Cameco, Inc. v. Gedicke

724 A.2d 783 (1999)

From our private database of 45,900+ case briefs, written and edited by humans—never with AI.

Cameco, Inc. v. Gedicke

New Jersey Supreme Court
724 A.2d 783 (1999)


Donald Gedicke (defendant) worked for Cameco, Inc. (plaintiff) as a salaried employee who arranged for Cameco’s food products to be transported to retail stores. After six years, Gedicke and his wife (defendant) started a home business, Newton Transport Service (Newton), arranging the shipping of goods to stores for various companies. After Cameco later fired Gedicke for performance reasons, Cameco learned about Gedicke’s outside business and learned that two of the companies for which Gedicke brokered shipments were Cameco’s competitors. Cameco filed suit, alleging a variety of claims, including breach of a duty of loyalty. A trial court dismissed Cameco’s suit at the close of Cameco’s case without waiting for Gedicke to present his case. The trial court made only general findings of fact. These facts established that Gedicke had started Newton without alerting Cameco. Because Cameco’s business was distributing food and Newton’s business was arranging shipments of goods, Gedicke did not directly compete with Cameco. However, because two companies for which Gedicke arranged transport were Cameco’s competitors, Gedicke did assist his employer’s competitors. The trial court made no findings related to the extent of Gedicke’s assistance. Gedicke acknowledged spending about 30 minutes of his shift on Newton business each day. Gedicke did not sign a noncompetition agreement until after his termination. The trial court dismissed, finding that Gedicke had not breached his duty and Cameco had experienced no damages. An appellate court affirmed the dismissal for each claim except the breach-of-a-duty-of-loyalty claim, ruling that Cameco had established a prima facie case for breach, even though Cameco had not demonstrated damages such as lost sales, profits, or customers. The appellate court ruled that, depending on an employee’s conduct, the duty of loyalty may be breached by the employee simply by assisting an employer’s competitor, and it ordered a new trial. The New Jersey Supreme Court granted certification.

Rule of Law


Holding and Reasoning (Pollock, J.)

What to do next…

  1. Unlock this case brief with a free (no-commitment) trial membership of Quimbee.

    You’ll be in good company: Quimbee is one of the most widely used and trusted sites for law students, serving more than 742,000 law students since 2011. Some law schools—such as Yale, Berkeley, and Northwestern—even subscribe directly to Quimbee for all their law students.

    Unlock this case briefRead our student testimonials
  2. Learn more about Quimbee’s unique (and proven) approach to achieving great grades at law school.

    Quimbee is a company hell-bent on one thing: helping you get an “A” in every course you take in law school, so you can graduate at the top of your class and get a high-paying law job. We’re not just a study aid for law students; we’re the study aid for law students.

    Learn about our approachRead more about Quimbee

Here's why 742,000 law students have relied on our case briefs:

  • Written by law professors and practitioners, not other law students. 45,900 briefs, keyed to 984 casebooks. Top-notch customer support.
  • The right amount of information, includes the facts, issues, rule of law, holding and reasoning, and any concurrences and dissents.
  • Access in your classes, works on your mobile and tablet. Massive library of related video lessons and high quality multiple-choice questions.
  • Easy to use, uniform format for every case brief. Written in plain English, not in legalese. Our briefs summarize and simplify; they don’t just repeat the court’s language.

Access this case brief for FREE

With a 7-day free trial membership
Here's why 742,000 law students have relied on our case briefs:
  • Reliable - written by law professors and practitioners, not other law students
  • The right length and amount of information - includes the facts, issue, rule of law, holding and reasoning, and any concurrences and dissents
  • Access in your class - works on your mobile and tablet
  • 45,900 briefs - keyed to 984 casebooks
  • Uniform format for every case brief
  • Written in plain English - not in legalese and not just repeating the court's language
  • Massive library of related video lessons - and practice questions
  • Top-notch customer support

Access this case brief for FREE

With a 7-day free trial membership