In a dispute over noncompete agreements, the New Jersey Appellate Division has ruled that a trial judge properly applied the “sham affidavit” doctrine in tossing out contradictory testimony given by a co-defendant who took a job with the plaintiff after his initial deposition.

Two telemarketing companies, Metro Marketing LLC, which is comprised of National Auto Division LLC and National Automotive Financial Services LLC, and Nationwide Vehicle Insurance Inc. are rivals in the business of selling aftermarket contracts for motor vehicles, according to the Appellate Division’s May 12 opinion. The businesses operate by having entry-level cold callers attempt to interest potential customers in purchasing a contract. Once that lead is procured, it is turned over to a “closer,” who completes that transaction.