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Intellectual Property
Misappropriation of Trade Secrets
Bad Faith

Catalis N.V., et al. v. Evolution QC, LLC, et al.

Published: Aug. 22, 2009 | Result Date: Jul. 1, 2009 | Filing Date: Jan. 1, 1900 |

Case number: EC043895 Verdict –  Defense

Court

L.A. Superior Glendale


Attorneys

Plaintiff

Gary D. Ellington


Defendant

Michael Tenenbaum
(Office of Michael Tenenbaum Esq.)


Facts

Plaintiff Testronic Laboratories Inc. (Testronic) is a company that tests DVDs. Included as their clients are Disney, Paramount, and Warner Brothers. In late 2006, Lionsgate, New Line, and Magnolia switched from Testronic to defendant Evolution QC LLC for the quality control testing of their DVD releases.

Contentions

PLAINTIFF'S CONTENTIONS:
Testronic contended that Evolution QC stole their trade secrets, and alleged claims of unfair competition, conversion, breach of fiduciary duty, and intentional interference with prospective economic relations.

DEFENDANT'S CONTENTIONS:
Evolution countered that Testronic had only brought the suit in order to put them out of business as evidenced by testimony elicited from Testronic's CEO Neil Goodall. Goodall stated that his intention in bringing the suit was to put his competitor out of business. Letters from Goodall were introduced, which stated his hope that Evolution would cease to exist. Furthermore, the DVD production heads of Lionsgate and New Line testified to the poor service they received from Testronic.

Damages

Testronic sought compensatory damages in the amount of $3 million, plus punitive damages.

Result

The jury unanimously found in favor of Evolution QC.


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