Amerikal Products Corporation v. Cave

CourtDistrict Court, N.D. Illinois
DecidedJuly 8, 2025
Docket1:24-cv-11292
StatusUnknown

This text of Amerikal Products Corporation v. Cave (Amerikal Products Corporation v. Cave) is published on Counsel Stack Legal Research, covering District Court, N.D. Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Amerikal Products Corporation v. Cave, (N.D. Ill. 2025).

Opinion

UNITED STATES DISTRICT COURT NORTHERN DISTRICT OF ILLINOIS EASTERN DIVISION

AMERIKAL PRODUCTS ) CORPORATION, ) ) Plaintiff, ) ) v. ) 24 C 11292 ) SIMON CAVE, JAMES MCMANUS, ) DARYL BURBY, SOLUTIONC LLC, ) TIMSONS, INC., STEPHEN ) RIPORTELLA, and IAN SHARP, ) ) Defendants. )

MEMORANDUM OPINION

CHARLES P. KOCORAS, District Judge:

Before the Court is Defendants Timsons, Inc., Stephen Riportella, and Ian Sharp’s motion to dismiss Plaintiff Amerikal Products Corporation’s complaint under Federal Rule of Civil Procedure 12(b)(6). For the reasons explained below, Defendants’ motion is granted in part and denied in part. BACKGROUND At a high level, Plaintiff Amerikal Products Corporation’s (“Amerikal”) complaint alleges that Defendants, including former Amerikal employees Simon Cave, James McManus, and Daryl Burby (together, the “Cave Defendants”), conspired with Defendant Timsons, Inc. (“Timsons-US”), its President, Defendant Riportella, and Director, Defendant Sharp (together, the “Timsons Defendants”), to misappropriate Amerikal’s trade secrets and confidential information, interfere with its customer agreements, and divert its business to competing entities. The following facts are taken

from the complaint and are presumed true for the purposes of this motion. All reasonable inferences are drawn in Amerikal’s favor. Amerikal is an Illinois-based company that manufactures pressroom products aimed at reducing environmental harm and improving employee safety. Prior to 2014,

Timsons-US’s parent company, through one of its UK subsidiaries, Timsons, Ltd., manufactured certain unique offset book presses used throughout the world, including in the United States. In September 2014, Timsons-US’s parent company stopped manufacturing the offset book presses and formed a new company, Timsons

Engineering, Ltd. (UK), which continued to manufacture parts for the offset book presses still in service. Timsons-US provided service and field support for the offset book presses manufactured by Timsons, Ltd. (UK). The Cave Defendants were employees of Timsons-US and provided services to Timsons-US’s offset book press customers on an

as needed and when needed basis. In March 2016, Timsons-US stopped providing service and field support to its offset book press customers but continued to provide parts as produced by Timsons Engineering, Ltd. (UK). In May 2016, Amerikal agreed to take on the business of

providing the service and field support for the Timsons Engineering, Ltd. (UK)’s manufactured offset book presses that Timsons-US previously provided. As part of this process and new business, Amerikal agreed to employ the Cave Defendants, along with other former Timsons-US employees, to provide customers with uninterrupted service

and field support. Cave ultimately became the Vice President of Engineering and McManus became the Vice President of Electrical Engineering. In October 2023, Cave traveled to England and India to explore business opportunities with a potential machine builder in India who could build new book

presses for TimsonsCPI, a joint venture between Timsons Engineering, Ltd. (UK) and another UK company that was formed in September 2021. Cave met with Sharp during this trip to discuss taking Amerikal’s business. Cave returned from his trip with plans to leave Amerikal and take the customer base and business opportunities with him,

moving them to Timsons-US. After Cave’s return, Timsons-US continued to communicate with customers and potential customers of Amerikal in an effort to have those customers execute purchase orders for service contracts with Amerikal. In January 2024, however, Cave informed Amerikal that the Cave Defendants would be resigning their positions and rejoining

Timsons-US. This was a blow to Amerikal as it would leave the company unable to support ongoing contracts, including service contracts Cave entered into after October 2023 in his capacity as Amerikal’s VP of Engineering. In early February 2024, Cave, using his Amerikal email account, began

communicating directly with Amerikal’s customers and informing them of “an upcoming change to the service support currently provided by” Amerikal. Dkt. # 1, ¶ 56. Specifically, Cave informed the Amerikal customers that as of April 1, 2024, “the current Amerikal service personnel including [Cave], will be transferring back to the

Timsons organization.” Id. ¶ 58. The emails were electronically signed by Cave in his capacity of “VP Engineering.” Essentially, Cave was attempting to convince customers to abandon their contracts with Amerikal and sign new ones with Timsons-US, effectively ending Amerikal’s ability to continue in that line of business. Cave was

coordinating all efforts to interfere with the Amerikal customers and contracts with Sharp and Riportella. Because the departure of the Cave Defendants left Amerikal without the personnel necessary to continue to service the contracts it had with its offset book press

customers, Amerikal attempted to mitigate its losses and coordinate with the Cave Defendants and Timsons-US to transition the contracts from Amerikal to Timsons-US. On February 21, 2024, Riportella emailed Amerikal customers and informed them that the “Amerikal Service Team [would be] rejoining Timsons Inc.” Id. ¶ 64. Riportella stated that “Simon Cave is authorized on behalf of Timsons to help facilitate

changing the past service agreements and the previously quoted projects from the Amerikal name to Timsons Inc dependent upon customer approval.” Id. ¶ 66. To further minimize Amerikal’s potential losses and liability exposure to the current and departing offset book press customers, Amerikal attempted to negotiate an

agreement with Timsons-US to indemnify Amerikal for any losses or liability related to the service contracts for which Timsons-US would be taking over from Amerikal. On March 18, 2024, however, Sharp emailed Amerikal and informed it that Timsons- US would not be providing Amerikal with an indemnity agreement and Timsons-US

had “no intention to take any of the ongoing or future press related contracts.” Id. ¶ 69. On March 24, 2024, Cave informed Amerikal that he would be moving forward with the same plans with a company owned exclusively by Cave, SolutionC. On that same date, Cave, using his Amerikal email account, began communicating with

Amerikal’s Timsons-US offset book press customers, informing them that Timsons-US would no longer be involved in taking over the Amerikal business but that the Cave Defendants were still resigning their employment with Amerikal as of March 31, 2024. Cave informed the customers that the Cave Defendants still intended to “re-unify with

Timsons” but in the interim, the Cave Defendants “in an effort to avoid disruption and continue providing support to the Timson client base from April 1st, we formed a new company: SolutionC LLC.” Id. ¶ 72. Cave signed his email as “Ex-service manager of Timsons Inc and Amerikal Products Corp Owner of SolutionC LLC.” Id. ¶ 74. Although the email stated that SolutionC was a new company, it had actually been

formed by Cave in April 2020. Amerikal alleges Defendants conspired with each other to steal Amerikal’s trade secrets and knowingly stole and converted Amerikal’s trade secrets in an effort to obtain the business opportunities for themselves and deprive Amerikal of such business

opportunities throughout the United States and abroad. As a result of Defendants’ improper and illegal actions, Amerikal is no longer able to provide any installation, warranty, maintenance, or service to its customers owning Timsons Engineering, Ltd. (UK) offset book presses and has had, or will have, all of its services contracts related

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