In a major turn of events, an employee from the biomedical company, Skye Orthobiologics, has been ordered by a California federal judge to pay upwards of $62 million to both Skye and Human Regenerative Technologies. The jury found that the defendant had breached his fiduciary duties and his loyalty to the companies by starting a new, competing business using proprietary information he had obtained from the plaintiffs.
The details of the case are complex, and the judgement is likely to have significant implications on the way companies safeguard their proprietary information. It’s a salutary reminder for those in the biomedical sector, and corporations more generally, about the potential costliness of a breach of trust.
The defendant’s actions not only cost him monetary damage but could also result in significant reputation costs. In the competitive world of biomedical technologies, trust and confidentiality are paramount. Breaking that trust could sideline a business or individual from future opportunities.
For legal professionals looking to understand more about the details of this case, and its implications, it can be accessed here.