SAN JOSE, Calif., April 6 /PRNewswire/ -- Nagarro, Inc., a Silicon Valley outsourced software developer whose back office in Gurgaon, India employs over 400 employees, has been sued in federal court by two U.S.-based companies for theft of trade secrets, breach of confidentiality, unfair business practices and unlawful interference with another company's contract. The suit, filed in the United States District Court for the Northern District of California, alleges that Nagarro contracted with Sigma Six Technologies to provide software development services. Nagarro allegedly began performing the work in India but soon circumvented Sigma Six Technologies to deal directly with T-Systems Enterprise Services GmbH, the German subsidiary of Deutsche Telekom , which had ordered the software, popularly known as ServiceNet, from another U.S. company, Sigma Six Technologies' exclusive licensee.
Both T-Systems and Nagarro are named as defendants in the 19-page complaint, which alleges breach of contract (against Nagarro); theft of trade secrets (against Nagarro and accomplices); tortious interference with contract (against both defendants); and unfair competition under California law against both defendants. The complaint also alleges that numerous major U.S. corporations currently use the ServiceNet software. The suit seeks damages against defendants that are expected to reach into tens of millions of dollars.
On March 26, 2009, U.S. District Court Judge James Ware denied Nagarro's motion to compel arbitration, ordering that the case proceed in federal court. Later this month the court is expected to hear T-Systems' arguments that all claims against it should be heard in Germany. Plaintiffs have alleged and expect to establish that T-Systems' acts within the U.S. and/or causing substantial harm in the U.S. are sufficient grounds to justify suit being maintained in U.S. federal court in California, where Nagarro is headquartered. In addition, Plaintiffs have requested the court to issue a permanent injunction barring both defendants and all other persons working in concert with them, including all of T-Systems' customers around the world, from in any way using any version of ServiceNet.
Sigma Six Technologies, Inc.
CONTACT: Sigma Six Technologies, Inc., +1-212-532-8008
