Van Kleef v. Azria CA2/2

FACTS AND PROCEDURAL BACKGROUND

I. Facts1

A. Clean Concept, LLC (the LLC) In 2015, Paul Van Kleef (plaintiff) and Robert McFarlane (McFarlane) invented what they deemed to be an “innovative pest control product.” It was a bug zapper. In early 2016, plaintiff and McFarlane, as 50/50 partners, formed the LLC as a vehicle for manufacturing and distributing their so-called “Zapplight.” The LLC was created in Nevada, but its principal place of business was Los Angeles, California.

These facts are based on the allegations in the operative complaint as well as facts contained in the declarations filed by the parties.

2 B. Max Azria (Max)2 acquires a controlling interest in the LLC, and uses it to raid the LLC and fire plaintiff Plaintiff and McFarlane needed capital to expand the LLC. The LLC’s online sales consultant, Yasmine Hanane (Hanane), recommended Max as a potential source of funding. At that time, Max was Hanane’s mentor as well as her paramour. Max was married to Lubov Azria (Lubov). In the spring of 2016, plaintiff and McFarlane spoke with Max. In those discussions, Max agreed to invest $2 million in the LLC and to pay its day-to-day operating expenses.…