Vedder Price is pleased to announce that its client, Stericycle, sought a temporary restraining order and a preliminary injunction against a competitor, Allied Holdings, based upon Allied engaging in unfair competition, and has now received a favorable court ruling.  Specifically, Allied personnel have held themselves out to Stericycle as being a Stericycle customer, and to Stericycle’s customers as being from Stericycle, in an effort to take business away from Stericycle.  Stericycle also asserted that Allied likely used confidential information and/or trade secrets of Stericycle in targeting Stericycle customers for these purposes.  This type of “passing off” – that is, falsely indicating an association with another – is prohibited by various federal and state laws relating to unfair or deceptive business practices.

On March 7, 2023, United States District Court Judge Mary M. Rowland entered a Partial Temporary Restraining Order and Preliminary Injunction, finding that Stericycle is likely to prevail on the merits of its claims against Allied, and that Stericycle will suffer immediate and irreparable injury if injunctive relief is not granted.  The Court thus enjoined Allied, and those acting in concert with it, from directly or indirectly contacting Stericycle or its customers and falsely claiming or inferring any affiliation, connection, or association with Stericycle or its services, or any affiliation, connection, or association with any customer of Stericycle.

Shareholder James Garvey and Associate Jonathon Reinisch are responsible for leading the legal team’s overall strategic efforts in this case.   

The case will now proceed to the discovery phase of the litigation.