Novus Marketing Inc., Minneapolis, has sued a former top executive of its list management division, alleging that she will “inevitably” reveal Novus trade secrets to competitors, DIRECT Newsline has learned.
The executive, Monica Smith, denied the claims in an answer filed with the court on Monday. Smith left her position as vice president of Novus’ list management division in March, and later formed Marketsmith Inc., Milford, NJ, a consulting firm.
The court has issued a temporary order against Smith, but its scope was unclear at deadline. Her attorneys are now trying to have the case moved from state to federal court.
The suit, filed in June with the District Court for the Fourth Judicial District of Minnesota, seeks an injunction to prevent Smith from working, or sharing Novus trade secrets, with any competitor of Novus, including Acxiom/Direct Media, which retained her as a consultant. It cites confidentiality agreements reportedly signed by Smith.
“There aren’t any allegations in the complaint that she has revealed that information yet,” said Thomas E. Propson, attorney at Meagher & Geer, Minneapolis, which represents Novus. “But under Minnesota’s Trade Secrets Act, parties can be enjoined from the disclosure or even the threatened disclosure of trade secrets.”
“The complaint is based on pure speculation,” said Jeffrey M. Schlossberg, attorney at Ruskin, Moscou, Evans & Faltischek, Mineola, NY, which represents Smith. “There are no affidavits supporting their temporary restraining order.”
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