The plaintiff, Arc Compute, sought an interlocutory injunction to restrain the defendants—two former senior employees and their new company—from retaining or disclosing confidential information, competing with the plaintiff, and interfering with its client and employee relationships.
The court found that the defendants, as fiduciaries, breached both contractual and common law duties by retaining confidential information and soliciting clients and employees for their competing business.
The court granted a modified injunction, requiring the return of all confidential information, the shutdown of the competing company, and a six-month worldwide non-competition order.