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No, she did not file with the state. When you own a boutique you go to apparel markets to purchase clothing for next years seasons. There is what's called Dallas Market where I go every year. I owned 2 stores one called The Iron Monkey and one called plainJane. I have always registered and went to market under The Iron Monkey. When my employee was working for me she registered as the owner of plainJane and her mother as the buyer without my consent. With this she would be able to contact companies and have catalogs sent to her, getting information on opening her own store(she had a FB page and a website) as she did while working for me(is this legal)? I called Dallas Market and asked what she would have had to send in as proof to get approved and they said like a sales tax id with her and plainJanes name on it(which she did not have), business cards with her name and plainJane(which she could have made), lease agreement(which she had and could have changed names), again they shred any documents after 90 days but people are not approved without some sort of documentation with her name and the business name on it.