LAWS(DLH)-2009-4-299

VESTERGAARD FRANDSEN A/S Vs. M. SIVASAMY

Decided On April 02, 2009
Vestergaard Frandsen A/s and Ors. Appellant
V/S
M. Sivasamy and Ors. Respondents

JUDGEMENT

(1.) THIS common order will dispose of two applications, under Order 11, Rule 14, Code of Civil Procedure, ("Code of Civil Procedure") seeking discovery of documents from the Defendants.

(2.) THE Plaintiffs contend to be in the business of developing, producing and selling mosquito nets made from polyester (PE) and polyethylene (PE). They claim to use insecticides to either impregnate the nets (PES) or incorporate into the net material (PE). They allude to three products, i.e. "FENCE", which is an insecticidal netting used in agriculture to surround livestock or crops; "Zerofly" a family of insecticidal tarpaulin products predominantly using PE; and PE Bed Net, an insecticidal mosquito bed net, made of PE. The Plaintiffs have detailed the dates of start of development of the products; Fence was started in September, 2001; Zerofly, in 1996 and PE Bed Net, in September 2001. The date of first sale of each product was Fence, Mid 2003, on limited experimental basis; Zerofly, in 2001 and PE Bed Net, a pipeline product, not presently in sale. The Plaintiffs contend that production of yarn and manufacture involves a two step process, in which "masterbatch recipes" are first formed, and later mixed with a predetermined number with pure PE pallets and extrusion process of such mixture, through a nozzle of appropriate size, to produce yarn.

(3.) THE Defendant No, 1, say the Plaintiffs, manufacture PE nets for Defendant Nos. 7 -11, which are English companies, The first Defendant also operates through proprietorship concerns. Defendant No. 2 is a marketing and distribution agent of Defendant No. 8, for PE and other nets that violate the Plaintiffs' trade secrets and confidential information. Defendant No. 3, is believed to be the manufacturer of masterbatches for Defendant Nos. 7 to 11, for PE and other nets that violate the Plaintiffs' trade secrets and confidential information. The fourth Defendant was a former regional sales manager of the first Plaintiff, directly responsible for sale of the latter's products. She was employed in November 2000, promoted as Regional Manager and became regionally responsible for sales in Europe and South America. She cancelled her employment contracted in June 2004 and resigned immediately. After the event, a Danish Limited Liability Company, i.e. Intection A/s ("Danish Intection") was formed, and later converted into Intection APS, on 3rd August, 2004; the fourth Defendant was its managing director. This company was declared bankrupt on 301h January 2006.