PepsiCo, Inc. v. Redmond
United States Court of Appeals for the Seventh Circuit
54 F.3d 1262 (1995)
William Redmond, Jr. (defendant) held a high-level position at PepsiCo, Inc. (plaintiff) with access to confidential pricing, marketing, and distribution plans for its All Sport and new-age-drinks lines, then accepted a VP position at Quaker Oats overseeing its competing Gatorade brand, while misleadingly telling PepsiCo colleagues he'd only been offered a CEO role he hadn't yet decided on. PepsiCo sued for trade-secret misappropriation and obtained a temporary restraining order and then a preliminary injunction delaying Redmond's start date and barring disclosure of PepsiCo's trade secrets, based on evidence of Redmond's confidential knowledge and the likelihood he would rely on it at Quaker. Redmond appealed the injunction.
Whether trade-secret misappropriation occurs when a former employee's new employment will inevitably result in disclosure of trade secrets learned at his prior job.