The appellants, former senior employees of the respondent software company, resigned without adequate notice to start a competing business.
They misappropriated confidential technical and business information, successfully targeting the respondent's clients.
The trial judge found them liable for breach of fiduciary duty, breach of confidence, and breach of contract, ordering them to disgorge 10 years of profits totaling over $12.3 million, plus full indemnity costs.
On appeal, the appellants challenged the 10-year accounting period, the finding of fiduciary duty for two employees, joint and several liability, and the costs award.
The Court of Appeal dismissed the appeal, finding the 10-year period reasonable given the highly specialized nature of the software and the time required to develop it.
The respondent's cross-appeal for a permanent injunction was also dismissed.