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ARTICLE · 18 APRIL 2015

Competing After Employment (Part One)

A key employee departs. The employer, worried that confidential information has leaked out of the company, scrambles to respond.

CanadaIntellectual Property

A key employee departs. The employer, worried that confidential information has leaked out of the company, scrambles to respond. After a frenzied period of preparation, the employer starts a lawsuit and seeks an injunction against the ex-employee.

In two recent Canadian cases, those same basic facts apply but with very different results. First, let's look at the BC case decided in December 2014 (JTT Electronics Ltd. v. Farmer, 2014 BCSC 2413). In that case, the employer sued the ex-employee and the employee countered with an argument that the employer could not actually identify the confidential info it sought to protect.

The Court agreed, noting: "the need to identify with some reasonable degree of specificity what a plaintiff asserts is confidential or proprietary serves three important and related functions." To summarize:

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