Dealer Sues Ex-Gallery Director For ‘Malicious’ Solicitation of Clients

Edward Tyler Nahem
Art dealer Edward Tyler Nahem has sued ex-gallery director Lance Goldsmith, alleging the former staffer stole trade secrets and mailing lists and conducted “malicious” client poaching.
The lawsuit accuses Goldsmith of the “tortuous interference” of Nahem’s business relationships, as well as a “breach of fiduciary duty” and “unfair competition.” Goldsmith now operates as a private dealer based in Brooklyn.
Nahem filed suit last week in New York State Supreme Court.
“Mr. Goldsmith’s position is that the complaint is utter fabrication,” said Goldsmith’s lawyer Richard Sadowsky of SNR Denton. “He has engaged in no improper conduct and we are preparing an appropriate response.” Goldsmith left Nahem’s gallery in December, 2009, according to court papers.
Nahem, who operates a 57th Street gallery specializing in postwar art, initially hired Goldsmith as director in April 2006, according to court papers.
Goldsmith was responsible for the gallery’s external back-up hard drive, containing Nahem’s “business information and trade secrets,” as well as a client list and contact information.
The suit accuses Goldsmith of removing confidential information and soliciting gallery clients. Goldsmith is accused of damaging “advantageous and valuable business relationships,” and “directly diverting business away” from his employer during and following his departure from the gallery.
Nahem declined to comment. The dealer is a producer of the Broadway show Fela! and recently participated in the Abu Dhabi art fair where he sold a major Frank Stella painting.
The gallery “has sustained losses to its business,” according to the suit.




