ADT Sues Former Employee and Subcontractor

By Isabella Cheng, Published Apr 12, 2021, 10:44am EDT

ADT Commercial is suing a former employee and subcontractor for allegedly stealing ADT's proprietary pricing tools, customers and projects.

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ADT alleges that it used tracking software that showed how the employee stole ADT's information and then shared that information when the employee defected to the ADT subcontractor, turned competitor.

Inside this note, we analyze the case, the risks involved for integrators and employees.

ADT **** **-******** *** *************

******* **, ****, *** filed * **************** **-******** ******* *****, Sr. *** * ****** subcontractor,********* ************, ** **** ** Securance's *****, ******* *******, for "********* ********* ***** contractual *** ***** ****** by ******** ***’* ***** secrets *** ***** **** to ******** ******* **** ADT *** **** *** customers’ ********."

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Securance **********

********* ************ ** ***** in ********* *** ******** business ****** *** **** Coast.******** ***** ** ********* currently** *********.******* ************** ********* ** **** after ******* ** ********** as * ******* ******* and ************ **********.

Ex-Employee ********** **+ ************ *** ***** ****** ******** ** **** *** *************, ********* ************

*** ******* ***** ********** to * ******** **** drive, *******, ** **** to *** *** ******** email ******* ** ***** 50 ************ *** ***** in *** ***** ******* up ** *** ****** resignation ** ******* **, 2021. ******* ***** *** resignation, ***** ******* ** work *** ********* ************, a ****** *** *************.

*** ******* *** ***** taken ** ***** ******** a ****** ** ***** sheets, ******** *****, *** proposals. ***** ** ** excerpted **** **** *** complaint **** ***** ***** downloaded ***/** ******* ** Pomes:

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ADT **** ***** **** ************ *** ******** ***** *******

*** ****** ***** ***** were ************, ******** ********* information/trade *******, *** **** "not ******** ** ** shared **** ****** ******* of *** *** ************":

*** *****-****** ***** *******, inter ****, ************ *** proprietary *** ******* ***** quote ******, ******** *********, and ******** ***/** ****** lists, ***** ******* ***** information *** ********* ********* to ***. *** *********** contained ** **** ** these ***** **extremely ******** and is *** ******** ** ** ****** **** ****** ******* ** *** *** ************. [emphasis added]

*******, *** ****** **** of ***** ***** (*.*. quote ******) ******** ********* tools ********* ** *** over * ****** ** years **** ****** **** to ******* **** ************** quotes ***** ** ***** information:

***** ***** ****** ***proprietary ***** that were developed in house by ADT and contain specifically tailored formulas that ADT uses to generate proposals or cost estimates when bidding for specific types of commercial projects. ADT invested *********** **** *** ********* ** ******* *** ****** ***** ***** over the years, including hundreds of hours of collaborative effort from the Company’s accountants, sales managers, operational leadership, and information technology experts, among many others. As a result of their efforts, ADT’s pricing tools are now capable of generating an individualized quote for almost any type of project just by entering basic information about the customer’s needs, facility, and existing equipment. [emphasis added]

*** ******* ***** ***** were **** *********** **** Pomes ** *********, ****** Securance ****** ** ***-********* quotation *****:

*** *******, ** ***** provided *** *********** ******* tools **** ** ****** onto *** ******** **** drive ** *** *** employer,it ***** **** ********* *** ******* ** ****** **** ******** *** *********** ***** ****** when bidding against ADT on projects. [emphasis added]

****, ********* *** **** to "******** *******" ******* ADT ** ****:

**** *********** *** ******, Defendants ****used *** ************** ************ *** ***** ****** *********** ** ******** ******* ******* ***, undermine its relationships with longstanding customers, and to secure business that would have otherwise been awarded to ADT. [emphasis added]

Loss ** *** ******** *******

*** *** ******* **** business ** ** ****** of *****' ******** ** confidential ********* ** *********, substantiating *** ******* ****** for ********** ****** *** an *********** ****** ** monetary *******, *** ********* states.

********* ** *** *********, ADT *** **** ** least * ** *** "longstanding *******" ** *********:

** ***** *** ** ADT’s ************ ********** ******* in *** ******* ******** terminated ***** ********* **** ADT *** ***now ***** ******** *********** **** *********. [emphasis added]

*******, *** ********** ** has **** ** ***** 2 ******** ** *********:

*******, ** ***** *** such ******** ****ultimately ******* ** *********, even though the customers in question had previously advised ADT that they were choosing between accepting ADT’s bid or a bid from another company that was not Securance. [emphasis added]

*** **** ********** ********** monetary ****** ** *** complaint ** *** ** least $**,*** ** ******* (a ********* ******* *** such * ****), ******** ADT *** *** ******* exactly *** **** ***** they **** **** ****** their * ********* *** 2 **** ** *********.

Securance *** ********* ********* ** **** **** *** ** ********* ** ***-************ *** ***-*********** **********

*** ******** *** *** contracts **** ********* ** late ****, ******* ********* had ********* *** ********* and ********* *** *********.

**** *** *** **** Region ******* ******* ********* Securance/Comeaux ***** *** **********, he*********** ******* *** *** "embarrassed ** **********" ** all *** "******** ********* bout *** ** ******'* care **** ***** *** contracts **** ***."

****, ** *** **** Pomes **** *** ******** at ***, *** ******* was ******* ***** ** Securance's ********* ** * competitor ** *** **** and **** "********* ***** whether ***** ***** **** taken *** ** ***'* confidential *********** **** *** to *********."

Ex-Employee ****** *************** **********

** * **** ** his ********, ***** ****** numerous *************** ********** *** code ** ******** **** were ***** ** ******* ADT's ***** ******* *** intellectual ********.

***'***** ** *********** ****** **** ************ information **** *** ** used *** ***-*** ********** and **** ** ******** to *** ******* **** employment ******:

**** ******* *** *** use ************ *********** *** any ******** ******* ** current ******** ********** ** ADT. **** ********** **** the ******* ****, ** at *** ***** **** upon *** *******’* *******, Team ******* ****promptly ****** *** ************ *********** ** ***** ********** ** *** ******* ******* ********* *** **** (electronic or otherwise). [emphasis added]

*******, *** **** ** Conduct ******** ***'*********** *** *********** ****** ********* ****** store *** *** *********** on *** ***-*** ***** equipment. *******, ***-******** ******* (such ** *****' **** drive) ****** ** "********* to *** ******** ******* for *** ******* ** copying ** ************ *****."

Subcontractor ****** ***************, ***-************, *** ***-*********** **********

** ****** ** *** subcontractor, ********* ****** ******* *********** *********(***) **** ********** ********* from ********** ** ***** any ** ***'* ************ information, *********:

********* ******; ************* *** application ***********; ******** ***********; contractor ************* ***********; ******** information; ********* ***********; ********* information; ******* *** ************; [and] *********** *** ******** and ********* *****.

***** **** *** *************** covenant, *** *** **** included ********* *********** ************* solicitation ** *** ********* and *********** ** *** employees *** * ****** of * **** ********* the *** ** *** MSA *********:

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ADT ********* ** ******* **** ********* ***** ********* ********

***'* ******** ******** *** Incident ******** (****) ****, responsible *** "************* ******** security ********* ********* *** unauthorized *** ** ********** of ***’* ******** ******* or ****" ********** *****' downloads ** ***** ** using ** ******* ****** detection ******** ***************.

*** ********* ********* *** IT ****'* *** ** ObserveIT:

** ****** **** **** investigations ** **** ** to *********** ******** ********** behavior ** **** *** can ****** ********* ******** threats *** **** ***** to ******* **** ** soon ** ********.

***************** ** *** "******* Insider ****** ********** ********" that ******** ******** ***** to "******** **** ****, detect ** *******-*** **** breaches, *** ********** ******** incident ********." ***** ********* was **** ** *** to **** ***** ************ files **** ********** ** Pomes, *** ********* **** track **** ******** ** large ** ******* ******** security ******. *** ******** can ***** ********* *** employee ********** ********* *** keys *******:

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*********'* ******* ** * one-time $*,*** *** *** user, *** *** ***** is ***************** ************* ********** ******** ** be *********. ******** ********** * ********** ******* likened ********* ** * "24/7 ******** ************ ******" able ** ******* ************* evidence ** *********:

******* * ****** ********* all ******** ** * user ******* ** * server ** **, **** collecting *** *** ******** and **** ** ** sure *** * ****** action **** ** **** without ***** ******** *** analyzed. *** **** *** have *** ******** ****** of *** **** *** also **** *** ********* to **** ****** *** when * ********* *** decide ** ****.

[*** ****] ******** ********* of **** ***** *** well *** ** ********** to ***** *** ** case **** ** ********* suspicious. [***] *** **** haveall *** ******** ** ***** but also you can prevent them from happening. [emphasis added]

** ******* **** **** becomes **** ***********, ******** such ** ********* ***** allow ********* ** ********** what ********* *** ********* on *******-****** **********.

Temporary *********** ***** *******

********** *********** *****(***) *** ******* ** April *, **** ** ADT ** *** ***** determined:

*** **** ****** ********* and *********** **** ****** notice *** ** ****** and * ******* *** on ***’* *********** *** preliminary **********.

*** *** ****** *** defendants **** *** "********, transmit, ** *** *** any *******" *** ***** secret ** ************ *********** belonging ** *** *** can **** ******* ** contact *** *********, ** the ***** *****. *******, the *** ***** ***** that *** ********** **** take "********** ********" ** preserve ******** **** *** be ********** ** *** case *** ****** **** available ** *** *** devices **** ***** **** confidential *** ***********.

**** **** ******** ** monitor *** **** ******* as **** **** **********.

***************

**** **** ********** * common ********** ******* ** employees ********* ** *********** taking **** ********. **** the ******** ** ******** integration ********** ***, **** is ** ******* ** how * ******* ~**** smaller **** *** ********** won **** **** ****. However, ** *** **** this ****, ** ***** be ** * *********** cost ** *********.

Employee **** *** ************ ****** *****

***** *** ******** ********** software *** **** ** central ** ***'* ****, this **** ****** *** question ** *** ****** of *** ******** ** employee. ***** ******* *** stopping *** ******* ** confidential *********** ** ****** broad, **** *** ** concerned **** ** ***** with *** ***** ** employers ** ***** *** know ***** ********* *** action ********* ****.

Comments (11)

****** **** ******* *****, Sr. *** * *** part ** *** *** business ** **** ******. While * ***** *** has *** ***** **** legally. * ***** *** can ****** ****** **** a * **** *** company.

Agree: 4
Disagree
Informative
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Funny

** *** *** ** this **** ** ******** but *** *** **** one ** ***** **** is ******* **** ********'* camera *******? ***** **** this ***** **** **** in **** **** ***** they ********* ***** ** lose **** **** **** they ***** ****.

Agree: 8
Disagree
Informative: 1
Unhelpful
Funny

** ***'* ************ ******** consists ** * ********** of ***** ************ *** PDFs?

Agree
Disagree
Informative
Unhelpful
Funny: 4

*** **** ***** *** has **** * *********** called *** “****” *** it ******** *** *** estimating ***** *** ******* as **** ** ******* for *** *** ********. If ****’* **** **** took, **’* ********** ***********.

Agree
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Funny

* ********** **** *********** information ***** *** ***** - *** **** *'* saying ** **** ** one ** *** ******* security ********* ** *** US ** ***** ******* over * *********** - then **** **** * lot ***** *** **** protect ***** *** ** (and *** ** * good ***)

Agree: 7
Disagree
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*** **** ****** * believe ** **** **** these ******* ******, ****** ADT ***** ******** ** and **** ***** ****. It ***** **** **** comes ** **** **** every ***** ***** ** so.

Agree
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*** ***** ** ** careful **** *** **** monitor ******* *********...

****** ****** * ******** device ** ********'* ******** and ***** **** ********/*** (abuse) ** **** ***** that * ***** ****** lost ** ********* ****** 3-6 ******!

**** ** ***** ********* and *********** *** **** with *** ******** *** 10+ *****.

********** ********* ********** *** intrusive ************ ** ********* not ***** ********* ** likely *** ***** ** be ********** (** *****)

Agree
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Informative: 1
Unhelpful
Funny

******,*** ******:

********** **** ***** *********** of ******* *****, **.’* electronic *******.

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******* *****, **

** ***** * ******* Pomes, **. ******** ** the ****?

** ***, *** ******* their ***** **** ***** having * ***?

Agree
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*** ********, *** ********.

** ** ****** * wrote:

*** ******** *** *** contracts **** ********* ** late ****, ******* ********* had ********* *** ********* and ********* *** *********.

*** ** ***** ****** ADT ********* *** ******* Pomes, **., *****, **.'* son. ****, *****, **. left *** *** *********, as *** ****** ***. However, *****, **. **** months ******* **** **., around ******** ****.

*** **** ****** ******* was ***** **** *****, Jr. **** *** *** Securance, ***** *** *** red *****, ******* **** would **** ***** ********* was ******** ********** **** ADT, ***** *** ********* re: *********'* *** ** the **** **** ***.

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*****'* ** ********** **** Pomes, **. ********** *** of ***'* *********** ***** before ******* ***. *** main ******* ** **** he *** ******* ** by *********, ** ********* of *********'* ***. *******, I'm **** ** **** set *** ***** ****** for *** ******* **** the *** **** * few ****** *****.

Agree
Disagree
Informative: 1
Unhelpful
Funny

***, ***** ****** *** report!

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