Craig Vickery v. Ardagh Glass, Inc.

85 N.E.3d 852
CourtIndiana Court of Appeals
DecidedOctober 13, 2017
DocketCourt of Appeals Case 49A02-1702-PL-330
StatusPublished
Cited by8 cases

This text of 85 N.E.3d 852 (Craig Vickery v. Ardagh Glass, Inc.) is published on Counsel Stack Legal Research, covering Indiana Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Craig Vickery v. Ardagh Glass, Inc., 85 N.E.3d 852 (Ind. Ct. App. 2017).

Opinion

Baker, Judge.

Craig Vickery appeals the trial court’s order granting Ardagh Glass, Inc.’s (Ardagh), motion for a preliminary injunction. Vickery raises the following arguments on appeal: (1) the trial court erred in granting a temporary restraining order when allegedly insufficient notice was provided to Vickery; and (2) the trial court erred in entering a preliminary injunction preventing Vickery from going to work for one of Ardagh’s competitors.

We find that Vickery received insufficient notice of the temporary restraining order proceeding, but that he has waived the right to seek relief on the issue. We further find that the trial court did not err by entering the preliminary injunction. We affirm and remand for further proceedings.

Facts 1

Ardagh is a manufacturer of glass containers and bottles; it sells its products to companies in the food and beverage industries. It is the North American business unit of the international holding company Ardagh Group.

Through a share purchase agreement executed in January 2013 and closed in April 2014, Ardagh Glass Containers, Inc., purchased 100% of the stock of Saint-Gobain Containers, Inc. (SGCI), which is a wholly-owned subsidiary of Saint-Gobain Corporation (SGC). Following the purchase, the two companies merged and be-, came known as Ardagh Glass, Inc.

Vickery began working for SGCI on September 8, 2004, as a temporary employee. Two days later, he was hired by SGCI as a full-time mould engineer. That day, September 10, 2004, Vickery signed a Noncompete Employee Agreement (the Noncompete). The Noncompete explicitly states that Vickery signed it “ ‘in consideration of my employment, continued employment, increased compensation, change in responsibility, or other benefit ....”’ Prelim. Inj. Order p. 5 (quoting Noncom-pete). Among other things, the Noncom-pete provided that Vickery could not work for a competitor for one year following his departure from SGCI:

“I shall not, without written consent signed by an officer of the Company, directly or indirectly (whether as owner, partner, consultant, employee or otherwise), at any time during the one-year period following termination of my employment with the company, engage in or contribute my knowledge to any work or activity that involves a product, process, apparatus, service or development (i) which is then competitive with or similar to a product, process, apparatus, service or development on which I worked or (ii) with respect to which I had access to Confidential Information while at the Company at any time during the period prior to such termination.”

Id. (same). The Noncompete also required Vickery to protect the company’s trade secrets and confidential information.

In 2012, Vickery was promoted to Senior Mould Engineer; he held that position until he left the company in June 2016. As part of his responsibilities, Vickery designed mould equipment for the company’s manufacturing process, designed replacement moulds, and designed moulds for new products. He supplied mould vendors with detailed engineering drawings; the vendors would then create equipment to match the drawings. Vickery was also involved in “trouble shooting,” or coming up with remedies for problems with the company’s mould designs. Id. at 9. Additionally, he interacted with manufacturing plants and the product design department, and was involved with the implementation of Ardagh’s European design engineering standards and best practices throughout its North American plants.

After Vickery was passed over for a promotion in February 2016, he began looking for a new employer. His uncle works for Owens-Illinois, one of Ardagh’s primary competitors. Vickery interviewed with Owens-Illinois for the position of Mould Design Specialist and provided Owens-Illinois with a copy of the Noncompete in advance. On June 1, 2016, he was offered and accepted that position with Owens-Illinois. That position would include duties that are substantially similar to Vickery’s duties at Ardagh.

On June 6, 2016, Vickery tendered his resignation letter to Ardagh; he omitted the fact that he was going to work for Owens-Illinois. He then engaged in additional communications with Owens-Illinois employees, including his uncle, regarding the potential impact of the Noncompete. On June 16, 2016, Vickery disclosed to Ardagh’s upper management that he was going to work for Owens-Illinois. Ardagh advised Vickery to review his Noncompete to. ensure he would remain in compliance and worked to persuade Vickery to stay with Ardagh. On June 22 or June 23, Ardagh informed Vickery it intended to enforce the Noncompete, On June 23, Ardagh gave Vickery a letter from outside counsel requesting that. Vickery provide the details of his new position at -Owens-Illinois , and threatening a lawsuit that, would include a request for injunctive relief. Vickery never responded.

On the morning of June 30,. 2016, the last day of Vickery’s employment with Ardagh, Ardagh’s counsel notified Vickery via email that it would be filing suit with the. Commercial Court later that day, requesting a temporary restraining order (TRO) and injunction, and attached the pleadings it intended to file. Vickery did not respond, instead emailing his uncle that “things just got serious on the legal front as of 11:00 a,m. today.” Id. at 28.

On June 30, 2016, Apdagh filed a complaint against Vickery to enforce the Noncompete and to protect its trade se-. crets. That same afternoon, without holding a hearing, the. trial court issued an ex parte TRO directing Vickery to cease and desist from “using Ardagh’s trade secrets and confidential information to compete against Ardagh;” to refrain from “communicating with or recruiting any of Ardagh’s employees;” and to cease and desist from “participating or working on mould engineering, bottle design, or similar roles on behalf of Ardagh’s main competitor, Owens-Illinois, Inc.” Appellant’s App. Vol. II p. 48. The trial court scheduled a hearing for July 8, 2016;

On July 5, 2016, Vickery’s counsel entered an appearance and requested an extension on all TRO deadlines. tfhe trial court granted the - request, noting that Vickery “agrees to a continuance of the TRO entered by the Court on June 30, 2016 until the preliminary injunction hearing and to combining the hearing on the TRO with a hearing on the request for a preliminary injunction.” Appellee’s App. Vol. II p, 32. The order scheduled the combined TRO/preliminary injunction hearing for a full day on July 27, 2016, and a half-day on July 28,2016, 2

On July 27, 2016, Vickery filed a motion to vacate the TRO and to dismiss the complaint. Among other things, Vick-ery argued that he did not receive sufficient notice of the TRO proceeding and that Ardagh did not have standing to enforce the Noncompete. On August 12, 2016, Ardagh filed a motion for partial summary judgment, seeking judgment as a matter of law that it has standing to enforce the Noncompete, The trial court granted Ardagh’s motion for partial sum-, mary judgment and denied Vickery’s motion to dismiss on November 15, 2016. On January 13, 2017, the trial court issued a detailed sixty-three-page order granting Ardagh’s motion for preliminary injunction.

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Bluebook (online)
85 N.E.3d 852, Counsel Stack Legal Research, https://law.counselstack.com/opinion/craig-vickery-v-ardagh-glass-inc-indctapp-2017.