By Jacqueline Sudano
A disgruntled sports training company, MAX Sports Center Inc., filed suit against the sports medicine department of Ohio State University in the Ohio Court of Claims on Aug. 13, 2010.
MAX is also suing former employees Jeffrey Sydes and Daniel Inglis, and Thomas Caldwell, OSU’s administrative director of sports medicine, individually. MAX is represented by Bret R. Adams and Joel H. Mirman of Adams, Babner & Gitlitz, LLC. Ohio’s Attorney General Richard Cordray and Assistant Attorney General Randall Knutti and Lindsay Sestile are representing OSU in the matter.
The lawsuit is based on a claim by MAX Sports Center that OSU recruited away its top two trainers, bringing valuable clients with them and damaging MAX’s business. The pleading on file with the court alleges that the center “lost opportunities to sell all or part of its business” as a result of the defendant university’s activities. MAX alleges seven counts against OSU, including: (1) unjust enrichment; (2) conversion; (3) tortious interference with employment relations; (4) tortious interference with contract, (5) tortious interference with prospective business relationships, and (6) tortious interference with business relationships, and; (7) demands an accounting from OSU.
In its complaint, MAX alleges that OSU’s Thomas Caldwell “spearheaded a movement by OSU to procure MAX’s clients, prospective clients, client lists, client payment structures, its employees and other confidential and proprietary business information, all of which are Trade Secrets of Max, for the benefit of OSU.”
Additionally, it alleges that “OSU willfully, maliciously and unlawfully conspired with Inglis and Sydes, and through them, illegally and improperly obtained MAX’s Trade Secrets.”
The plaintiffs are asking for over $25,000 in damages, plus interest. Upon preliminary review, the court denied the plaintiffs recovery of both attorneys’ fees and punitive damages in the matter.
The defendant university filed its answer on Sept. 14, 2010. It denies all alleged claims, other than the fact that the university did hire Sydes and Inglis. In its answer, it raises the additional defense that the matter is time-barred due to the statute of limitations.
A status conference has been scheduled for the morning of Oct. 26, 2010, to review the latest statement.
For current information on the case, please visit www.cco.state.oh.us, Case No. 10 CVC 08 11926, Max Sports Center, Inc. v. Jeffrey M. Sydes, et al.
