Retained by Pearl Cohen Zedek Latzer Baratz on behalf of Broker Genius, NOVUM’s Founder and President, Stephen Dell, testified regarding the damages sustained by Broker Genius as a result of defendant Seat Scouts LLC’s alleged breach of contract and misappropriation of labor, skills, and employment. Broker Genius alleged that defendants Drew Gainer and Seat Scouts breached Broker Genius’ terms of use contract by creating a derivative AutoPricer product and unfairly competed with Broker Genius.
After a two-week trial in the Southern District of New York, the jury awarded Broker Genius $4.5 million on its claim against defendant Seat Scouts LLC, finding that Seat Scouts, a competitor of Broker Genius, had illegally appropriated Broker Genius’ proprietary technology that allows resale brokers to easily reprice sports and entertainment event tickets. The damages award represents an award of $3 million against Seat Scouts CEO, Drew Gainor, personally, for breaching Broker Genius’ terms of use and another $1.5 million against Gainor and Seat Scouts for misappropriating Broker Genius’ development efforts. The $4.5 million verdict was consistent with the amount of damages Mr. Dell testified that Broker Genius suffered in lost profits and the amount of money it had cost Broker Genius to launch and improve its “AutoPricer” product over an approximate three-year period. Following the verdict, Judge Stein entered a permanent injunction against Seat Scouts.
For more information, see press release here.