Flexport accuses former staff of stealing its code to set up rival

Flexport has filed a lawsuit against two former employees, Bryan Lacaillade and Jason Zhao, accusing them of stealing trade secrets to establish a competing company, Freightmate AI. The logistics startup alleges that the two ex-employees took thousands of confidential files, with Zhao downloading extensive data and source code before leaving Flexport. The lawsuit claims that Freightmate AI is built on stolen information rather than innovation, and Flexport seeks to recover its proprietary data and prevent its use by Freightmate AI. Freightmate AI disputes these claims and intends to defend itself in court.

This case is part of a broader trend of companies accusing former employees of corporate espionage. For instance, HR software company Rippling has also filed a lawsuit against its competitor Deel, alleging that Deel used a spy to steal business secrets. Rippling claims to have identified the espionage through a honeypot email sent to Deel's leadership.

Key takeaways

Flexport filed a lawsuit against former employees Bryan Lacaillade and Jason Zhao for stealing trade secrets to start a competitor, Freightmate AI.
The lawsuit claims Zhao downloaded thousands of confidential files, including source code, before leaving Flexport.
Freightmate AI's founders admitted to taking documents but refused to allow a review of their source code.
Flexport seeks to recover its stolen property and prevent Freightmate AI from using its proprietary information.

Flexport accuses former staff of stealing its code to set up rival

Key takeaways

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