Judge Associates, Inc. v. Belcher

71 Pa. D. & C.2d 112, 1975 Pa. Dist. & Cnty. Dec. LEXIS 404
CourtPennsylvania Court of Common Pleas, Philadelphia County
DecidedJanuary 16, 1975
Docketno. 3690
StatusPublished

This text of 71 Pa. D. & C.2d 112 (Judge Associates, Inc. v. Belcher) is published on Counsel Stack Legal Research, covering Pennsylvania Court of Common Pleas, Philadelphia County primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Judge Associates, Inc. v. Belcher, 71 Pa. D. & C.2d 112, 1975 Pa. Dist. & Cnty. Dec. LEXIS 404 (Pa. Super. Ct. 1975).

Opinion

ANDERSON, J.,

HISTORY

On February 26, 1974, plaintiff, Judge Associates, Inc., filed a complaint in equity, praying for a preliminary injunction against defendant, Joseph J. Belcher, Jr., restraining him from competing in the employment agency business for a period of one year. A hearing on the petition was held before the Hon. Paul Ribner on March 8, 11 and 15, 1974. On August 6, 1974, Judge Ribner ordered that a preliminary injunction issue upon security being entered by plaintiff in the amount of $20,000, which security was entered on August 29, 1974. By the terms of the order, defendant was enjoined from communicating with employer clients of plaintiff; from engaging in or participating in the business of conducting an employment agency which was in competition with plaintiff; and defendant was directed to turn over to plaintiff all cases and files he might have had which were the property of plaintiff. The injunction was to be operative until December 17, 1974, and a further period equal to the amount of time from February 26,1974, tillAugust6, 1974, and to be extended for any additional period of time during which defendant did not comply with the terms of the order.

On November 25 and 27, 1974, the issue of liability was tried before this court. Trial of the issue of plaintiffs damages and defendant’s counterclaim for money due was deferred. On December 13, 1974, this court issued an order dissolving the preliminary injunction, and finding for defendant.

The following findings of fact and conclusions of law are pursuant to that order.

[114]*114FINDINGS OF FACT

1. Plaintiff is Judge Associates, Inc. (“Judge Associates”), a Pennsylvania corporation, with its principal place of business at 8040 Roosevelt Boulevard, Philadelphia, Pa. Plaintiff also has office sin Bala Cynwyd, Pa., and Ft. Washington, Pa.

2. The President of Judge Associates, Inc., is Martin E. Judge, Jr. (“Judge”), who resides at 261 Tareyton Court, Delran, N.J.

3. Defendant is Joseph J. Belcher, Jr., (“Belcher”), an individual who resides at 8323 Thouron Avenue, Philadelphia, Pa., and who trades as Belcher Personnel Consultants, with offices located at 8515 Germantown Avenue, Philadelphia, Pa.

4. Judge Associates has been continually in existence since 1970, and is an employment agency specializing in the placement of persons in positions with companies in the electronics, mechanical and technical fields.

5. Belcher is 27 years old, married, and has three children. He has a high school education and a few college credits.

6. From November 1969 to September 1971, Belcher was employed as an employment counselor with Main Line Personnel, another employment agency in the Philadelphia area specializing in the placement of persons in positions with companies in the electronics, mechanical and technical fields. His contract of employment with Main Line Personnel contained a covenant not to compete for a period of six months after termination of employment.

7. Belcher voluntarily terminated employment with Main Line Personnel and was employed as a [115]*115salesman for approximately nine months thereafter.

8. On July 10, 1972, Belcher signed an employment agreement with, and prepared by, Judge Associates, which was contemporaneous with his employment. Under the terms of the contract, Belcher’s employment could be terminated by either party at any time.

9. Paragraphs 5, 6, and 7 of the contract provided that:

“5. The Employee shall devote his entire time, attention and energies to the business of the Employer, and shall not during the term of this Agreement be engaged in any other business activity whether or not such business activity is pursued for gain, profit, or other pecuniary advantage. . . . Specifically, Employee shall not during the term of this contract directly or indirectly engage in or be associated with any personnel consulting and employment agency business other than as an employee of Employer, nor shall Employee at any time directly or indirectly make known or divulge any information as to the JUDGE ASSOCIATES, INC. methods of operation, interviewing, advertising, publicity, training, business patrons or any other information relative to Employer’s business.
“6. The Employee recognizes and acknowledges that the fist of the Employer’s clients, as it may exist from time to time, together with all written records applicable thereto, are valuable, special and unique assets of the Employer’s business. The Employee will not, during or after the term of his employment, disclose the list of the Employer’s customers, the written materials pertinent thereto, or [116]*116any part thereof to any person, firm, corporation, association, or other entity for any reason or purpose whatsoever. In the event of a breach or threatened breach by the Employee of the provisions of this paragraph, the Employer shall be entitled to an injunction restraining the Employee from disclosing, in whole or in part, the list of the Employer’s customers, or from removing or otherwise appropriating any written records pertinent thereto, or from rendering any services to any person, firm, corporation, association, or other entity to whom such list, or such written materials, in whole or in part, have been disclosed or are threatened to be disclosed. Nothing herein shall be construed as prohibiting the Employer from pursuing any other remedies available to the Employer for such breach or threatened breach, including the recovery of money damages from the Employee.
“7. For a period of one (1) year after the termination of this Agreement by Employee, the Employee will not, within a radius of sixty (60) miles from the present place of business of the Employer, directly or indirectly, own, manage, operate, control, be employed by, participate in, or be connected in any manner with the ownership, management, operation, or control of any business similar to the type of business conducted by the Employer at the time of the termination of this Agreement.”

10. The duties, scope and methods used by an employment counselor were essentially the same at both Main Line Personnel and Judge Associates, and Belcher utilized the experience and contacts that he had made at Main Line Personnel in the performance of his duties with Judge Associates.

11. Initially, pursuant to his employment as an employment counselor, Belcher compiled three-[117]*117by-five cards identifying potential employer and employe clients. His source of information was employment ads in the newspaper. The employer cards were to be kept permanently and listed the type of positions available with the firm and the individual in charge of personnel. Various trade digests and industrial guides were also used in the compilation of the cards.

12. By use of this “shotgun” approach, the successful counselor establishes contact with various potential employers or their personnel managers, the object being to develop steady accounts, which are the main source of the employment agency’s income. These accounts may be exclusive, but most firms deal with several employment agencies simultaneously. The development of these steady accounts typically requires the expenditure of agency time and funds.

13.

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Bluebook (online)
71 Pa. D. & C.2d 112, 1975 Pa. Dist. & Cnty. Dec. LEXIS 404, Counsel Stack Legal Research, https://law.counselstack.com/opinion/judge-associates-inc-v-belcher-pactcomplphilad-1975.