The plaintiff, Titus Steel Company Limited, sued its former Vice President, Wayne Hack, and his new companies (Progressive Armor), alleging breach of fiduciary duty, breach of employment duties (fidelity, loyalty, good faith), misappropriation of confidential documents, conversion, and willful misconduct/gross negligence.
The court found that Hack was not a fiduciary and therefore did not breach any fiduciary duties by competing or soliciting customers post-resignation.
However, Hack did breach his employment duties and committed conversion by copying, deleting, and retaining Titus's business records.
The court found no damages for breach of confidence or the employment breaches related to documents, as Titus failed to prove loss or unauthorized use of confidential information, and a prior payment covered recovery costs.
Claims of willful misconduct/gross negligence regarding two clients were also dismissed due to lack of proof or the employer's own inconsistent conduct.
The court ordered the return of all business records to Titus.