Educational Sales Programs, Inc. v. Dreyfus Corp.

65 Misc. 2d 412, 317 N.Y.S.2d 840 (1970)

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Educational Sales Programs, Inc. v. Dreyfus Corp.

New York Supreme Court
65 Misc. 2d 412, 317 N.Y.S.2d 840 (1970)

SH

Facts

Dreyfus Corporation (Dreyfus) (defendant) handled marketing for the Dreyfus Fund, one of the largest mutual funds in the world. Harvey Epstein was the president of Dreyfus. Educational Sales Programs, Inc. (Educational) (plaintiff) was in the business of sales training and was headed by Herbert Abelow. Epstein and Abelow were friends. Abelow approached Epstein about an idea he had for Dreyfus. Epstein orally promised that everything they discussed would be kept confidential and would not be used by Dreyfus unless they made a deal. Abelow’s idea involved providing training on cassette tapes directly to salesmen, bypassing their brokers. The use of cassette tapes for education or training materials was not unheard of, but selling them directly to salesmen was a new idea. They discussed Educational running this program for Dreyfus for a few months but couldn’t come to an agreement. Several months after calling it off, Dreyfus began a similar program without Educational. Educational filed suit against Dreyfus for breach of confidence and unjust enrichment, among other claims.

Rule of Law

Issue

Holding and Reasoning (Greenfield, J.)

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