Extension letter filed in coin company trade secrets case

David Yates Nov. 23, 2010, 2:56am

First National Reserve sued Edward Hein and First United Reserve in May, alleging Hein capitalized on the company's top secret and confidential information to recruit customers for a competing coin seller.

As the Southeast Texas Record previously reported, First National Reserve, a business selling coins to the public and dealers in the United States and Canada, hired Hein on May 12, 2003, as a sales person.

Hein quit May 15, 2007, and subsequently violated his agreement with the company by commencing an affiliation, consultation, ownership or employment for First United Reserve, a competitor of First National Reserve.

On Nov. 18, First United Reserve filed a letter to confirm First National Reserve's agreement to extend the deadline to Nov. 30 for the defendant to file its objections and responses to the plaintiff's first amended request for production, admissions and interrogatories.

First United Reserve says in the letter that it plans to deliver the discovery requests on or before the extended Nov. 30 deadline.

Court papers show, Hein acquired confidential information regarding all of First National Reserve's existing and former customers during his employment. Hein agreed not to copy or remove any of these confidential lists from First National Reserve.

First National Reserve is seeking injunctive relief preventing Hein from calling upon, soliciting or taking away its customers; from soliciting the hiring of any of its employees; from engaging in a business related to its own in the geographical area; and from lending his credit, money or reputation for establishing or operating a competing business in the same geographical area as First National Reserve.

In addition to injunctive relief, First National Reserve seeks actual and liquidated damages in excess of the minimum jurisdictional limits of Jefferson County District Court, attorneys' fees, costs, pre- and post-judgment interest and other relief the court deems just.

Gary J. Linthicum of Wells, Peyton, Greenburg and Hunt in Beaumont represents the plaintiff.

The defendant is represented by Houston attorney Adam Fracht.

Judge Bob Wortham, 58th District Court, presiding.

Case No. A186-813

More News