KILGORE ACE HARDWARE, INC., A FLORIDA CORPORATION, DON C. KILGORE AND JOHN M. KILGORE, INDIVIDUALLY AND AS OFFICERS OF KILGORE ACE HARDWARE, INC., APPELLANTS,
v.
H. D. NEWSOME AND F. L. LAY, APPELLEES
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The court held that the amended complaint sufficiently stated causes of action for civil conspiracy and trade libel/slander, but not for breach of contract.
[1] A cause of action for civil conspiracy exists when there is an agreement between two or more persons to accomplish an unlawful act or a lawful act by unlawful means, and…
[2] A person or corporation may recover damages for injuries suffered from the publication of false defamatory matter that prejudices their trade or business.
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Join FLexlaw to unlock all legal intelligenceAppellants sued appellees alleging an employer-employee relationship, civil conspiracy to damage business, breach of employment contract, and trade li…
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McNULTY, JOSEPH P. (Ret.), Associate Judge.
Plaintiffs-appellants challenge a final judgment dismissing their amended complaint in an action at law for damages. We reverse.
Appellants’ amended complaint consists of three counts. Each count depends on an alleged employer-employee relationship having existed between the appellant hardware corporation and appellee Newsome. It is further alleged that appellee Lay was a regular customer of the hardware corporation. The various counts of appellants’ amended complaint then attempt to state a cause of action for (1) civil conspiracy between appellees to damage unlawfully appellants’ business and business reputation; (2) for breach by appellee Newsome of his employment contract with appellant Kil-gore Ace Hardware, Inc.; and (3) for trade libel or slander. Appellees moved to dismiss the amended complaint for failure to state a cause of action.
The trial court granted the motion, with leave to appellants, to amend. Appellants declined to amend further, and the trial court then entered the final judgment of dismissal appealed from. We think the court was wrong. Read as a whole, the complaint stated a cause of action under two of the three legal theories — civil conspiracy and trade slander. The court was correct, however, on the contract count. No contract was pleaded, merely an employer-employee relationship generally.
First of all, we agree with appellants that an employee owes a duty to his employer to exercise diligence and good faith in matters relating to his employment.1 The amended complaint alleges that Newsome deliberately breached this duty by maliciously conspiring with Lay to steal appellants’ customers. Specifically, it is alleged that Newsome and Lay solicited such customers and importuned them to trade with a competing hardware business which Newsome (while still employed by Kilgore Ace Hardware, Inc.) was organizing with Lay.
Additionally, it is alleged, that in furtherance of their conspiracy Newsome and Lay uttered false and malicious state'ments concerning the business reputation, competence, and ability of appellants Kil-gore Ace Hardware, Inc. and its officers, appellants, Don C. Kilgore and John M. Kilgore;2 that Newsome made many of the false and malicious statements while still employed by Kilgore Ace Hardware, Inc.; that these false utterances were published to customers of Kilgore Ace Hardware, Inc. for the sole purpose of damaging appellants in their business and advancing the business interests of Newsome and Lay; and that appellants in fact have been permanently damaged in their business reputation by the slanderous statements of appellees and have lost regular account customers due to said statements.
Clearly as to the civil conspiracy count the allegations are sufficient. Civil conspiracy is “an agreement, confederation, or combination of two or more persons to do an unlawful act or do or accomplish a lawful act or legal end by unlawful means, to do something wrongful either as a means or an end, or to effect an illegal purpose either by legal or illegal means or to effect a legal purpose by illegal means.”3 Here, the confederation of two or more persons is alleged. The alleged unlawful end and purpose of the conspiracy was the breach of the employee’s duty to his employer and the slandering of the appellants in their trade by the conspirators. Given damages as alleged, a cause of action at law exists for civil conspiracy. In this respect, the instant case differs materially from Renpak, Inc. v. Oppenheimer4 in which, under somewhat similar but distinguishable facts, injunctive relief in equity was denied.
With respect to the trade libel or slander count, it is now well recognized that a person, and a corporation as well, may recover damages for injuries suffered because of written or oral publication of false defamatory matter which tends to be prejudicial in the conduct of a trade or business or to deter third persons from dealing in business with him.5 The allegations in count three of the amended complaint herein surely fall within this rule.
In view whereof, the judgment appealed from is affirmed with respect to its dismissal of the count sounding in contract. With respect to the remaining two counts, however, it should be, and it is hereby, reversed and the cause is remanded for further proceedings not inconsistent herewith.
GRIMES, A. C. J., and OTT, J., concur. . See 21 Fla.Jur. Master and Servant § 8. Cf. Blackshear Mfg. Co. v. Umatilla Fruit Co., 48 F. 2d 174 (5th Cir. 1931).
. The pleaded statements, allegedly false and malicious, were: “the Kilgores did not care about [their] customers or the public;” [they] were “incompetent to serve [their] customers;” and that a customer would be “unable to obtain service from the [Kilgores] due to [their] inability ... to run a hardware business.”
. See Renpak, Inc. v. Oppenheimer, 104 So. 2d 642 (Fla.2d DCA 1958).
. Id.
. See Diplomat Electric, Inc. v. Westinghouse Electric Supply Company, 378 F. 2d 377 (5th Cir. 1967); cf. Collier County Publishing Co., Inc. v. Chapman, 318 So. 2d 492 (Fla.2d DCA 1975). Also cf. Upton Cooler Corp. v. Alldritt, 73 So. 2d 848 (Fla. 1954).
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John W. Buckner, M.D. v. The Lower Fla. Keys Hosp. Dist., 403 So. 2d 1025 (Fla. 3d DCA 1981)…ter) requires that there has been a combination of two or more persons (or entities) seeking to accomplish an unlawful act or to accomplish a lawful act by unlawful means. The actors must have a common purpose. Kilgore Ace Hardware, Inc. v. Newsome, 352 So. 2d 918 (Fla.2d DCA 1977); Renpak, Inc. v. Oppenheimer, 104 So. 2d 642 (Fla.2d DCA 1958). Since a corporation must act through its officers, directors, or employees, it is well settled that a corporation cannot conspire with those persons unless the individ…
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Denis Rety v. Green, 546 So. 2d 410 (Fla. 3d DCA 1989)…ad nothing to do with Rety’s claim in this case. This further supports our conclusion that the aforesaid entry was not prejudicial to Green. . Hartley & Parker, Inc. v. Copeland, 51 So. 2d 789, 791 (Fla.1951); Kilgore Ace Hardware, Inc. v. Newsome, 352 So. 2d 918, 920 (Fla. 2d DCA 1977). . The cases relied upon by the defendant Southern Commodity Corporation for the prop-ositión that a corporate stockholder cannot recover the loss in value of his corporate stock for a tort committed exclusively against the…
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Brigham v. Brigham, 11 So. 3d 374 (Fla. 3d DCA 2009)…Marion as Marion’s employee. An employee owes a duty to her employer to exercise diligence and good faith in matters relating to the employment. Haynes v. The Singer Co., 1981 WL 2344 (N.D.Fla. June 19, 1981); Kilgore Ace Hardware, Inc. v. Newsome, 352 So. 2d 918, 919 (Fla. 2d DCA 1977). It is undisputed that Patricia was Marion’s employee. Additionally, the record reflects that Patricia received [*388] $218,607, ostensibly as salary, plus $56,000 as gifts during the final years of Marion’s life. V. Conclus…
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Join FLexlaw to unlock all legal intelligenceAuthorities Cited
- Renpak, Inc. v. Oppenheimer, 104 So. 2d 642 (Fla. 2d DCA 1958)
- Diplomat Elec., Inc. v. Westinghouse Elec. Supply Co., 378 F.2d 377 (5th Cir. 1967)
- Collier Cnty. Publ'g Co., Inc. v. Chapman, 318 So. 2d 492 (Fla. 2d DCA 1975)
- Blackshear MFG. Co. v. Umatilla Fruit Co., 48 F.2d 174 (5th Cir. 1931)
- Upton House Cooler Corp. v. Alldritt, 73 So. 2d 848 (Fla. 1954)