Jury Sides with ResMan Over Breach of Contract and Misappropriation of Trade Secrets
Plano, TX, March 18, 2021 – ResMan®, a leading property management SaaS platform provider, announces the company won its lawsuit against Karya Property Management. A federal jury in the Eastern District of Texas found that Karya breached its contract with ResMan and misappropriated ResMan’s trade secrets. The jury also found that Expedien, a software development company retained by Karya, tortiously interfered with the contract between ResMan and Karya and misappropriated ResMan’s trade secrets. The jury awarded ResMan $152,290,000 in damages.
Karya, working with global software development company Expedien, was found to have improperly accessed ResMan’s software to develop their own property management software. Karya’s software application was developed after Expedien accessed ResMan’s system more than 1,000 times without ResMan’s knowledge or permission. The evidence of this access included recorded teleconferences between Expedien and Karya to analyze the ResMan system and determine which features should be included in the new software.
“Building a world-class property management platform requires ongoing investments, deep industry knowledge, years of development effort, employee commitment and working closely with many customers. I’m very happy with the jury’s decision which sets precedent by acknowledging that software like this cannot be created by misappropriating trade secrets,” said Paul Bridgewater, ResMan CEO. “ResMan’s intellectual property is one of the most valuable assets we have, and it’s imperative that we protect it. Our customers trust us to bring them the most innovative, state-of-the-art property management solutions on the market. We believe the jury carefully listened to the evidence in the case and came to the right decision.”
ResMan was represented by Hogan Lovells with Maria Wyckoff Boyce as the lead partner on the case. Mike Jones of Potter Minton in Tyler, Texas, served as local counsel. Following the jury verdict, ResMan will seek injunctive relief and attorneys’ fees from the Court.