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Court of Appeals of Georgia: Atlanta Bread Company International, Inc. v. Lupton-Smith et al.

663 S.E.2d 743, 2008-1 Trade Cases P 76,184, 8 FCDR 1907

Franchisee brought action against franchisor, alleging that
franchisor wrongfully terminated franchise agreements. The Superior Court, Cobb
County, Robinson, J., granted partial summary judgment in favor of franchisee,
denied franchisee's motion for judgment on the pleadings, and denied franchisor's
motion for summary judgment. Appeal was taken.

Holdings: The Court of Appeals, Johnson, P.J., held that:

(1) covenant not to compete was unenforceable;

(2) post-termination covenant not to compete was unenforceable; and

(3) non-disclosure restriction was enforceable as to franchisor's trade secrets.

Affirmed.

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