RSR Corp. v. Siegmund

309 S.W.3d 686, 2010 Tex. App. LEXIS 2164, 2010 WL 1136533
CourtCourt of Appeals of Texas
DecidedMarch 26, 2010
Docket05-09-00571-CV
StatusPublished
Cited by97 cases

This text of 309 S.W.3d 686 (RSR Corp. v. Siegmund) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
RSR Corp. v. Siegmund, 309 S.W.3d 686, 2010 Tex. App. LEXIS 2164, 2010 WL 1136533 (Tex. Ct. App. 2010).

Opinion

OPINION

Opinion By

Justice MURPHY.

In this suit involving allegations of misuse of confidential information, appellants RSR Corporation and Quemetco Metals Limited, Inc. appeal the trial court’s orders granting (1) the special appearances of appellees Inppamet S.A. a/k/a Inppamet Ltda. (Inppamet) and Plastic and Metal Parts, Inc. (PlaMetCo) and (2) the motions to dismiss of Inppamet and PlaMetCo, joined by appellee Andreas Siegmund, based on both a forum-selection clause and *693 the doctrine of forum non conveniens. We reverse the trial court’s two orders and remand this case for further proceedings.

BACKGROUND

RSR is a Delaware corporation with its primary office in Dallas, Texas. RSR is a subsidiary of Quexco Incorporated, a private holding company, and engages in the recycling, smelting, and refining of various non-ferrous metals, such as lead, copper, aluminum, nickel, and zinc. Quemetco, a Texas corporation and wholly-owned subsidiary of RSR, with its primary office in Dallas, engages in secondary lead smelting and refining. RSR and Quemetco manufacture and market anodes produced through the electrowinning process. Elec-trowinning is described as “a process whereby metals, such as lead, copper, nickel, and zinc are recovered from liquid solutions.”

Siegmund’s Employment with RSR and Quemetco

Siegmund, a Texas resident, worked for RSR from 1998 to 2005 and served as president of Quemetco from 2005 to August 2008. As part of his employment, Siegmund signed certain employment agreements, including a non-disclosure agreement and a conflicts of interest agreement. Siegmund signed a new nondisclosure agreement each year; the last agreement was signed on August 11, 2008.

Pursuant to the non-disclosure agreement, Siegmund could not “publish articles concerning, lecture upon, use, disseminate, disclose, or otherwise communicate any Confidential Information to any Person” without consent. The non-disclosure agreement defined “Confidential Information” broadly and included the business of RSR and its present and future subsidiaries or affiliates.

The conflicts of interest agreement prohibited Siegmund from engaging or participating in the “ownership, management, operation, or control of or be[ing] connected as a director, officer, employee, agent, partner, joint venturer, or otherwise with any business or organization” that competes with RSR. Siegmund also agreed not to “accept compensation from any source other than the Company for the performance of his duties and responsibilities as an employee of the Company.” Siegmund signed annual certificates, in which he acknowledged the conflicts of interest agreement and stipulated he had not participated in any activity “which might conflict with the Company’s interests.... ”

Approximately two weeks after signing his last non-disclosure agreement in August 2008, Siegmund left Quemetco to work for PlaMetCo, an Arizona corporation and affiliate of Inppamet. Siegmund was one of three PlaMetCo employees and worked from his “home office in Dallas, Texas.”

RSR’s Relationship with Inppamet

Inppamet is a Chilean corporation, engaged in the production of lead anodes for use in mining copper and zinc. In 1994, RSR and Inppamet entered an agreement for Inppamet to manufacture and sell RSR’s anodes in South America. Under the terms of the agreement, RSR agreed to provide technical assistance and training to Inppamet related to the manufacture, production, and marketing of RSR’s anodes. In return, Inppamet agreed to manufacture the anodes using RSR’s processes and pay RSR a fee for each anode it sold. This agreement was terminated in 2000 due to a dispute between RSR and Inp-pamet.

The 2003 Agreement

Following resolution of the dispute, RSR and Inppamet entered into a new agree *694 ment, dated February 1, 2003 (the 2003 Agreement). Like the previous agreement, RSR agreed to provide Inppamet with “assistance in the marketing, use, and sale of Anodes,” and Inppamet agreed to manufacture the anodes in a good and workmanlike manner and pay RSR a fee for each anode sold in South America. Also like the previous agreement, several terms of the 2003 Agreement centered on Inppamet’s access to and the protection of RSR’s confidential information. Inppamet acknowledged that “by virtue of receiving RSR’s assistance in the marketing, use, and sale of Anodes, INPPAMET may receive and/or have access and be privy to certain RSR proprietary and Confidential Information.” The 2003 Agreement also defined “Confidential Information” broadly to mean “without limitation, proprietary information of RSR not publicly known, which RSR designates as being confidential” and included “information relating to the marketing, use, sale, or disposal of Anodes sold by INPPAMET....” Inp-pamet agreed it was “not entitled to provide to, or share with, third parties information or data related to the Confidential Information received by [it], and [was] not ... allowed to authorize any person, company or firm to use such Confidential Information, except for INPPAMET’s sales purposes.... ” The 2003 Agreement provided further:

All original texts and copies of written materials, including documents, reports, diskettes, cassettes, lists and other documents created and prepared for INPPAMET in conformity with this Agreement will be and will remain the property of RSR and ... will not be used for the performance of any other contract by INPPAMET without the prior written consent of RSR.

To “maintain the confidential nature of the Confidential Information supplied by RSR,” Inppamet had the obligation to “keep complete and accurate records relating to the sale” of RSR anodes.

The 2003 Agreement prescribed Texas as the choice of law and included a consent-to-jurisdiction clause, which provided:

The parties hereby submit to the jurisdiction of any State court or Federal court of the United States of America sitting in Dallas, Texas, U.S.A., and any appellate court from any thereof, in any action or proceeding arising out of or relating to this Agreement, and each of the parties agree that all claims in respect of any action or proceeding may be heard and determined in such State court or, to the extent permitted by law, in such Federal court. Each of the parties agree that a final judgment in any such action or proceeding shall be conclusive and may be enforced in other jurisdictions, including Chile, by suit on the judgment or in any other manner provided by law.

With respect to venue, RSR and Inppamet agreed to waive “any objection which [they] may have to the laying of venue of any suit, action or proceeding arising out of or relating to this Agreement,” as well as the defense of an inconvenient forum.

According to RSR, Siegmund was its main liaison with Inppamet, and he “personally provided direct assistance to Inp-pamet” under the 2003 Agreement. Quemetco and PlaMetCo were not parties to the 2003 Agreement.

The 2007 Agreements

Four years later, RSR and Inppamet contemplated the possible acquisition of Inppamet by RSR or one of its affiliates. As part of the due diligence phase, two nearly-identical confidentiality agreements were signed (collectively, the 2007 Agreements).

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Cite This Page — Counsel Stack

Bluebook (online)
309 S.W.3d 686, 2010 Tex. App. LEXIS 2164, 2010 WL 1136533, Counsel Stack Legal Research, https://law.counselstack.com/opinion/rsr-corp-v-siegmund-texapp-2010.