View cases - Stewart McKelvey

Page: 2FACTS[2] The respondent is a Michigan corporation in the business of formulating,manufacturing and selling release agents and related processing chemicals for use in thegeneral rubber, tire, polyurethane, composites, thermoplastics and die casting industriesfor customers that operate around the world. The appellant was hired in 1992 andoperated as a technical salesperson for the respondent for 17 years before his employment2011 ONCA 344 (CanLII)was terminated in July, 2009.[3] When the appellant was hired, he was required to sign the Chem-TrendConfidential Information Guide and Agreement (“CIGA”), which contains the restrictivecovenant clause that is the subject of this appeal and provides:3. I agree that if my employment is terminated for anyreason by me or by the Company, I will not, for aperiod of one year following the termination, directlyor indirectly, for my own account or as an employee oragent of any business entity, engage in any business oractivity in competition with the Company by providingservices or products to, or soliciting business from,any business entity which was a customer of theCompany during the period in which I was anemployee of the Company, or take any action that willcause the termination of the business relationshipbetween the Company and any customer, or solicit foremployment any person employed by the Company.[Emphasis added.][4] From July, 1992 to November, 1993, the appellant’s territory of responsibility wasthe province of Ontario. He then moved to the United States where he was responsible forthe states of Wisconsin, Iowa, North Dakota, South Dakota, Illinois, Nebraska, Colorado