Novelaire Technologies, LLC v. Harrison

939 So. 2d 437, 2006 WL 2053181
CourtLouisiana Court of Appeal
DecidedJuly 25, 2006
Docket06-CA-94
StatusPublished
Cited by2 cases

This text of 939 So. 2d 437 (Novelaire Technologies, LLC v. Harrison) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Novelaire Technologies, LLC v. Harrison, 939 So. 2d 437, 2006 WL 2053181 (La. Ct. App. 2006).

Opinion

939 So.2d 437 (2006)

NOVELAIRE TECHNOLOGIES, L.L.C.
v.
Martin Kenneth HARRISON, Barbara Bucklin & Essential Humidity Solutions, L.L.C.

No. 06-CA-94.

Court of Appeal of Louisiana, Fifth Circuit.

July 25, 2006.

*439 A. Justin Ourso, III, David M. Kerth, Baton Rouge, Louisiana, for Plaintiff/Appellee.

Glen R. Galbraith, Hammond, Louisiana, for Defendant/Appellant.

Panel composed of Judges EDWARD A. DUFRESNE, JR., WALTER J. ROTHSCHILD, and FREDERICKA HOMBERG WICKER.

FREDERICKA HOMBERG WICKER, Judge.

Defendants appeal a judgment dismissing their declinatory exception of improper venue and their dilatory exception of improper cumulation of actions. For the following reasons, we affirm.

Factual and Procedural History

On June 9, 2004, NovelAire Technologies, L.L.C. ("NovelAire") filed suit in the Nineteenth Judicial District Court in East Baton Rouge Parish against defendants, Martin Kenneth Harrison ("Harrison"), Barbara J. Bucklin ("Bucklin"), and Essential Humidity Solutions, L.L.C. ("EHS"). The petition alleges that NovelAire is a limited liability company organized under the laws of the State of Georgia, with its principal business establishment in Baton Rouge, Louisiana; that Harrison and Bucklin are domiciled in Livingston Parish and are members of EHS; and that EHS is a Louisiana limited liability company, managed by its members, with its registered office in Livingston Parish.

NovelAire, a manufacturer of energy recovery and dehumidification equipment, including desiccant dehumidifiers, employed Harrison as a designer in its engineering department in Baton Rouge, Louisiana. Harrison's job duties included making improvements to the company's product line. During his employment with NovelAire, the company developed a dehumidifier line, the DH-50, with a casing made of extruded aluminum, and began selling it to Harrison's former employer, AAR, Corp.

NovelAire alleges in its petition that while working for NovelAire, Harrison entered into a written agreement ("Agreement") with the company, under which (1) all improvements that Harrison conceived or made relating to NovelAire's business were the property of NovelAire, and (2) Harrison was obliged not to disclose or use any confidential information of NovelAire without the written consent of NovelAire.

NovelAire further alleges the following: While employed by NovelAire, Harrison engaged in secret product development to pursue a business opportunity for himself. More specifically, while working for NovelAire, and on company time, Harrison used materials, resources, and equipment of NovelAire to secretly develop an improved design of the DH-50 and to manufacture parts for the new design, without reporting this improvement to NovelAire. Further, Harrison enlisted the assistance of a friend and employee of AAR Corp., to make inquiries of potential suppliers for components of the improved design; the results of these inquiries were communicated to Harrison at NovelAire. Bucklin also assisted Harrison, and on February 5, 2004, Harrison and Bucklin organized EHS to use the improved design to compete with NovelAire. NovelAire asserts four causes of action in six claims: breach of contract and breach of fiduciary duties claims against Harrison; unfair and deceptive trade practice claims against Harrison, Bucklin, and EHS; and, an intentional interference with contract claim against Bucklin.

On May 12, 2005, defendants filed two exceptions, a declinatory exception of improper venue and a dilatory exception of improper cumulation of actions. Defendants *440 assert venue is not proper in East Baton Rouge Parish for all claims pled against defendants; consequently, the actions have been improperly cumulated.

At the hearing on the exceptions, Harrison testified that while employed by NovelAire in Baton Rouge, he began developing ideas that would be improvements to NovelAire's DH-50 dehumidifier; one such idea was to create a sheet metal dehumidifier. In 2003, without informing anyone in management, he used his computer at NovelAire to work on drawings for a new sheet metal casing for a dehumidifier. He placed the drawings into a computer file on NovelAire's computer network which contained drawings for NovelAire's DH-125, a dehumidifier that was still undeveloped. He then had these drawings converted into machine readable code by asking Brian Chassaniol ("Chassaniol"), a fellow designer in NovelAire's engineering department, to convert the DH-125 file drawings. Harrison subsequently enlisted Chassaniol's assistance to operate a NovelAire punch press machine, and punch out the sheet metal casing parts. Chassaniol confirmed this in his testimony, stating that in late March 2003 Harrison asked that he convert some drawings for a DH-125 into machine code.

Rick Thomas Granier testified that he works in the machine shop at NovelAire and that in March 2003 he observed Harrison and Chassaniol punching out sheet metal parts. When he asked Chassaniol what they were working on, "[h]e said it was a special unit that NovelAire didn't know about, that they would never ever know about."

Harrison later took the parts to a NovelAire brake press operator to bend them in accordance with Harrison's drawings. He then stored the parts at NovelAire, where they remained because, "they didn't bend up correctly." Harrison stated "[t]here was a lot of work to be done on creating that idea using sheet metal."

Harrison testified that he also had an idea for a dual voltage heater; this was part of his effort to create a more "all-in-one type unit." The DH-50, as NovelAire sold it, had separate models for different voltages. Harrison had sample dual voltage heaters delivered to an electronics store rather than NovelAire, and he received an email at NovelAire with test data on a dual voltage heater. This email was part of several exhibits offered into evidence by NovelAire. NovelAire introduced emails to and from Harrison at his office at NovelAire regarding vendors for dehumidifier supplies. Also, NovelAire introduced email correspondence between Harrison at his NovelAire office and Bucklin at her Baton Rouge office regarding the new business.

Harrison further testified that he submitted his letter of resignation to NovelAire on January 23, 2004, effective February 6, 2004. He stated that it was only upon resigning that he decided to go into business for himself. Harrison testified that he did not finish designing a new and improved version of the DH-50 while at NovelAire and left the bent metal sheets, as well as the machine code for punching out the metal parts, at NovelAire. After leaving NovelAire, he continued to work on developing a working dehumidifier at a shop at Bucklin's house in Livingston Parish; after several weeks, he was successful in his efforts. Harrison now manufactures the dehumidifiers "start to finish" at the shop in Livingston Parish. Vendors referenced in his pre-resignation email correspondence, now provide supplies for his dehumidifier.

Terry Leon Parker, Director of Manufacturing and Technology at NovelAire testified that in April 2003 he asked Harrison about cost reduction improvement *441 ideas for the DH-50. He stated that, "we went over all the major components in it, including whether or not we needed to use extrusion, or if there was ways to cut our extrusion, cost reductions on the heater, the motor, fans, and control board." Parker testified that Harrison told him that "the extrusion was a non-starter with AAR," NovelAire's sole customer for the DH-50 at that time.

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Bluebook (online)
939 So. 2d 437, 2006 WL 2053181, Counsel Stack Legal Research, https://law.counselstack.com/opinion/novelaire-technologies-llc-v-harrison-lactapp-2006.