SAN FRANCISCO (July 16, 2010) – One day after winning a unanimous verdict from a 12-person jury and $9.36 million in compensatory damages, technology solutions provider Technology Integration Group (TIG) was awarded $1.525 million in punitive damages today in California Superior Court.
San Diego-based TIG was represented by a team of lawyers from Morrison & Foerster LLP led by the firm’s Litigation co-chair Arturo J. González.
TIG had accused three former employees of misappropriating trade secrets and conspiring with industry rival FusionStorm to weaken TIG’s operations in the Tampa, Fla., market, where FusionStorm was establishing an office.
The jury found three former TIG employees, FusionStorm and three of its executives, liable for breach of fiduciary duty, breach of loyalty, statutory unfair competition, and misappropriation of trade secrets, among other causes of action. The finding that three separate trade secrets were misappropriated means that TIG can also seek compensation for its legal fees, Mr. González noted.
TIG’s complaint alleged that some of its former employees were helping FusionStorm, including sending it sensitive pricing, vendor, and company financial information, while still working for TIG.
FusionStorm must pay $1 million of the punitive damages awarded today, while its three executives and a former TIG manager are responsible for the remaining $525,000.
Mr. González said, “We’re pleased that the jury saw the actions of the defendants for what they were – unacceptable corporate misconduct – and has decided not only to compensate TIG for the harm done to its business and reputation but to punish the defendants for their behavior.”
He said the high number of witnesses in the case who testified via video demonstrated that out-of-state witnesses can be a major feature of a trial without any loss of effectiveness in presenting a case.
The TIG verdict is Mr. González’s second notable trade secrets victory in the past year. In 2009, he won a verdict and a $36.3 million award on behalf of robotic medical device manufacturer Hansen Medical Inc.
In addition to Mr. González, the Morrison & Foerster team representing TIG consisted of San Diego litigation partner Craig Schloss, along with associates Stephanie Fong (San Diego), Tritia Murata (Los Angeles) and Anna Ferrari (Palo Alto), and senior paralegal Lisa Shunkwiler.
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