Hayley Fowler
December 26, 2025
NC Biz Court Bulletin: Rulings Spotlight Coverage Clashes
6 min
AI-made summary
- The North Carolina Business Court issued significant rulings in the fourth quarter, including decisions on insurance coverage for $50 million in COVID-19 losses at Tanger Outlets and an industrial accident at a Nucor Corp
- plant
- Other notable cases involved employment contract disputes, data breach settlements, and ongoing litigation between the state attorney general and HCA Healthcare over the Mission Health System sale
- Additional complaints addressed issues such as defamation, business ownership, and trade secrets.
The North Carolina Business Court plowed into the fourth quarter with two big decisions in insurance disputes that involved $50 million in COVID-19-related losses at a chain of outlet malls, and an industrial accident at a Nucor Corp. iron plant in Louisiana.
Meanwhile, the state attorney general's office and HCA Healthcare are battling it out for a pretrial win in a suit accusing HCA of breaching the terms of its agreement to buy the Mission Health System in western North Carolina.
In case you missed those stories and others, here are the highlights.
Rulings
Two former employees of a transportation logistics company are temporarily barred from using confidential information they allegedly stole for the benefit of their new employer, Judge Adam M. Conrad said, finding the company had shown it was likely to succeed on its claim that they breached the confidentiality clauses in their employment agreements. The case is Best Logistics Group Inc. v. Bravo, case number 2025CVS25484.
An attorney and his law firm can exit a widow's lawsuit in which she is battling to assert ownership over his assets, Judge Matthew T. Houston ruled, finding the lawyer lacks sufficient contacts with North Carolina to be dragged into court there. The case is Moore v. Brooks, case number 2025CVS1214.
Judge Mark A. Davis asked 21 former independent agents of an insurance marketing company to refile their complaint challenging what they characterized as predatory and restrictive employment contracts, finding the first version was "impermissibly vague." The case is Britcher v. Assurance Group LLC, case number 2025CVS1638.
Judge Conrad canceled a notice of lis pendens involving a real estate holding company, finding the lawsuit filed by two individuals seeking to claw back their membership interests following a crypto deal does not directly involve or affect title to the company's real property. The case is Sealy v. NWP Holdings LLC, case number 2025CVS3612.
Nucor's equipment breakdown insurance doesn't cover an industrial accident at its Louisiana-based direct reduced iron plant, Judge Julianna Theall Earp ruled, but she said its 10 property insurers must provide coverage for the loss. The case is Aspen Specialty Insurance Co. et al. v. Nucor Corp. et al., case number 19CVS019887.
Ace American Insurance Co. and Liberty Mutual Fire Insurance Co. can't duck a lawsuit by Tanger Outlets seeking coverage for more than $50 million in pandemic losses, Judge Davis said, finding the retail outlet chain sufficiently connected its insured interests to its operations in North Carolina. The case is Tanger Properties Limited Partnership v. Ace American Insurance Co. et al., case number 2025CVS5614.
Judge Conrad won't cut a professional networking organization loose from a lawsuit by retired NFL player Mike Rucker and his wife claiming they were swindled by their longtime financial adviser, finding the complaint fairly traces the couple's financial harm to the company. The case is Rucker v. Kubler, case number 2025CVS15792.
Judge Michael L. Robinson determined that posts about a Virginia couple insinuating they committed arson weren't defamatory, denying a motion for summary judgment on their counterclaims against the former executive of a defunct technology company and his wife. The case is rFactr Inc. v. McDowell, case number 2018CVS12299.
Complaints
An e-commerce platform for hemp has accused a former supplier of falsely insinuating that he built the business and is responsible for its success while claiming the true owners are running it into the ground, saying he has maligned its reputation in an effort to "inflate his credentials" and build up his own brand. The case is Mood E-Commerce LLC v. Rich, case number 2025CVS34582.
A residential developer is suing a landowner in North Carolina for allegedly defaulting on a $40 million project by failing to comply with the development schedule, obtain approval of the construction plans and start grading on time. The case is Pulte Home Co. Inc. v. LP Rivertowne LLC, case number 2025CVS7746.
Paladin Drones Inc., a manufacturer of emergency response drones, and its former vice president of sales are battling over his exit from the company, with the one-time executive claiming he's owed unpaid bonuses and equity. Paladin, meanwhile, alleges he sabotaged multiple rounds of funding and tried to oust its founder and CEO before quitting. The case is Kadah v. Paladin Drones Inc., case number 2025CVS50925.
A pain management institute said one of its shareholders and a practicing physician who allegedly abruptly quit the practice owes hundreds of thousands of dollars, including a deficit in payments under his compensation plan and his shares. The case is Carolinas Pain Institute PA v. Ajam, case number 2025CVS10900.
A group of investment companies are seeking to recoup upwards of $10 million they allegedly gave to an inventor of medical devices to develop two products, saying he milked them for cash during the development phase only to sign over ownership and intellectual property rights to a new entity once the products were completed. The case is Gaston Capital LLC v. Kellar, case number 2025CVS6056.
Property owners in a private gated community are suing to block a $1.45 million special assessment levied by the property association to pay for damage caused by Hurricane Helene, saying the board spread misinformation and thwarted attempts to gather votes from lot owners to push the measure through. The case is Brock v. Kyryk, case number 2025CVS5368.
Financial accounting firm Langdon & Co. LLP has been hit with a proposed class action claiming it failed to protect consumers' sensitive personal information from hackers, resulting in an April 2024 data breach. The case is Marino v. Langdon & Co. LLP, case number 2025CVS31425.
A reinsurance company is looking to enforce the terms of its arbitration agreement with a life insurance company, saying the life insurance company is trying to change the umpire selection process after the fact and has stopped the arbitration process in its tracks. The case is SCOR Global Life Americas Reinsurance Co. v. Brighthouse Life Insurance Co., case number 2025CVS54606.
The owner of a financial advising firm has alleged a company he partnered with to help sell his business exposed his confidential client list to a nonparty, forcing him to ultimately sell the firm for less than what it's worth. The case is Treece v. Advisors Excel LLC, case number 2025CVS7146.
In Brief
Investment giant Barings LLC wants the executive chairman of rival Corinthia Global Management held in criminal contempt for allegedly violating a court order forcing Corinthia to disclose any communications it had with Barings' clients, saying discovery has unearthed a host of telephone calls and emails with a major client that the chairman allegedly lied about under oath. The case is Barings LLC v. Fowler, case number 2024CVS12798.
The North Carolina Attorney General's Office and HCA Healthcare have offered competing interpretations of a 2019 merger agreement involving the sale of the Mission Health System, with Attorney General Jeff Jackson arguing the sale was contingent on HCA continuing to offer certain emergency and oncology services. HCA meanwhile, countered that it only had to continue providing support for those services. Both are battling for summary judgment in the attorney general's case accusing HCA of breaching the terms of the purchase contract. The case is Jackson v. HCA Management Services et al., case number 2023CVS5013
Settlements
Judge Davis gave a nod of approval to a class action settlement with Asheville Eye Associates PLLC over a data breach that compromised the personal information of more than 327,000 patients and employees. The deal includes identity theft protection, vouchers for glasses, and reimbursements for class members who submit a valid loss claim. The case is In re: Asheville Eye Associates Data Incident Litigation, case number 2025CVS809.
Hearings
Judge Davis was mildly miffed during a hearing on a motion to dismiss in an ammunition technology trade secrets suit against a former executive accused of defecting to a competitor, calling out the ambiguous language in his employment contract, which he said was "not the best worded contract in the history of the world." The case is Jekson USA, Inc. v. White, case number 2025CVS1391.
For the Record
"It continued to boggle my mind why we see poorly worded things that look like they're written in about ten minutes." –Judge Davis on the terms of an employment contract underpinning a technology trade secrets suit.
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Hayley Fowler
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