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Business Law
Unfair Competition
Breach of Covenant of Good Faith and Fair Dealing

Morris Bendah dba Do It Yourself Granite v. Li Shu-Rong, Li Hiu-Ting, Wealthcome Development Ltd., Wealthcome Marble Granite Inc.

Published: Jan. 10, 2009 | Result Date: Sep. 22, 2008 | Filing Date: Jan. 1, 1900 |

Case number: HG03099067 Verdict –  $58,767

Court

Alameda Superior


Attorneys

Plaintiff

Donald J. Putterman
(Putterman Landry Yu LLP)

Christopher J. McNamara
(Lvovich & Szucsko PC)


Defendant

James I. Fisher

Cheryl J. Thomas

M. Candice Bryner


Experts

Defendant

Robert J. Moody
(technical)

Facts

Plaintiff Morris Bendah was the owner of Do It Yourself Granite, which specialized in selling prefabricated granite countertops. Bendah approached defendant Li Shu-Rong and his company Wealthcome Development Ltd. to buy granite slabs on a consignment basis. Bendah requested that Li keep all information given by Bendah confidential as it was proprietary information, and Li agreed to do so.

In 2002, Li began Wealthcome Marble Granite Inc., which was in direct competition with Do It Yourself Granite, and discontinued his granite shipments to Do It Yourself Granite. In October 2002, Bendah discovered that Li operated a booth at a Las Vegas trade show promoting Wealthcome Development, which used similar marketing materials and styles as Do It Yourself Granite.

Bendah sued for unfair competition, breach of contract, breach of implied covenant of good faith and fair dealing, and breach of confidence.

Contentions

PLAINTIFF'S CONTENTIONS:
Bendah contended that Li appropriated his protected trade materials despite promising that it would remain confidential. Bendah argued that Li spied on him in order to acquire enough material to start a competing business.

DEFENDANT'S CONTENTIONS:
Li contended that all the information provided by Bendah was on-line and available to the public. As well, the colors, shapes, and sizes of the granite in question were generic and were well known in the industry.

Damages

Bendah sought an unspecified amount in damages.

Result

The jury found for Bendah in the amount of $58,767. Judgment was entered in the amount of $46,930 against defendants Li Shu-Rong, Wealthcome Development Ltd., and in the amount of $11,837 against defendant Wealthcome Development Ltd.

Other Information

Plaintiff dismissed Li Hiu-Ting on all causes of action prior to submission of matter to the jury.

Length

13 days


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