Town & Country House & Home Service, Inc v. Newbery

147 N.E.2d 724 (1958)

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Nature of the Case

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Facts

Town and Country (P) sued for an injunction and damages against Newbery (D) for basically stealing his idea of a house cleaning company. D had worked for P and then quit and started their own company. P claimed that his enterprise was unique, personal, and confidential. The complaint was dismissed on the ground that Ds were not subjected to negative covenants under the contract with P and that the methods and techniques used by P in conducting its business were not confidential or secret. The trial court also ruled that no violation of duty was involved in soliciting P's customers by Ds after resigning from P's employ. The Appellate Division reversed on the grounds that Ds conspired to terminate their employment, form a business on their own, and solicit P's customers as part of that business plan.