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IN RE VYLENE ENTERPRISES, INC.

Bank No. LA 84-14659 SB, Adv. No. LA 85-4983 SB.

105 B.R. 42 (1989)

In re VYLENE ENTERPRISES, INC., Debtor. VYLENE ENTERPRISES, INC., Plaintiff, v. NAUGLES, INC., et al., Defendants. and related cross-action.

United States Bankruptcy Court, C.D. California.

February 15, 1989.

Attorney(s) appearing for the Case

Howard Mark Becker of Antin, Magasinn, Stern, Litz & Grebow, Los Angeles, Cal., and Phillip K. Fife of Fife, Smith & Ablon, Universal City, Cal., for debtor.

William Rintala of Rintala, Smoot, Jaenicke & Brunswick and Michael A. Morris of Stutman, Treister & Glatt, Los Angeles, for Naugles, Inc.

Davis von Wittenburg, Los Angeles, Cal., U.S. Trustee.

MEMORANDUM OF OPINION RE LIABILITY OF NAUGLES, INC.

SAMUEL L. BUFFORD, Bankruptcy Judge.

I. INTRODUCTION

Naugles', Inc. ("Naugles") has brought this action to prohibit the debtor Vylene Enterprises, Inc. ("Vylene") from infringing Naugles' federally registered trademarks and from otherwise unfairly competing with it. The grounds for the adversary proceeding are that Vylene's ten-year franchise agreement with Naugles has expired according to its...

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