Can I claim damages for a former employee selling for competitor while employed?

Question

I had a Project Manager/Sales Rep who resigned in December. We have evidence that they accepted a position with a competitor back in August and were promoting and selling our competitor's products to our current customers while still employed by us, receiving benefits and having expenses paid by our company. They switched active proposals to their new employer, using our designs and terms. Although we don't use non-compete agreements, we have copies of proposals and purchase orders made for their new employer under their name while they were still employed by us. This led to active proposals and future business being redirected to their new employer, resulting in actual sales and presumably more in the future. Do we have any claim for damages?

Erik A. Perez · Answer

You may have a claim for damages under a theory of tortious business interference. To establish a claim for tortious interference with a business relationship in Florida, a plaintiff must demonstrate the existence of a business relationship, the defendant's knowledge of that relationship, intentional and unjustified interference by the defendant, and resultant damage to the plaintiff.

Scott W Zappolo · Answer

The cause of action that is most likely to be successful is a "Breach of Fiduciary Duty" claim>  Even without a "non-compete" agreement, employees owe their employers a duty of good faith and fair dealing and are not allowed to "steal business" or otherwise maliciously hurt their employer.  You should speak with a business Litigation attorney.  Many will give a free consultation. 
 
Good Luck!

James L. Arrasmith · Answer

Yes, you may have a claim for damages. Even though you don’t have a non-compete agreement in place, the actions of your former employee could still be considered a breach of trust or fiduciary duty. By redirecting active proposals and using your company's proprietary information for a competitor, they may have caused actual harm to your business. 
 
Your evidence, such as proposals, purchase orders, and communications with the competitor, could support your claim. If you can show that their actions led to lost sales or diverted future business, you may have a legal basis for damages related to those lost opportunities. It may be possible to seek damages for both actual sales lost and for the harm caused by redirecting business. 
 
It’s a good idea to consult with an attorney to evaluate the evidence you have and determine the best course of action. They can help you understand if you have a strong case for a claim and how to move forward with legal action.

Q: Can I claim damages for a former employee selling for competitor while employed?