Joby Aviation Faces $116.9M Verdict in Trade-Secret Case
A federal jury in Tampa, Florida has dealt a significant setback to eVTOL pioneer Joby Aviation. The jury awarded aircraft component manufacturer Aerosonic approximately $116.9 million in damages. The verdict came after the jury found Joby guilty of breaching a nondisclosure agreement and willfully misappropriating trade secrets related to aircraft air data probes.
The conflict dates back to 2021, when both companies entered into an NDA. This agreement was signed before Aerosonic began supplying its proprietary SLZ8400 air-data probes for Joby’s flight-test eVTOL aircraft. Aerosonic claimed that Joby used its confidential engineering designs and test data to create its own competing probes. This was despite Joby having no prior experience in this area, and occurred after Aerosonic declined to sell its intellectual property rights.
The jury awarded $68.6 million for the breach of the NDA, $29.9 million to cover Aerosonic’s losses and Joby’s unjust gains from the misappropriation, and an additional $18.3 million in exemplary damages. The latter was triggered by the jury’s finding that the misappropriation was “willful and malicious.” All eight of Joby’s affirmative defenses and counterclaims were dismissed.
Following the verdict, Joby’s shares dropped by more than 2%, adding to a year-to-date decline of over 55%. The Santa Cruz-based company has strongly denied the allegations. They maintain that their air data system was developed independently and have stated they will “vigorously pursue all available post-trial and appellate remedies.” The verdict is still subject to post-trial motions and appeals.
Source: AVweb – Joby Hit With $116.9 Million Trade-Secret Verdict