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Texas appellate court reverses botched business disputes ruling

| Nov 2, 2020 | Business Law And Litigation |

Intellectual property can be a tricky thing to argue in courts, which is why so many cases wind up in appellate courts. In March 2018, a jury trial in San Antonio ended with a $740 million judgment against a title insurer accused of stealing a tech firm’s proprietary property valuation computer program. The massive jury verdict came in a case in which the contracted service was valued at $5 million. The penalty was nearly 150 times the entire value of the contract and shows the difficulties of arguing business disputes.

False claims backed by lies

The case is HouseCanary v. Amrock, formerly known as Title Source. Amrock agreed to pay $5 million to use computer technology owned and leased by HouseCanary to provide online property valuations. Problem is HouseCanary never actually developed the technology and never delivered it.

Amrock says HouseCanary simply lied about its technology and bribed highly placed officials within Amrock to sign off on business agreements and lie about products delivered per the contract. The appellate court said the jury trial became corrupted by repeated falsehoods made on HouseCanary’s behalf and resulted in a massively flawed legal ruling. The Texas Fourth Court of Appeals reversed the jury decision and sent the trial back to the lower court for further consideration.

Intellectual property cases are very complicated

Intellectual property is an important part of many businesses and often sets them apart from their competitors. When false claims of intellectual property theft arise, they often permanently damage the business and cause it to close. An experienced Texas business disputes attorney and law firm are essential tools to make the best case and provide a greater chance of success against unscrupulous business practices, like false claims of intellectual property theft.

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