Opinion ID: 204041
Heading Depth: 4
Heading Rank: 4

Heading: Legitimate Business Interests

Text: Defendants' final argument against the enforceability of the non-competition provision is that it was not designed to protect Astro-Med's legitimate business interests. Rhode Island law requires that a party seeking to enforce a non-competition agreement demonstrate that there exists a legitimate interest that the provision is designed to protect. Durapin, 559 A.2d at 1053; Max Garelick, Inc. v. Leonardo, 250 A.2d 354, 357 (R.I. 1969). While the desire to be free from competition, by itself, is not a protectable interest, Durapin, 559 A.2d at 1057, protecting a business's confidential information and goodwillsuch as the special relationship its sales force has developed with customersmay qualify as a legitimate interest. R.J. Carbone, 582 F. Supp. 2d at 225; Nestle, 836 F. Supp. at 74-75; Dial Media, Inc. v. Schiff, 612 F. Supp. 1483, 1489 (D.R.I. 1985); Rego Displays, Inc. v. Fournier, 379 A.2d 1098, 1102 (R.I. 1977). At trial, Astro-Med produced evidence of the proprietary nature of the information it disclosed to Plant, including strengths and weaknesses of its products, its pricing strategies, the new products under development, and its customers. The evidence is sufficient to sustain the verdict.