BioMarin accuses engineer of stealing 1,800 files
BioMarin Pharmaceuticals has accused a former engineer who went to work for competitor Sangamo Therapeutics of stealing more than 1,800 files containing confidential information and trade secrets.
The US biotechnology company filed its complaint at the US District Court for the Northern District of California on Wednesday, November 17, as shared by Reuters.
The employee, who joined BioMarin in 2017, gave BioMarin notice of his resignation in October 2021 and this became effective on November 5.
The engineer signed BioMarin’s Cessation of Employment Certificate on October 26, confirming that he would continue to comply with the existing confidentiality agreement that he had been bound to as an employee and that he would not retain any of BioMarin’s confidential information.
On November 1, BioMarin’s IT department was alerted to the employee making a large download from BioMarin’s database, and an investigation commenced. The biotechnology company claims to have discovered that he had downloaded and transferred more than 1,800 files to an external USB device—some, in the fortnight before he handed in his notice.
“[The employee] improperly took over 1,800 company files without any business justification,” the complaint said. “Subsequent forensic analysis revealed that those files included BioMarin’s confidential and trade secret information, functional requirement specifications, operating procedures, automation validation test scripts, equipment listings, and configuration specifications.”
The files contain trade secrets relating to BioMarin’s automation validation processes of its manufacturing and processing equipment. The employee had been responsible for developing, reviewing, and approving these processes.
On confronting the employee, the lawsuit states that he claimed he had only downloaded his personal tax returns. He then disclosed that his new position was based at Sangamo, one of BioMarin’s primary gene therapy competitors.
“[The employee] had planned to abscond with BioMarin’s trade secret and confidential information to aid his efforts to unfairly compete with BioMarin at Sangamo, where he would assume a Senior Manager QA Validation position—a role that appears nearly identical to his role at BioMarin,” according to the complaint.
BioMarin said that the employee reluctantly complied with its demand that he returns his BioMarin laptop and the external USB device onto which he had allegedly downloaded the information.
Regardless, the biotechnology company believed that its trade secrets remain “at grave risk” and the employee has shown himself to have the intent, motivation, and means to “inflict devastating competitive harm upon BioMarin”.
BioMarin said it was concerned that the employee may have copied the information and might wrongfully use it to enable Sangamo to unfairly compete with BioMarin.
The biotech company is seeking injunctive relief and monetary damages for the employee's misappropriation of its trade secrets. BioMarin is also accusing its former employee of breach of contract and engaging in unlawful, unfair, and fraudulent business acts.
“His surreptitious illegal downloading activity, which he knew ran afoul of his obligations to BioMarin, and his subsequent deceitful pattern of behaviour in which he lied to BioMarin and refused to be transparent with BioMarin on his plans to unfairly compete, underscores the severity of the risk,” the lawsuit stated.
BioMarin has asked that the employee and all persons acting in concert with him be prohibited from using, disclosing, or possessing any of the biotechnology company’s trade secrets or confidential information, and that the same be returned to BioMarin.
BioMarin has also requested that the employee disgorge all profits and advantages derived from his misappropriation of trade secrets and unlawful conduct, compensatory damages, and exemplary and punitive damages.
Meanwhile and on November 19, BioMarin announced that the US Food and Drug Administration (FDA) had granted accelerated approval of Voxzogo (vosoritide) for paediatric patients with achondroplasia. This is the first FDA approved treatment for children with achondroplasia, also known as dwarfism, and it is indicated to promote endochondral bone growth.
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