N.D. Ga.

Joint Motion to Dismiss Granted in Trade Secret Misappropriation Case

Blue Wave Products, Inc. v. Freetime, LLC et al., Civil Action No. 1:21-cv-05069-VMC (N.D. Ga. May 11, 2022)

Plaintiff Blue Wave Products, Inc. filed suit against Defendants Freetime, LLC, James Coxworth, and Mark Clements on December 10, 2021 in the Northern District of Georgia (Atlanta Division). The case was assigned to Judge Calvert. The Complaint alleges that Defendants misappropriated Plaintiff’s confidential information including trade secrets and that, in doing so, Defendants Coxworth and Clements violated multiple restrictive covenants in agreements with Plaintiff. Specifically, the Complaint alleged that Plaintiff’s former employee and Defendant Clemens maintained confidential and trade secret information belonging to Plaintiff, including its product manuals and illustrations and warranty language after his employment ended and gave that information to Defendants Freetime and Coxworth to unfairly compete against it. The Complaint asserts claims for (1) violation of the Defend Trade Secrets Act, (2) misappropriation of trade secrets in violation of the Georgia Trade Secrets Act, O.C.G.A. § 10-1-760 et seq., (3) violation of Georgia Uniform Deceptive Trade Practices Act, O.C.G.A. § 10-1-370 et seq., (4) breach of non-disclosure agreement and employment agreement, (5) breach of stock option agreement, (6) breach of fiduciary duty, (7) breach of employee duty of loyalty, (8) tortious interference with contract, (9) tortious interference with contract with prospective economic advantage, (10) conversion, (11) conspiracy, and (12) attorney’s fees, O.C.G.A. § 13-6-11. Defendants moved to dismiss the claims against them on February 22, 2022 and Plaintiff moved for a temporary restraining order on March 8, 2022. The parties filed a joint motion to dismiss with prejudice on May 10, 2022. Judge Calvert granted the parties’ joint motion on May 11, 2022.

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