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Judge rules in favor of Farmobile, Farmers Edge will appeal

Judge fails to find evidence that employees misappropriated proprietary information.

May 9, 2018

3 Min Read
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The U.S. District Court for the District of Nebraska (No. 8:16CV191) has granted summary judgment for Farmobile in a lawsuit filed against it by Farmers Edge (FEI). The court dismissed all claims filed against Farmobile ranging from misappropriation of trade secrets to a request that a judgment be entered declaring FEI to be the owner of Farmobile’s Canadian patent and U.S. patent application.

The summary judgment is the result of an over two-year U.S. legal dispute about Farmobile’s development and ownership of its farm data-collection and standardization technologies.

The court found that Farmobile, an independent farm data platform, was entitled to a judgment as a matter of law as to each of FEI’s 12 claims. After extensive discovery, including the production of hundreds of thousands of documents and deposition testimony of over 40 witnesses, U.S. District Judge Joseph Batallion granted Farmobile's summary judgment motion and denied all FEI’s allegations.

“We welcome the court’s decision. Truth won out and justice was served,” said Jason Tatge, CEO of Farmobile. “Farmobile takes great pride in the development of its technology and respects the intellectual property rights of others. This judgment vindicates our strategy of innovation over litigation. The U.S. District Court of Nebraska could find no facts to back the claims made by Farmers Edge.”

Farmers Edge had alleged that Farmobile co-founders Jason Tatge, Heath Gerlock and Randy Nuss, former employees of a company acquired by FEI, had misappropriated purportedly proprietary information. The court failed to find a basis for the alleged claims.

In his May 3, 2018, ruling, Judge Batallion found that “plaintiffs have failed to identify any use or disclosure of the alleged trade secrets.” The court noted there was no proof that Farmobile co-founders were hired to “invent a specific device, system or method” which “eventually became the Farmobile ‘767 patent application.”

Dismissing FEI’s claims of ownership and patent rights, the judge said: “The court finds FEI has not sustained its burden to show that it is entitled to the requested damages or equitable relief in the form of assignment of Farmobile’s patent rights.”

Farmobile’s counterclaims remain pending for trial, which presently is set to begin on May 21.

Farmers Edge responds

Farmers Edge believes there are grounds for appeal and will proceed with further action once the counterclaims have been dispensed with. It was made clear during the proceedings that Farmobile chose to abandon their U.S. patent application due to prior art, which puts into question the validity of any Farmobile patent related to this matter.

“This is about much more than patents or money, this is about values,” said Wade Barnes, president and CEO of Farmers Edge. “My vision has always been to build an innovative company that develops tools to let growers experience the value of their farm data. We pour our hearts into every innovation we bring to market and we plan to continue to defend our rights regarding intellectual property to protect what we’ve built.” 

As the case continues, Farmers Edge will comment on facts that are a matter of public record only.

Source: Farmobile, Farmers Edge

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