JOANNE TINSLEY v. D & R PHARMACEUTICAL SERVICES, INC. D/B/A D & R PHARMACARE AND OMNICARE, INC.
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RENDERED: December 30, 1999; 10:00 a.m.
NOT TO BE PUBLISHED
MODIFIED: February 25, 2000; 2:00 p.m.
C ommonwealth O f K entucky
C ourt O f A ppeals
NO.
1999-CA-000422-MR
JOANNE TINSLEY
APPELLANT
APPEAL FROM WARREN CIRCUIT COURT
HONORABLE THOMAS R. LEWIS, JUDGE
ACTION NO. 98-CI-01275
v.
D & R PHARMACEUTICAL SERVICES,
INC. D/B/A D & R PHARMACARE
AND OMNICARE, INC.
APPELLEE
OPINION
REVERSING
** ** ** ** **
BEFORE: DYCHE, MCANULTY, AND SCHRODER, JUDGES.
DYCHE, JUDGE:
Joanne Tinsley appeals from a judgment of the
Warren Circuit Court dismissing her claim against D & R
Pharmaceutical Services, Inc., for the wrongful use of a civil
proceeding.
After reviewing the facts and applicable law, we
determine that the forum selection clause is not applicable and
reverse.
Tinsley was employed by D & R Pharmaceutical Services,
Inc., d/b/a D & R Pharmacare and Omnicare, Inc., until she
resigned in September, 1995.
Tinsley worked for Omnicare in
Warren County, Kentucky, during her entire tenure with the
company.
In June of 1995, she was required to sign a
"Nondisclosure, Nonsolicitation Agreement" as a condition of her
employment with Omnicare.
Among the clauses contained in the
agreement was the following forum
selection clause:
This Agreement shall be governed by Ohio law.
You acknowledge that a violation of this
agreement will cause irreparable harm to the
Company, which will be entitled to injunctive
and other equitable relief in addition to
compensation and punitive damages for the
breach thereof. You agree that any action
relating to this Agreement or to your
relationship with the Company must be pursued
in federal or state court located in Hamilton
County, Ohio and you specifically consent to
the jurisdiction of the courts in Hamilton
County, Ohio.
Omnicare filed suit against Tinsley in September, 1996,
in Hamilton County, Ohio, alleging that she had violated the
agreement not to compete against Omnicare and had solicited
customers away from Omnicare.
In April, 1998, Omnicare
voluntarily dismissed its complaint against Tinsley.
She
subsequently filed the instant action against Omnicare in Warren
County.
The Warren Circuit Court dismissed Tinsley's suit as
improper under the forum selection clause.
This appeal ensued.
The "Nondisclosure, Nonsolicitation Agreement" is not
applicable to this lawsuit.
By its terms, it provides that "any
action relating to this Agreement or [Tinsley's] relationship
with" Omnicare is required to be brought in Hamilton County,
Ohio.
The underlying action here does not fall within that
category.
Tinsley's claim of wrongful use of a civil proceeding
is a tort action that is separate and distinct from either the
agreement or her employment relationship with Omnicare.
She
initiated this action only in response to the suit filed against
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her and voluntarily dismissed by Omnicare.
The claim that this
suit relates to her employment stretches the bounds of the
agreement beyond what can be construed as reasonable limitations
on her interaction with Omnicare after leaving its employ.
If we
were to accept Omnicare's argument that the entire agreement is
binding on the parties for an indefinite period after the
termination of Tinsley's employment, then any subsequent tort
action — even, for example, a slip-and-fall action that may later
arise if Tinsley has an accident while shopping at an Omnicare
subsidiary — would be required to be filed in Hamilton County.
Such interpretation would fail to give the agreement its intended
effect.
Portions of the agreement, such as the nondisclosure of
trade secrets, remain binding on Tinsley.
However, the action
filed against Tinsley related to a breach of the agreement not to
solicit customers away from Omnicare.
The nonsolicitation clause
was binding for only two years after the termination of her
employment.
Omnicare is no longer asserting that Tinsley
attempted to solicit customers, and Tinsley is not claiming in
this suit that she did not violate the agreement.
The only
allegation is that Omnicare abused the civil process in Ohio.
That relates neither to the agreement nor to Tinsley's employment
with Omnicare.
As such, the suit is not governed by the
"Nondisclosure, Nonsolicitation Agreement," and Tinsley should be
given her day in the courts of Kentucky.
-3-
Because this case does not fall within the provisions
of the agreement, we do not address whether a forum selection
clause in an employment contract is enforceable in Kentucky.
The judgment of the Warren Circuit Court is reversed
and remanded for further proceedings.
ALL CONCUR.
BRIEF FOR APPELLANT:
BRIEF FOR APPELLEE:
Matthew J. Baker
Matthew P. Cook
Bowling Green, Kentucky
Norman E. Harned
Amanda Anderson Young
Bowling Green, Kentucky
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