prospective vendors, investors, athletes, sponsors or clients to gain an economic advantage against Alpha, FOURTH CAUSE OF ACTION [For Violation of Bus. & Professions Code § 17500] 29, Plaintiff Alpha incorporates herein by reference each and every allegation set forth in Paragraphs 1-16, 18-23, and 25-28, above. 30. California Business & Professions Code § 17500 provides that itis unlawful for any person to induce the public to enter into any obligation relating through the use of untrue or misleading statement. 31. Gale has made or disseminated or caused to be made or disseminated a public press release falsely identifying himself as the creator of Red Bull GRC and as the one who organized and sanctioned ESPN X Games competitions with some of the “world’s best known athletes” and “top level manufacturer backed teams” (the “Representation”), The Representation specifically states that Gale organized and sanctioned events involving “Travis Pastrana, Ken Block, Tanner Foust, Brian Deegan, ... and Bucky Lasik, as well as top level manufacturer backed teams from Subaru, Ford, VW and Chevrolet” 32. Gale's Representation is untrue and misleading, and was known or should have been known to a reasonable person to be untrue and misleading at the time the Representation was COMPLAINTee published, Alpha has reason to believe and thereon alleges that Gale’s Representation has induced the public to enter into an obligation relating thereto through the use of Gale’s untrue and misleading statements. Gale’s conduct, as alleged hereinabove, constitutes false or misleading statements within the meaning of the California Business & Professions Code section 17500. 33. Asaresult of Gale’s conduct described above, Alpha is informed and believes and thereon alleges that Gale has and will be unjustly enriched. Specifically, Gale has and will be unjustly enriched through the competitions he has and will organize and sanction in relation to the false and misleading Representation. 34. — Gale’s unlawful and unfair business practices and false and misleading advertising present a continuing threat to members of the public in that the acts alleged herein are continuous and ongoing, and that the public will continue to suffer harm. Alpha and other members of the public have no other adequate remedy under the law, and must seeking equitable relief. 35. Alpha therefore requests that this Court grants Alpha equitable relief as against Gale as follows: a. Foran injunction mandating that Gale be required to remove the Representation from the Site and anywhere else it appears. b. Foran injunction mandating that Gale be required to publish, in a manner equally prominent with the Representation, a retraction of the Representation and an acknowledgement that the Representation is false and misleading, and was known by Gale to be false and misleading when made. c. Fora permanent injunction prohibiting Gale from making any of the claims contained in the Representation. FIFTH CAUSE OF ACTION {For Violation of the Lanham Act] 36. Alpha incorporates herein by reference each and every allegation set forth in Paragraphs 1-16 and 18-23, above. 12 ‘COMPLAINTZeege ea. S Ce a anne wn 10 ul 12 13 14 15 16 7 18 19 20 21 22 B 24 25 26 27 28 37. Gale has caused to be publicly posted a press release on the publicly available internet website (the “Site”), MarketWatch, which is available to anyone who visits the Site, and which is being used to advertise Gale’s skill, expertise and events. According to the Site, Gale founded Red Bull GRC, which is impossible because Red Bull GRC was created by Alpha after Gale left Alpha. The Site also states that Gale’s experience includes “organizing and sanctioning races for ESPN X Games” with some of the “world’s best known athletes” and “top level manufacturer backed teams.” 38. The Representations by Gale are both literally false and impliedly false in violation of the Lanham Act. 39. The literally false representation was Gale’s statement that he was the “Red Bull Global Rallycross creator.” The truth is that Alpha was the creator of Red Bull GRC. Gale was never afiiliated with Red Bull GRC, therefore, iti literally impossible for him to have been its creator. Red Bull GRC was not created until after the execution of the Agreement on February 5, 2014 when Gale’s employment relationship with Alpha terminated. 40. — The use of the Red Bull GRC name and false claim that Gale created “Red Bull Global Rallycross” is intentional misstatement about Plaintiff's product that is both factual in nature, and false, The false statement has been placed into the stream of interstate commerce, via the internet. Gale’s published press release on the internet was deceptive, intentional, egregious, and a false representation concerning Plaintiff. 41, The impliedly false representation regarding the X Games is Gale stating that he organized and sanctioned rallycross races for ESPN X Games that included the world’s best athletes and top level manufacturer sponsored teams. Such Representation is false and misleading because almost all of the identified athletes, manufacturers and teams are affiliated with the Red Bull GRC racing league and not the “Speed League” as falsely identified by Gale, 42. Gale's false implications necessarily imply the false message that Gale organized the X Games events involving the top athletes and sponsors he identifies in his press release to the extent that Gale causes actual confusion to anyone that directly or indirectly learns of the 13 ‘COMPLAINTCe a AH aw dD 10 ae 12 a 14 a 16 abs 18 a 20 Pal 22 23 24 25 26 2 28 misrepresentation has or will become actually confused as to the true relationship between Gale and the athletes and sponsors. 43. By claiming that Gale was responsible for the accomplishments described in the Representation, Gale minimizes, impugns and dilutes Alpha’s role and suecess in the eyes of persons seeing the Representation. By reason of the foregoing, Alpha is likely to be damaged by the Representation, and has standing to bring a civil action under the Lanham Act. 44, Alpha is informed and believes, and thereon alleges, that is has already sustained actual damage by reason of the Representation, in an amount which is presently unknown to Alpha, but which is recoverable from Gale pursuant to section 35 of the Lanham Act, 15 U.S.C. §1117(a). Alpha will seek leave of this Court to amend this Complaint to set forth the exact amount if said damage when it has been ascertained. 45. Gale's conduct is material and harmful to Plaintiff and the public. Unless Alpha is granted equitable relief against Gale, the harm will continue to cause irreparable injury to Alpha and the public. 46. Given the fact that Gale’s company “Speed League, Inc.” is an active corporation continuing to do business in competition with Alpha by ways of deceiving the general public through literal and implied false representations, injunctive relief is a remedy available to Plaintiff. ‘Therefore, Alpha requests that this Court grants Alpha equitable relief as follows: a, Foran injunction mandating that Gale be required to remove the Representation from the Site and anywhere else it appears. b. Foran injunction mandating that Gale be required to publish, in a manner equally prominent with the Representation, a retraction of the Representation and an acknowledgement that the Representation is false and misleading, and was known by Gale to be false and misleading when made. ¢. Fora permanent injunction prohibiting Gale from making any of the claims contained in the Representation. WHEREFORE, Alpha prays for judgment against Gale, as follows: 4 ‘COMPLAINTa 3 wie own Sow xa a i iF] 13 14 15 16 17 18 19 20 21 ae 23 24 25 26 27 28 1 On the First, Second, and Fifth Causes of Action, for damages against Defendant, in an amount to be proved at trial; 2. follows: On the First, Third, Fourth and Fifth Causes of Action, for equitable relief as a. Gale, and all those acting in concert with it, be required forthwith to provide restitution to Alpha of the ownership interest in the data including trade secrets that had been in Alpha’s possession and that Gale wrongfully took, including Alpha’s Work Product as defined hereinabove. b. Gale be required to forthwith provide restitution to Alpha of the ownership interest in the Work Product that had been in Alpha’s possession and that Gale wrongfilly took, including all data in his possession, custody or control and wrongfillly taken from Alpha, including any duplicates or copies thereof. c. Gale be required to maintain and not delete, destroy, erase or wipe any information on any of Gale’s computers or any backups thereof, so that said computers and any backups can be analyzed by an independent expert to determine ‘whether any information belonging to Alpha is or was maintained thereon, and to facilitate the complete destruction of all Work Product and Confidential Information, d. Gale, and all those acting in concert with him, be preliminarily and thereafter permanently enjoined and restrained from using any of the information wrongfully taken from Alpha, for any purpose, including without limitation from using any information about actual or prospective vendors, investors, athletes, sponsors or clients of Alpha, from contacting any such actual or prospective vendors, investors, athletes, sponsors or clients, or in any other way using information about Alpha’s actual or prospective vendors, investors, athletes, sponsors or clients to gain an economic advantage against Alpha. 15 ‘COMPLAINT@ & & fees; and DATED: March 3, 2017 e. Defendant, and all those acting in concert with him, be required forthwith to disgorge all information or data taken from Alpha’s computers and programs in violation of law, including any duplicates or copies thereof, f. Gale, and all those acting in concert with him, be required to remove the Representation from the Site and anywhere else it appears. g. Gale and all those acting in concert with him, be required to publish, in a manner equally prominent with the Representation, a retraction of the Representation and an acknowledgement that the Representation is false and misleading, and was known by Gale to be false and misleading when made. he Gale, and all those acting in concert with it, be preliminarily and thereafter permanently enjoined and restrained from making any of the claims contained in the Representation. On all causes of action, for Alpha’s costs of suit, including reasonable attorneys’ On all causes of action, for general relief. SKADDEN, ARPS, SLATE, MEAGHER & FLOM LLP and STUBBS, ALDERTON & MARKILES, LLP By: fe ichael A. Sherman Ryan C. C. Duckett Attomeys for Plaintiff ALPHA GRP, INC. 16 COMPLAINTuf Pontounriseomy Sis Alonon & Markie, LLP | 4200 Vesta Bird AOE. | FILE capes npelr Coart OF Catt . B18 444-4500 paxiio: (B18) 444-4523, rain ytd ne St “GRRINC, { M8 ese Some Ores agaes foacau ae Los Angeles MAR 03 2017 | Fi sé TILN. Hill St. i : | 8 MLN. Hill St. rR. Cate, Breuer | eles - 90012 7 Pr atonal ey sk Cena Dist od IRP,JING. ¥,. BRIANGALE. : IGASE COVER SHEET Céiniplex Case Designation _ C1 timed Ch eounter [—] voinder | | (Arnount ose: | Filed wit first appearaice by deferidant | caramel ce eae | ces BCS 5 12 gs) a ‘Pravisionally Céinplex Chil Litigation EE auto'2ay ‘EZ ‘Breach of contrachwarranty (08). (Cal. Rules'of Court, rules 3.400-3.403) | ‘Uninsived motorist (46) LL Rule 3:740 collections (09) (2 Anttrustrtrade régulation (03) ‘Gther PNPOAWD (Personal injuryiPiopeity [.] Other elections (09) [J construction defect (10) Daiiage/Wrongful Death) Tort Insurance coveragé'(18) | mass tort (40) ‘Asbeatos (08) ‘ner contract 67) [E) seeurtosiigation'2s) rod abil (24) fi Provet (2) enwirehirdntauroic tort (20) \ Medica lpractoa (45) Eminent domaintoversa Sr ims asng tom Gti ‘anderinaton (4) Eig ietgudssetany canoease ‘Wrongfulevieton (33) eae | BD eusicess arnintacievesspracce 7) ea] Other ‘eat property 26) Enforeamant of Judgment | Gi ight (08) — Potainer Enforcement of judgmant (20) i Defamation (13), cial (31) ‘Miscellaneous Civil Complaint: I | Froud(16) a Residential (32) CT rcoen | |. [7 inteniectuai property (8) TOE pigs 28) {J oiher compiaint (nat speciton above) (42) “|, | Professional negligence (25) ictal Review Miscellaneous Civil Patition | }) Otter non-PUPDAND tort (36) ‘Asset foretire (06) [1] Partnership and compere Governance 2s) | 1 1 Prton we: attraion ewers(s9. [] cer point sata above) 3) ; Wireft trmintn(36) wit of raat (02) otter employment (ss) thet judicial review (9). iscase | Jis LJ isnot Zorasex under rile 3.400 of the CalloMia Rules Court We ease is impex: mark the factors requiring exceptional judicial management: (C1 Large number of separately represented parties: _.] Large number ot witnesses. Extensive motion practice‘raising'diffcutor novel :e. L_]'Coordination.with related actions pending in Gne or more courts _... 188uieS that Will be time-consuming to'resolve ‘nother counties;:states; or countries, or in a federal court [1 substantia! amount of édcumentary eviderice substantial postiuagment judicial supervision 3 Remeties sought (check all that apply): a7] monetary jonmonetary; declaratory orinjuncive relief’ ©. [punitive iber-of causes of action (specify):. Five syns Edis [WJisnot, “adass action:suit: lifthere are any kroivn related cases, fle and serve a notice of related case. (Yc Date: Hee 28,2017 ns. is Cover:sheet in addition td,any cover sheet required:by local eouitrule, i this case is complex under rule 3.400 et seg, of the: California Rules of Court, you must serve'a copy of this‘cover sheet onal the’ action or proceeding. ‘collections-case under nile'3.740.or a complex case, carafe Givit CASE COVER SHEET | pUrBORESIOAI. [asia so, a,