Former area sales manager accused of breaching contract by medical device company Orthofix US LLC

Martin Luther King Jr. Federal Court
Martin Luther King Jr. Federal Court
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A leading medical device company has accused a former upper-level sales manager of violating post-employment contractual obligations by soliciting business from her previous customers on behalf of competing firms. The complaint was filed by Orthofix US LLC in the United States District Court for the District of New Jersey on March 2, 2026, naming Christina Peck as the defendant.

According to the court filing, Orthofix alleges that Christina Peck breached multiple restrictive covenants after her employment ended in December 2025. The company claims these actions resulted in lost sales, damaged goodwill, and ongoing harm that cannot be remedied solely through monetary compensation. Orthofix is seeking both monetary damages and injunctive relief to stop what it describes as continuing violations.

The dispute centers around an employment agreement signed on September 16, 2022, before Peck began working as Area Sales Manager for Bone Growth Therapies covering New York City and Philadelphia territories. The agreement included confidentiality clauses and non-compete provisions that extended for one year following termination. Specifically, it stated: “Employee agrees not to disclose any of Orthofix’s Trade Secrets or Confidential Information…either during the term of this agreement or at any time thereafter, except as required for the benefit of Orthofix.” Additionally, it restricted participation in competing businesses within a defined territory and prohibited solicitation of former customers and employees for twelve months after employment ended.

Orthofix reports that it invested significant resources into training its sales force—including Peck—providing them with specialized knowledge about products such as SpinalStim and CervicalStim. The company contends that customer relationships developed by its representatives are part of its goodwill and were built through substantial investment.

Peck’s employment was terminated on December 4, 2025, when Orthofix eliminated her position due to internal restructuring. She was offered a severance package including extended benefits and career transition support but did not accept it. Shortly thereafter, Orthofix alleges that Peck began contacting her former surgeon-customers within her old territory to market competitive spinal products for new employers—actions which the company says violate her contractual obligations.

The complaint details specific incidents between December 2025 and January 2026 where Peck allegedly solicited long-time customers in Nassau County and Queens. In one case, records show a surgeon-customer prescribed sixteen competitive devices in January 2026 following Peck’s outreach. Another attempt reportedly targeted a customer in Queens but was unsuccessful.

Orthofix sent a cease-and-desist letter to Peck’s counsel on January 29, 2026, emphasizing that “post-employment restrictions remain in place” and warning legal action would follow if necessary. Despite this notice, the company claims that “Defendant continues to solicit her former Orthofix surgeon-customers throughout the Territory through inventive and indirect means.” One example cited involves attempts to use a third-party hardware partner contracted with Orthofix as an intermediary to reach another key customer whose business represented nearly $200,000 in revenue during 2025.

The complaint asserts that these alleged breaches have already caused damages exceeding $75,000—a threshold relevant for federal jurisdiction—and could result in further losses if not stopped by court order. It also states: “Defendant shows no signs of stopping her unlawful conduct against Orthofix,” noting statements attributed to Peck questioning the enforceability of the restrictive covenants.

Orthofix argues that its restrictive covenants are reasonable under New Jersey law—the governing law specified in the agreement—and that it has fulfilled all contractual duties on its end. The company requests that the court find in its favor on breach of contract claims; award monetary damages; issue preliminary and permanent injunctions prohibiting further violations; award costs including attorneys’ fees; and grant any other appropriate relief.

The attorneys representing Orthofix US LLC are Jerry A. Cuomo from Landman Corsi Ballaine & Ford P.C., Newark, New Jersey; Christopher W. Cardwell; M. Thomas McFarland; and Gabriel B. Ragsdale from Gullett Sanford Robinson & Martin PLLC in Nashville, Tennessee. The case is identified as Civil Action No. 2:26-cv-02180.

Source: 226cv02180_Orthofix_US_LLC_v_Peck_Complaint_District_New_Jersey.pdf


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