Opinion ID: 424016
Heading Depth: 1
Heading Rank: 8

Heading: USI's claim for preemption of corporate opportunity

Text: 108 One of the claims severed for non-jury disposition was USI's counterclaim for Gregg's alleged preemption of corporate opportunity by purchasing Camp Concrete Rock Company. The court, applying Florida law (no party contends this choice is incorrect), held that once Gregg was removed as president and chief operating officer 17 of his former companies and made only a consultant he no longer had fiduciary duties of such nature that they would be breached by his purchase of Camp Concrete. Gregg had no specific fiduciary obligation concerning acquisitions; his new duties as consultant had no relation to acquisitions. We agree with the district court that, under Florida law, Gregg had no general fiduciary obligation to USI. Connelly v. Special Road & Bridge District No. 5, 99 Fla. 456, 126 So. 794, 798 (1930); Renpak, Inc. v. Oppenheimer, 104 So.2d 642, 644 (Fla.Dist.Ct.App.1958). Gregg had been removed from management against his will, his authority taken away, forbidden to communicate with employees or to maintain an office on company premises, and required to surrender possession of company property. He had no regular duties but was subject to being called upon by USI for narrow and specialized purposes (primarily to consult concerning outstanding claims against the Corps of Engineers). 109