Appian awarded over $2billion in damages from Pegasystems for “trade secret misappropriation”

Appian announced today that a jury in Circuit Court in Fairfax County, Virginia, has ruled against Pegasystems Inc. requiring it to award $2.036 million to Appian for damages for misappropriation of trade secrets. The jury also found that Pegasystems violated the Virginia Computer Crimes Act and that Pegasystems’ misappropriation of Appian trade secrets was intentional and malicious. Appian brought the case to trial to ensure the protection of its intellectual property, including its trade secrets.

Matthew Calkins, CEO of Appian, stated, “Appian will never hesitate to defend itself and its intellectual property against competitors when it believes someone has acted illegally. I am proud of our legal team for their extraordinary work on this case. We have obtained a magnificent result and the verdict of the jury reflects the fruit of the efforts of our legal team”.

Appian was represented in the case by Patterson Belknap Webb & Tyler, led by Adeel Mangi (partner), Muhammad Faridi (partner), and Jeff Ginsberg (partner), and by Holmes Costin & Marcus, led by Ellen Marcus (partner) and Sheila Costin (partner). John McNichols, partner of Williams and Connolly, also appeared in the case on Appian’s behalf. Christopher Geyer, Associate General Counsel for Intellectual Property and Litigation at Appian, played a leading role in building the case and managed the litigation from an internal perspective.

The jury’s finding that Pegasystems’ conduct was willful and malicious may entitle Appian to a refund of attorneys’ fees under Virginia law.

The judgment of the jury and the verdict rendered by the court are subject to the right of appeal by Pegasystems. Pegasystems is not obligated to pay Appian the amount established by the jury until all remedies are exhausted and judgment is final.