Facts

Plaintiff Packageone Inc. employed defendants Jennifer Russey, a customer service representative, and Mark Asadoorian, a commissioned salesman. On Aug. 3, 2007, they left the company and began working for defendant Heritage Paper. Both Pacakgeone and Heritage Paper were in the packaging products industry. When Asadoorian left Packageone for Heritage Paper, several of his clients, who he did business with prior to his employment with Packageone, continued doing business with him at Heritage Paper. Later, Packageone sued Russey, Asadoorian, and Heritage Paper, alleging unfair competition, misappropriation of trade secrets, interference with prospective economic advantage, conversion, and beach of fiduciary duty.

PLAINTIFF'S CONTENTIONS:
Packageone claimed that it developed specific business information, which related to Asadoorian's clients and constituted trade secrets that neither Asadoorian nor Russey could use as employees of Heritage Paper.

DEFENDANTS' CONTENTIONS:
The defendants claimed that the information did not constitute trade secrets, in that prospective clients were readily identifiable and Asadoorian knew the clients prior to his employment with Packageone. Further, the former employees asserted that they had a legal right to work in the industry and compete against former employers in later employment.

Damages

Packageone sought $1,000,000 in business losses.

Result

The jury found that Packageone owned trade secrets and protected the trade secrets, but that the trade secrets were available to others. Judgment was entered in favor of the defense.

Other Information

FILING DATE: Aug. 17, 2007.