HouseCanary Wins $706M Against ‘Quicken Loans’ Affiliate Over Stolen Trade Secrets
By Maggie Wilson @ Real Estate Daily
March 22, 2018

HouseCanary emerged victorious in their landmark case against Title Source, an affiliate of Quicken Loans. After a seven-week trial, the jury found that Title Source fraudulently misappropriated HouseCanary’s proprietary technology.

In total, Title Source stole data, breached multiple prior agreements between the two parties, and committed fraud through false claims.

Key Takeaways

  • Real estate analytics company HouseCanary won a $706.2 verdict with law firm Susman Godfrey
  • HouseCanary was countersuing Title Source over past disputes with paying contract fees
  • The jury awarded HouseCanary $235.4 million in damages for stolen trade secrets and false claims and an additional $471.4 million in punitive damages

Excerpt

At the conclusion of the seven-week trial, a 12-person jury found unanimously in favor of HouseCanary, awarding HouseCanary $706.2 million against Title Source on counterclaims in this high-stakes legal battle.

“We are very pleased we could obtain this result for our client,” said Max Tribble, who served as lead counsel for HouseCanary. “Our firm’s experience in high-tech trade secret cases enabled us to secure this substantial win in a hard-fought trial.”

In 2015, HouseCanary was contracted by Title Source to develop software to provide appraisal and real estate valuations. At the conclusion of 18 months of work, Title Source refused to pay HouseCanary and instead sued them in Bexar County, Texas, as a declaratory judgment to get out of paying contract fees for using HouseCanary’s real estate data, analytics, and valuation technology.

HouseCanary countersued and, in doing so, discovered that Title Source misappropriated HouseCanary’s trade secrets, breaking multiple previously signed agreements governing non-disclosure and limiting Title Source’s use of HouseCanary’s information. The trade secrets relate to HouseCanary’s technology to provide highly accurate automated property valuations and related information. Title Source and its family of companies (including Quicken Loans) wanted access to HouseCanary’s technology and data to develop its own competing analytics and software.

View the original article at Business Wire