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Brokerage wins preliminary injunction against ex-employees, rival

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Brokerage wins preliminary injunction against ex-employees, rival

Corporate Synergies Group LLC won a preliminary injunction against four former employees who jumped to rival Alliant Insurance Services Inc., the Camden, New Jersey-based brokerage said in a statement Tuesday.  

A U.S. District Court in New Jersey barred former Corporate Synergies employees Greg Andrews, Simone Ur, Gerard Duffy and Barbara Diggs and Alliant from soliciting business from Corporate Synergies clients for whom they worked the year before they left. Mr. Andrews resigned July 2, Mr. Duffy and Ms. Ur Aug. 9, and Ms. Diggs Aug. 31.

U.S. District Judge John Michael Vazquez also ordered that the former employees cannot provide information about Corporate Synergies’ clients to Alliant and may not interfere or attempt to interfere with business relationships between Corporate Synergies and clients with whom the former employees worked in their last year.

In a 65-page amended complaint filed Sept. 26 in U.S District Court, District of New Jersey, Corporate Synergies alleged that “immediately following their respective resignations, Andrews, Duffy, Ur and Diggs — along with Daniel McCaffrey of Alliant — relentlessly and unapologetically started calling upon, soliciting, meeting with, and attempting to persuade the CSG clients with whom they formerly worked to leave CSG and join Alliant.”

Corporate Synergies further insisted in its complaint that “injunctive relief is necessary. Just within the last week, CSG has lost five substantial clients, and, upon information and belief, will continue to lose more clients with more substantial revenue losses.”

“We are pleased with the court’s ruling, which protects the investments we have made in our clients and the current team members who support them,” John Turner, president and CEO of Corporate Synergies, said in the statement. “We can now continue to support our clients without interference.” 

The judge found that Corporate Synergies demonstrated a “reasonable likelihood of success on the merits” in its claims against the former employees that they breached their non-solicitation covenants.

“We take breaches such as this very seriously and will vigorously defend our rightful position,” Mr. Turner said. 

Corporate Synergies has regional offices in New York and Melville, New York; Bethesda, Maryland; and Orlando, Florida, according to the statement. 

 

 

 

 

 

 

 

 

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