Bloomberg Law
July 7, 2017, 8:05 PM UTC

Judge Rakoff Shoots Down eDiscovery Trade Secrets Case

Gabe Friedman
Freelancer

In the booming world of e-discovery services, having a sales team with strong client relationships can mean everything.

Or at least for LDiscovery, it was worth about $24 million — which is the sum in bonuses and other potential payments it offered to entice four sales agents, who defected from competitor DTI Global, which subsequently filed a lawsuit seeking an injunction to prevent the hires.

Earlier this week, a federal judge in Manhattan rejected DTI’s arguments that the sales team had misappropriated key trade secrets, such as its e-discovery clients’ purchasing needs, and denied its motion for a preliminary injunction. ...

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