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EXECUTIVE BUS. SYS. v. PHILIPS BUS. SYS.

January 14, 1982

EXECUTIVE BUSINESS SYSTEMS, INC., Trading as Executive Communication Systems, Plaintiff,
v.
PHILIPS BUSINESS SYSTEMS, INC., Defendant



The opinion of the court was delivered by: BRAMWELL

DECISION AND ORDER

INTRODUCTION

Plaintiff Executive Business Systems, Inc., ("Executive") has moved this Court for an Order adjudging defendant Philips Business Systems, Inc., ("PBSI") to be in contempt of a preliminary injunction entered against it on July 30, 1981. This is an action with which the Court is rather familiar but which nevertheless presents sometimes complex and confusing issues.

 Essentially, the action involves an attempt by defendant to discontinue a business relationship with plaintiff which may be in contravention of the New Jersey Franchise Practices Act. See N.J.Stat.Ann. ยง 56:10-1 et seq. (West Supp. 1980-81). Pursuant to a July, 1978 agreement, the parties agreed that plaintiff would be the exclusive distributor of Norelco office products in eight northern New Jersey counties until June 30, 1981. In response to the attempted termination, the Court, on July 30, 1981, entered a preliminary injunction upon a finding that plaintiff had made a sufficient showing of irreparable harm and likelihood of success on the merits. *fn1" The injunction prohibits defendant PBSI from:

 
(1) cancelling, terminating, or otherwise amending the Distributor Agreement dated July 1, 1978 between the plaintiff and the defendant (the "Agreement")
 
(2) communicating with, interfering with or taking any other action which could in any way adversely affect the present or potential relationship between the plaintiff and any person or entity now or about to be engaged in buying, selling or dealing in any product or products covered or coverable under the Agreement including, but not limited to:
 
Arrowhead Business Machines
 
4702 Eastern Avenue
 
Kansas City, Missouri 64129
 
Executive Business Machines
 
17-11 Broadway
 
Fair Lawn, New Jersey 07410
 
Fredericks Typewriter Co.
 
1206 Highway 35
 
Asbury Park, New Jersey 07712
 
Harry Strauss & Sons
 
429 Jersey Avenue
 
New Brunswick, New Jersey 08903
 
International Dictation Equipment
 
125 Wilbur Place
 
Bohemia, New York 11716
 
Kimber Business Machines
 
514 Georges Road
 
North Brunswick, New Jersey 08902
 
Matthijssen
 
14 Rt. 10 at Ridgedale
 
E. Hanover, New Jersey 07936
 
Office Control Systems
 
264 Osborne Road
 
Albany, New York 12211
 
Shanahans
 
28 West Main Street
 
Somerville, New Jersey 08876
 
Systems 3
 
2324 University Avenue
 
St. Paul, Minnesota 55114
 
Trademark Office ...

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