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Prod. Res. Group, L.L.C. v. Oberman

Prod. Res. Group, L.L.C. v. Oberman

United States District Court for the Southern District of New York

August 27, 2003, Decided; August 29, 2003, Filed

03 Civ. 5366 (JGK)

Opinion

FINDINGS OF FACT AND CONCLUSIONS OF LAW

JOHN G. KOELTL, District Judge:

This is a diversity action arising out of an alleged breach of an employment agreement. The plaintiff, Production Resource Group, L.L.C. ("PRG"), seeks a preliminary injunction that would enjoin the defendant, Dave Oberman ("Oberman"), from (1) using or disclosing PRG's confidential or trade secret information, (2) soliciting PRG employees to leave the company to join Oberman in a competing venture, (3) soliciting business from  [*2] current PRG customers, and (4) competing with PRG.

The plaintiff originally sought a temporary restraining order ("TRO"), and after a hearing held on July 22, 2003, the plaintiff's motion for a TRO was granted. The TRO was subsequently extended with the consent of the defendant until August 28, 2003 to provide time for decision of the preliminary injunction motion. Expedited discovery was conducted. A hearing was held on August 14, 2003 on the motion for a preliminary injunction, and the parties had the opportunity to examine witnesses and submit relevant documentary evidence. Having reviewed the submissions and assessed the credibility of the witnesses, the Court makes the following Findings of Fact and reaches the following Conclusions of Law pursuant to Fed. R. Civ, P. 52(a) and 65.

FINDINGS OF FACT

The Parties

1. Plaintiff Production Resource Group, L.L.C. ("PRG") is a limited liability company organized under the laws of the state of Delaware with its principal place of business in New York. (Compl. P 1) PRG provides theatrical lighting, audio equipment, and scenery to a variety of industries. (Transcript of Hearing dated August 14, 2003 ("Hearing Tr.") at 6 (Harris).) PRG's original  [*3] customers were Broadway shows in New York. Id.) Current customers include music concert tours, themed entertainment, the gaming industry, and corporate events, Id. at 6, 12-13 (Harris).) Trade shows in the automotive industry account for roughly $ 15 million in revenue for PRG annually. (Id. at 28 (Rackover).)

2. Defendant Dave Oberman ("Oberman") is an individual who resides in Palos Verdes, California. Until June 30, 2003, Oberman was employed by PRG. Oberman has formed his own company to provide lighting subcontracting services to trade shows and other events, including automotive events. (Hearing Tr. at 100, 130-33 (Oberman).)

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2003 U.S. Dist. LEXIS 27898 *; 2003 WL 22350939

PRODUCTION RESOURCE GROUP, L.L.C., Plaintiff - against - DAVE OBERMAN, Defendant.

CORE TERMS

Oberman, PRG, trade secret, lighting, customers, bid, non-competition, soliciting, compete, hire, subcontracting, confidential, confidential information, covenant, courts, proprietary information, automotive, contacts, preliminary injunction, competitor, negotiated, choice-of-law, parties, likelihood of success, employment agreement, markups, merits, termination, contends, designer