Corroon &Black-Rutters & Roberts, Inc. v. Hosch

325 N.W.2d 883 (1982)

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Nature of the Case

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Facts

Hosch (D) was an agent licensed to sell insurance. He worked for Roberts Company. In 1973 that company sold its assets to Corroon (P). During his employment, D procured and serviced accounts. When the merger occurred, D was required to sign a covenant not to compete that terminated on December 31, 1977, four years later. When the covenant expired, D went to work for another agency. P was notified that a large number of their accounts for agent of record were being changed; this resulted in substantial losses as 2/3rd of their customer base was melting away. P sued D, and the jury determined that it was unfair competition for D to use customer lists of his former employer to divert clients to his new agency. The jury found for P. The court of appeals reversed. P appealed.