Litigation over a noncompete agreement between a doctor and the Alpharetta medical services company he founded has exploded with allegations of illicit sex, violence and illegal drug use—with nearly $45 million at stake.

The case, filed in the Delaware Superior Court, centers on Dr. Bradley Bakotic, a podiatrist who founded and was CEO of Bako Pathology, which provides pathology, molecular biology and neurology tests. Last year, Bakotic and a co-founder, Dr. Joseph Hackel, left Bako. In December, they asked a judge in Delaware, where Bako is registered, to invalidate their agreements not to do work competing with Bako for two years after departing.

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