From Casetext: Smarter Legal Research

Pencom Systems, Incorporated v. Shapiro

Appellate Division of the Supreme Court of New York, First Department
May 27, 1993
193 A.D.2d 561 (N.Y. App. Div. 1993)

Opinion

May 27, 1993

Appeal from the Supreme Court, New York County (Harold Baer, Jr., J.).


The court found that defendant, a former employee of plaintiff, breached a restrictive covenant not to compete following his departure from plaintiff's employ. As a result, we agree with Trial Term that the proper measure of damages is the net profit of which plaintiff was deprived by reason of defendant's improper competition with plaintiff (Support Sys. Assocs. v Tavolacci, 135 A.D.2d 704, 707; Weinrauch v Kashkin, 64 A.D.2d 897, 898). Disgorgement of defendant's profits would be the proper measure of damage if defendant had used the trade secrets for his own benefit while still in plaintiff's employ.

Moreover, Trial Term correctly declined to issue an injunction since the parties' employment agreement contained but a one-year nonsolicitation clause and the one year has long since passed. A permanent injunction need not issue where plaintiff may be made whole in damages.

Concur — Murphy, P.J., Milonas, Kupferman, Ross and Nardelli, JJ.


Summaries of

Pencom Systems, Incorporated v. Shapiro

Appellate Division of the Supreme Court of New York, First Department
May 27, 1993
193 A.D.2d 561 (N.Y. App. Div. 1993)
Case details for

Pencom Systems, Incorporated v. Shapiro

Case Details

Full title:PENCOM SYSTEMS, INCORPORATED, Appellant, v. ALAN SHAPIRO, Respondent

Court:Appellate Division of the Supreme Court of New York, First Department

Date published: May 27, 1993

Citations

193 A.D.2d 561 (N.Y. App. Div. 1993)
598 N.Y.S.2d 212

Citing Cases

Loughlin v. Meghji

"Implicit in the sale of a business, unless expressly reserved, is the sale of its ‘good will’ " ( Borne…

Zylon Corp. v. Medtronic, Inc.

The "[d]isgorgement of defendant's profits would be the proper measure of damages if defendant had used the…