Commercial Door Systems sues former employees claiming they're stealing clients with identical products

By Kari Valence | Dec 1, 2015

PHILADELPHIA – An Ohio door-system company is suing former employees, claiming they're manufacturing practically identical products and trying to put the company out of business.

Chase Industries, doing business as Commercial Door Systems, filed a lawsuit Nov. 17 in the U.S. District Court for the Eastern District of Pennsylvania against FRP Door Concepts Inc., doing business as FRP Architectual Doors Inc.; Nicholas Irvin; Nicholas Santoro; and Megan LaBree; citing unfair competition, defamation, tortious interference, breach of fiduciary duty and conversion of confidential information.

CDS claims the defendants coordinated an effort to put the company out of business by jointly resigning from CDS and merging together to form a competing company selling almost identical products to the same customers. CDS claims this is in direct violation of legal business practice and that their company and production has been substantially damaged.

CDS is seeking an amount of more than $75,000 from each defendant, a return of all confidential information to the company, to cease from engaging in further competitive practices, award interest attorneys' fees, and costs, and any such relief the court sees fit. CDS is represented by Christopher J. Moran, Megan M. Kearney of Pepper Hamilton LLP, in Philadelphia and Teresa M. Thompson, Sten-Eric Hoidal, Anupama D. Sreekanth of Fredrickson & Byron, P.A. of Minneapolis.

U.S. District Court of the Eastern District of Pennsylvania Case number 2:15-CV-06189-ER

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