Universal Alloy wins Alcoa trade-secret trial over airplane wing parts

Montana Aerospace AG

26/07/2023 23:43

* 
      Alcoa spinoffs accused Universal Alloy of using secrets to
steal
Boeing business
    

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      Jury finds Alcoa did not own trade secrets
    

  
    By Blake Brittain
       (Reuters) - Aerospace supplier Universal Alloy on
Wednesday persuaded a federal jury in Atlanta to reject
accusations from Alcoa spinoffs Arconic Corp  ARNC.N  and Howmet
Aerospace  HWM.N  that it stole trade secrets related to
aluminum parts used in aircraft wings.
    Pittsburgh-based Alcoa sued Universal Alloy in 2015 for
allegedly stealing trade secrets related to making the
components in order to "siphon away" around $200 million of
Alcoa sales to Boeing.
    Arconic and Howmet requested more than $264 million in
damages, according to a court filing. After a three-week trial,
the jury said in its verdict on Wednesday that the companies did
not own trade secrets in the technology.
    Canton, Georgia-based Universal Alloy's attorney Tony Sammi
said in a statement that the jury "reached the right verdict" in
deciding that the company did not steal trade secrets and
developed its own process for producing the parts.
    Representatives for Howmet and Arconic did not immediately
respond to requests for comment on the verdict.
    The Alcoa spinoffs told the court that Universal Alloy hired
away employees with trade secrets related to a process for
making "spar chords" used in airplane wings. They said Universal
Alloy used the secrets to steal Alcoa's business from Boeing,
which had been Alcoa's sole North American customer for the
parts for years.
    Universal Alloy denied the allegations, arguing the alleged
trade secrets were "generally known and readily ascertainable"
and that it created its methods for making the spar chords
independently.
    Universal Alloy is owned by Switzerland-based Montana
Aerospace. Alcoa spinoff Arconic Inc split into Arconic Corp and
Howmet in 2020.
    The case is Arconic Corp v. Universal Alloy Corp, U.S.
District Court for the Northern District of Georgia, No.
1:15-cv-01466.
    For Arconic and Howmet: Courtland Reichman of Reichman
Jorgensen Lehman & Feldberg
    For Universal Alloy: Tony Sammi of Latham & Watkins

 (Reporting by Blake Brittain in Washington)