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REFLECTIONS ON PEPSICO V. REDMOND

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Essay / Research Paper Abstract

This 3-page paper examines whether the 7th Circuit Court had proof enough to uphold PepsiCo's preliminary injunction against an employer taking a job with a competitor. Bibliography lists 1 source.

Page Count:

3 pages (~225 words per page)

File: D0_MTpepsredm.rtf

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Unformatted sample text from the term paper:

of trade secrets or confidential information in his new job with Quaker. The injunction also concerned with ensuring that Redmond not assume duties at Quarter related to beverage pricing, marketing or distribution, especially of its new age beverage drink, Snapple. The court affirmed the decision of a lower court to uphold Pepsis suit for several reasons. For one thing, there was a belief that Redmond could - and would - help plan Snapples strategy, meaning trade secrets from Pepsi (through its ownership of Lipton and Ocean Spray). Redmond had been Pepsis general manager of the companys business unit covering all of California - and it was believed that his "relatively high-level at PCNA gave him access to inside information and trade secrets" according to the case. Redmond, however, had been required to sign a confidentiality agreement that he would not divulge trade secrets or confidential information relating to the business of Pepsi while in the employ of Pepsi. Upon being offered the job at Quaker as Vice President-Field Operations for Gatorade, Redmond was also required to sign another confidentiality agreement, this one noting that he wouldnt use trade secrets from the competition to aid Quaker. But he was prevented from taking the job, because of an injunction from Pepsi not to. However, its our belief that the court may have been a little over-anxious about the situation and granted the injunction against Redmond taking the job incorrectly; the reason being traced to the confidentiality agreements. By their very nature, confidentiality agreements are contracts between to parties, in which both parties agree that certain types of information will remain confidential, or non-disclosed (Radack, 1994). If its proved that such agreements are violated, the injured party can claim a breach of contract, and then seek injunctive and monetary damages (Radack, ...

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