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Utah home-security companies settle suit over solicitation of customers, employees

Two Utah-based home security companies that compete for customers in multiple states have settled a legal battle out of court.

On Thursday, attorneys for Vivint Inc., which has its headquarters in Provo, and Alarm Protection, a North Salt Lake company, filed a motion in U.S. District Court that says they have resolved their dispute and that requests the dismissal of their claims against each other. The companies sell electronic security equipment and services.

In May 2014, Vivint sued Alarm Protection, saying it tried to damage Vivint’s reputation by making false statements to customers, including that Vivint is a scam and was going out of business.

Vivint accused its competitor of soliciting Vivint’s then-current or former sales representatives to work for it even though the employees were under contracts that prevented them from working for Alarm Protection for a certain period of time.

Alarm Protection filed a counterclaim, saying Vivint was “knowingly and intentionally spreading falsehoods” about it in order to retain customers or to encourage customers to cancel their Alarm Protection contracts.

The dismissal motion does not give details about the settlement.

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