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EX NEXTEC EMPLOYEES NEAR SETTLEMENT

Two Nextec employees, who left to join SWK Technologies, are near a settlement of a legal action brought by their former employer, which is based in Houston, Texas. The suit was brought after Paul Frydman and Andrew Nunez, who were involved in Nextec’s sale of Sage’s X-3 software from its New Jersey, jumped ship for Livingston, N.J.-based SWK, which also sells the high-end manufacturing software.
SWK, which was not sued, joined in the settlement agreement in support of the new employees, according to president Jeff Roth, Although final documents have not been completed, Frydman and Nunez settled the dispute without admitting liability and have agreed to entry of a final order which “comports with provisions of their NexTec contracts,”  Roth said. In February, Nextec requested and was granted a temporary restraining order against the two consultants. The action alleged Frydman and Nunez “have misappropriated property of a confidential and a trade secret nature which belong to Nextec.”  The court ordered the employees not to use any proprietary Nextec information, solicit employees or disparage the company. Frydman was also ordered to not solicit any customers he or employees working for him had dealt with for two years prior to his departure.
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