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Business Organizations Keyed to Sjostrom
Foodcomm International v. Barry
Citation:
328 F.3d 300 (7th Cir. 2003)Facts
Foodcomm is an importer of chilled Australian beef. Patrick Barry and Christopher Leacy were senior sales representatives at Foodcommon and oversaw its dealings with Empire Beef, one of Foodcomm’s largest customers. In 2001, Empire approached Foodcommon with a business proposal to redistribute market fluctuation risk between the companies but the negotiations broke down. Leacy asked Foodcomm’s Greg Bourke to leave it to Leacy to smooth things over with Empire. In 2002, Barry and Leacy decided to seek alternative employment and contacted Brubaker at Empire Beef to inquire whether it would be interested in their services. Brubaker requested a business plan and Barry and Leacy used their Foodcomm computers to prepare a plan for a new company (Outback Imports) that would import beef for Empire. Barry and Leacy never informed Foodcomm about their plans with Empire and Outback and Leacy continued to maintain to Foodcomm that he was smoothing things over with Empire. Upon learning about the events, Foodcomm sought and obtained a preliminary injunction.
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