AssuredPartners of Missouri, LLC v. Edgewood Partners Insurance Center, Inc.

CourtDistrict Court, E.D. Missouri
DecidedMarch 10, 2025
Docket4:24-cv-01711
StatusUnknown

This text of AssuredPartners of Missouri, LLC v. Edgewood Partners Insurance Center, Inc. (AssuredPartners of Missouri, LLC v. Edgewood Partners Insurance Center, Inc.) is published on Counsel Stack Legal Research, covering District Court, E.D. Missouri primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
AssuredPartners of Missouri, LLC v. Edgewood Partners Insurance Center, Inc., (E.D. Mo. 2025).

Opinion

UNITED STATES DISTRICT COURT EASTERN DISTRICT OF MISSOURI EASTERN DIVISION ASSUREDPARTNERS, LLC, ) ) Plaintiff, ) v. ) Case No. 4:24-cv-01711 SEP ) EDGEWOOD PARTNERS INSURANCE ) CENTER, INC., dba EPIC INSURANCE ) BROKERS & CONSULTANTS, et al., ) ) Defendants. ) MEMORANDUM AND ORDER Before the Court is Plaintiff’s Motion for Temporary Restraining Order, Doc. [35]. The Court held a hearing on the motion on March 7, 2025. For the reasons set forth below, the motion is denied. BACKGROUND1 Plaintiff initiated this breach of contract and trade secret action by filing an unverified Complaint on December 20, 2024. See Doc. [1]. Plaintiff’s Complaint alleges six counts: (1) breach of contract, (2) tortious interference with contractual and prospective contractual relations, (3) misappropriation of trade secrets in violation of Missouri law, (4) violation of the Defend Trade Secrets Act, (5) unjust enrichment, and (6) breach of the duty of loyalty. Id. On February 24, 2025, Plaintiff filed the instant motion for a temporary restraining order. Doc. [35]. The following facts are taken from the declaration of Tabbatha Sipes, the Area President of AssuredPartners of Missouri, Doc. [36-1]; the declaration of Joe Hennessey, a current employee of Plaintiff, Doc. [36-2], and the exhibits thereto; Plaintiff’s memorandum in support of the motion, Doc. [41]; Defendants’ memorandum in opposition to the motion, Doc. [44]; the declarations of Rick Frechmann, Joleen Mayfield, and Brad Snitzer (collectively, the Individual Defendants), Docs. [44-1]-[44-3]; and the declarations of EPIC employees Crawford McInniss, Doc. [44-4], and Jeremiah Glassford, Doc. [44-5].

1 Nothing stated herein is binding at a trial on the merits. Henderson v. Bodine Aluminum, Inc., 70 F.3d 958, 962 (8th Cir. 1995) (citation omitted). Individual Defendants Rick Frechmann, Joleen Mayfield, and Brad Snitzer were producers2 in AP’s St. Louis office. Doc. [36-1] ¶ 2. During their employment with AP, they signed Restrictive Covenant Agreements, in which they promised to comply with certain restrictions related to the retention, use, and disclosure of AP’s Confidential Information, and to return such information upon separation from employment with AP. Doc. [41] at 9. The RCAs also prohibit them, during their employment and for a period of two years following their employment, from soliciting, servicing, or interfering with any of AP’s Restricted Clients. Id. AP, in its memorandum in support of its motion for TRO, describes the following provisions3 regarding non-solicitation and confidential information: 4. Non-Solicitation and Non-Interference. a. During Employee’s employment with the Company, Employee shall not induce or attempt to induce, or refer to a third party [for] the purpose of such third party inducing or attempting to induce, any person or entity to purchase an Insurance Product . . . from any person or entity other than a member of the Employer Group. Furthermore, during the twenty-four (24) month period immediately following the Separation Date (the “Restricted Period”), Employee shall not directly or indirectly through another person or entity (each a “Restricted Activity”): i. Offer, sell, solicit, quote, place, provide, renew, or service any insurance product or service to, for, or on behalf of any Restricted Client; ii. Take any action intended, or reasonably likely, to cause any Restricted Client, or any vendor, insurance carrier, wholesale broker, other client of the Employer Group, or any other third party that, in each case, Employee knows or has reason to know has a material business relationship with the Employee Group, to diminish its business with, or cease or refrain from doing business with, the Employer Group. Id. at 10 (alteration by Court).

2 A “producer” is another term for broker and is someone who represents individuals or entities that purchase insurance products. 3 Plaintiff states that the quoted language is taken from Snitzer’s Agreement, which differs from the Agreement signed by the other two Individual Defendants. See Doc. [41] at 10. Plaintiff asserts that the language quoted in its memorandum in support of the motion is “more precise” than the other two Agreements, but is the same in “meaning and scope” as the language in the earlier Agreements signed by Mayfield and Frechmann. Id. The Court notes that upon review of the older Agreements, relevant clauses in the Mayfield and Frechmann Agreements appear to differ from the Snitzer Agreement in significant respects, but because those differences are not germane to the Court’s analysis in this Order, it will not explore those differences at this time. **** 3. Confidential Information. 3.1 For purposes of this Agreement, the term Confidential Information means all confidential, proprietary and/or non-public information, whether or not in a written or recorded form, concerning the business or affairs of the Company, including but not limited to, information concerning: 3.1.1 The Company’s clients, prospective clients, acquisition targets, vendors, insurance carriers, policy forms, rating information, expiration dates, and/or contracts or arrangements (including special terms and deals); 3.1.2 The Company’s financial condition, results of operations, marketing plans, business plans, operations, pricing, promotions, and business strategies and methods; and 3.1.3 The services and products offered by the Company to its clients or prospective clients, including, but not limited to, policy forms, rating information, expiration dates, information on risk characteristics, and information concerning insurance markets for large or unusual risks. 3.2 Employee acknowledges and agrees that all Confidential Information is the sole and exclusive property of the Company. Accordingly, both during and after employment with the Company . . . Employee shall not use, or disclose to any third party, any Confidential Information for any reason other than as intended within the scope of Employee’s employment or as approved by an executive officer of the Company in writing. Upon separation of employment . . . Employee shall immediately deliver to Employer all documents, materials, and data (and copies thereof), in tangible, electronic, or intangible form, relating to the business of the Company. Id. at 9. ***** (b) Restricted Clients. For purposes of this Agreement, “Restricted Client” means the following: (i) any client of the Employer Group during the two (2) years immediately preceding the Separation Date: (A) as to which Employee received commission compensation and/or fees; (B) for which Employee had material involvement in proposing, selling, quoting, placing, providing, servicing, or renewing any insurance product or service offered by any person or entity within the Employer Group (each an “Insurance Product”); or (C) about whom Employee received Confidential Information; or (ii) any prospective client of the Employer Group during the two (2) years immediately preceding the Separation Date: (A) for which Employee had material involvement in proposing, selling, quoting, placing, providing, servicing, or renewing any Insurance Product, or (B) about whom Employee received Confidential Information. Id. at 10. The Individual Defendants entered into the Agreements in exchange for significant compensation. Doc. [36-1] ¶ 2. In 2024, the last full year they were employed by AP, Frechmann was paid more than $400,000 in compensation, Mayfield over $230,000, and Snitzer over $370,000. Id. On November 11, 2024, Sipes learned the Individual Defendants were discussing resigning from AP and joining a competitor, Defendant EPIC, in December 2024. Id. ¶ 3. At that time, Sipes also learned that Hennessey had been considering leaving Plaintiff for EPIC but had decided to remain in his position at AP. Id.

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Bluebook (online)
AssuredPartners of Missouri, LLC v. Edgewood Partners Insurance Center, Inc., Counsel Stack Legal Research, https://law.counselstack.com/opinion/assuredpartners-of-missouri-llc-v-edgewood-partners-insurance-center-moed-2025.