Orbison v. Ma-Tex Rope Co.
Samuel D. Orbison, a former employee of Ma-Tex Rope Company, Inc., resigned and joined competitor American Pipe Inspections, Inc. (API), subsequently soliciting Ma-Tex's customers using confidential information. Ma-Tex sued Orbison and API, obtaining a permanent injunction and an award for actual damages and attorney fees. On appeal, the court found insufficient evidence for damages related to lost profits and goodwill, reversing that portion of the award. However, the court affirmed the permanent injunction against Orbison and API, as well as the award of attorney fees due to willful and malicious misappropriation of trade secrets and breach of fiduciary duties. The final judgment allowed Ma-Tex to recover $4,173.83 in actual damages for unjust enrichment, fee forfeiture, and profit disgorgement.