AWP, INC., et al. v. JEFFREY FOOSE, et al.

CourtDistrict Court, E.D. North Carolina
DecidedJune 29, 2026
Docket5:25-cv-00782
StatusUnknown

This text of AWP, INC., et al. v. JEFFREY FOOSE, et al. (AWP, INC., et al. v. JEFFREY FOOSE, et al.) is published on Counsel Stack Legal Research, covering District Court, E.D. North Carolina primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
AWP, INC., et al. v. JEFFREY FOOSE, et al., (E.D.N.C. 2026).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE EASTERN DISTRICT OF NORTH CAROLINA WESTERN DIVISION Case No. 5:25-CV-00782-M-BM AWP, INC., et al., Plaintiffs, V. ORDER JEFFREY FOOSE, et al., Defendants.

This matter comes before the court on A WP, Inc. (“A WP”) and Stay Alert Safety Services, LLC’s (“Stay Alert’) (collectively, “Plaintiffs”) Motion for Preliminary Injunction [DE 6]. They move to enjoin their former employee, Jeffrey Foose, from violating non-compete and non-solicitation clauses in his employment contract.! Because Plaintiffs have not clearly demonstrated that Foose likely violated the terms of those provisions, the motion is denied. I. Background Unless otherwise noted, the following facts appear to be undisputed. Plaintiffs are corporations who provide municipalities, utility companies, and private contractors with traffic control equipment and control services. DE 7-1 at § 3. Stay Alert is a wholly owned subsidiary of A WP, and together, they maintain offices throughout the United States and Canada and provide services to customers in both countries. DE | at 9] 12-13; DE 13 at 12-13.

' Plaintiffs also brought claims against Foose and his current employer Traffic Plan for alleged violations of North Carolina tort law, but those claims are not relevant to the pending motion.

In 2017, Foose was hired by Stay Alert as Vice President of Operations. DE 14-2 at □ 5. On September 27, 2024, after AWP had purchased Stay Alert, Foose executed a “Confidentiality, Non-Competition, and Non-Solicitation Agreement” (“the Agreement”) from his home in

Alabama. DE 1 at 27; DE 13 at § 27; see also DE 1-1. Plaintiffs assert that this contract was executed in consideration for Foose’s promotion to Senior Director of Business Development. DE 7 at 3. Foose, by contrast, states that he was never promoted; instead, he characterizes the contract as being incidental to AWP’s acquisition of Stay Alert. See DE 14 at 9-10. Either way, the Agreement included several restrictive covenants—three of which are relevant here. See DE 1-1

at 1(c)-(e). The “Non-Compete” cause reads: Employee covenants and agrees that during Employee’s employment and for a period of twelve (12) months following the conclusions of Employee’s employment for whatever reason, or following the date of cessation of the last violation of this Agreement, or from the date of entry by a court of competent jurisdiction of a final, unappealable judgment enforcing this covenant, whichever of the foregoing is the last to occur... Employee will not, as principal, or in conjunction with any other person, firm, partnership, corporation or other form of business organization or arrangement . . . directly or indirectly, be employed by, provide services to, in any way be connected, associated or have any interest of any kind in, or give advice or consultation to any Competitive Business within a 120-mile driving distance from Employee’s regularly assigned place of duty or office. Id. at J l(c). The “Non-Solicitation of Employees” clause reads: Employee covenants and agrees that, during the Restricted Period,? Employee shall not, without the prior written permission of AWP, directly or indirectly (i) solicit, employ or retain, or have or deliberately cause any other person or entity to solicit, employ or retain, any person who is employed or is providing services to AWP at the time of Employee’s termination of employment or was or is providing such services within the twelve (12) month period before or after Employee’s termination of employment or (il) request, suggest or deliberately cause any

* The Restricted Period is defined by the Agreement as “a period of twelve (12) months following the conclusion of Employee’s employment for whatever reason, or following the date of cessation of the last violation of this Agreement, or from the date of entry by a court of competent jurisdiction of a final, unappealable judgment enforcing this covenant, whichever of the foregoing is the last to occur[.]” DE 1-1 at ¥ 1(c).

employee of AWP to breach or threaten to breach terms of said employee’s agreements with AWP or to terminate his or her employment with AWP. Id. at J 1(d). The “Non-Solicitation of Clients and Customers” clause similarly reads: Employee covenants and agrees that, during the Restricted Period, Employee will not, as principal, or in conjunction with any other person, firm, partnership, corporation or other form of business organization or arrangement . . ., directly or indirectly: (i) solicit or accept any business, in competition with AWP, from any person or entity who was an existing or prospective customer or client of AWP at the time of, or at the time during the twelve (12) months preceding, Employee’s termination of employment; or (ii) request, suggest or deliberately cause any of AWP’s clients or customers to cancel, reduce, change the terms of or terminate any business relationship with AWP involving services or activities which were directly or indirectly the responsibility of Employee during Employee’s employment. Id. at § 1(e). The Agreement additionally provides that it “shall be governed, construed, performed[,] and enforced in accordance with . . . the laws of the State of Ohio, without reference to principles of conflicts of laws.” Jd. at § 2(b). The scope of Foose’s role at AWP is heavily disputed. AWP maintains that “Foose was responsible for growing and expanding AWP’s heavy highway traffic control work in the southeast,” and that by virtue of his position, he had access to confidential information, including details of AWP’s revenue and margins, its operational capabilities, and its strategies for growth. DE 19 at 2-3. Foose describes his role in a very different light. He asserts that he “was not responsible for sales, customer solicitation, or generating revenue,” and that, in fact, he “was specifically instructed not to pursue customers.” DE 14 at 4. As a result, he states that he “was not provided access to AWP’s customer relationship management system (“CRM”), bidding software, pricing databases, or other confidential operational systems.” /d. The parties agree that

Foose voluntarily resigned from his employment with AWP in April or May of 2025.> DE 7 at 5; DE 14 at 5. Thereafter, he commenced employment with Traffic Plan. DE 7 at 6; DE 14 at 5. In the ensuing months, fourteen of AWP’s other employees resigned and began working for Traffic Plan. DE 7 at 9. The parties’ briefing focuses on two: Adam Lohr and Benjamin Barefoot. Prior to his departure, Lohr was a Branch Operations Manager in Raleigh, North Carolina. DE 7 at 8; DE 14-6 at § 4. In June 2025, Lohr informed AWP that he was considering leaving the company, and shortly thereafter, he attended a meeting concerning the same with James Babcock and Wade Lackey. DE 7 at 7; DE 14 at 6. The parties disagree on what was communicated at that meeting, but afterwards, AWP came to believe that Foose had directly contacted Lohr and encouraged him to accept employment with Traffic Plan. DE 7 at 7; DE 7-3 at § 14. On July 29, 2025, Lohr informed AWP that he would resign. DE 7 at 9; DE 14-6 at ¥ 15. The following day, Barefoot, Stay Alert’s Project Manager in Raleigh and Lohr’s “second-in- command,” also gave a resignation notice. DE 7 at 7; DE 14-7 at 4 9 In August 2025, after both men had left the company, AWP discovered emails showing that they had both been in communication with Traffic Plan prior to their resignation. DE 7-3 at 420. One email, titled “Employment Agreement Adam Lohr,” was sent to Lohr on July 17, 2025, by Jessica Carriero, an employee of Traffic Plan. See DE 7-3 at 8. It had attached an offer of employment for the position of “Operations Manager—North Carolina.” /d. at 8,19. Inasecond chain of emails, all of which were sent on July 21, 2025, an employee from Traffic Plan sought

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AWP, INC., et al. v. JEFFREY FOOSE, et al., Counsel Stack Legal Research, https://law.counselstack.com/opinion/awp-inc-et-al-v-jeffrey-foose-et-al-nced-2026.