New York Times Says FBI Has Been Investigating St. Louis Cardinals for Stealing Trade Secrets of Houston Astros

By June 16, 2015Trade Secrets

Cardinals Rule . . . The New York Times is now reporting that FBI investigators “have uncovered evidence that St. Louis Cardinals officials broke into a network of the Houston Astros that housed special databases the team had built . . . .”  According to the report,  “[i]nternal discussions about trades, proprietary statistics and scouting reports were compromised.”  Also according to the report, the FBI believes that Cardinals officials gained access to the Astros’ database by using a list of passwords associated with Astros general manager Jeff Luhnow dating to his tenure with the Cardinals from 2003 until he left for Houston after the 2011 season.

The author of this blog has worked with FBI investigators in investigating corporate espionage matters.  Suffice it to say that the federal government has assembled a team of forensic sleuth types who are truly skilled and thorough.  These types of reports are not usually released before the FBI is about to conclude their work.  I would predict we’ll hear more about this in the next few weeks.  We’ll report back while keeping an eye on this one.

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Author Todd Sullivan

Todd has a niche practice focusing on employee departures and defections, including the litigation of injunctions and trials in cases involving noncompete and nonsolicitation covenants, trade secret misappropriation, allegations of unfair competition, duty of loyalty breaches, inevitable disclosure, and employee raiding. His clients are companies and key employees who seek his advice regarding the retention and separation process; he routinely drafts, reviews, and negotiates employment retention and separation agreements. As lead counsel, Todd has litigated more than 100 employee defection matters in federal and state trial and appellate courts and has arbitrated others throughout the United States. His clients span every industry sector — banking, insurance, biotechnology, manufacturing, life sciences, computer services, computer software, personnel placement, securities brokerage, advertising, radio and television broadcasting, legal medical and architectural professional services, government contracting, and even NASCAR. Todd recently served as lead defense counsel in one of the most significant broker defection cases ever tried before FINRA and also as lead plaintiff’s counsel in the largest-ever case of trade secrets theft in North Carolina.

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