John Gregorian had a business selling expensive, customized print calendars to individuals. After several years where the business grew every year, he agreed to sell it to a larger, older company, Custom Products, Inc. As a part of the transaction, Gregorian agreed to stay on for a period of three years to manage his former business. Gregorian signed an employment agreement that included several terms including his compensation, his appointment as a vice president of Custom Products, Inc., his job responsibilities and his agreement not to disclose any confidential information. During this period of employment, he gave his old business's customer list to a friend and agreed to consult with her to help build her business selling custom photo frames. His boss at Custom Products, Inc. discovered this and called you, his lawyer, to find out if he had a good basis for suing Gregorian and what he could claim.

How would you advise him? Note the obligations that Gregorian had to Custom Products and how those obligations arise.