Austen Consultants, LLC v. Spark I/T Services, LLC; Spark Services, LLC; And Gregory D. Steinig

CourtTexas Court of Appeals, 2nd District (Fort Worth)
DecidedJune 4, 2026
Docket02-25-00321-CV
StatusPublished

This text of Austen Consultants, LLC v. Spark I/T Services, LLC; Spark Services, LLC; And Gregory D. Steinig (Austen Consultants, LLC v. Spark I/T Services, LLC; Spark Services, LLC; And Gregory D. Steinig) is published on Counsel Stack Legal Research, covering Texas Court of Appeals, 2nd District (Fort Worth) primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Austen Consultants, LLC v. Spark I/T Services, LLC; Spark Services, LLC; And Gregory D. Steinig, (Tex. Ct. App. 2026).

Opinion

In the Court of Appeals Second Appellate District of Texas at Fort Worth ___________________________

No. 02-25-00321-CV ___________________________

AUSTEN CONSULTANTS, LLC, Appellant

V.

SPARK I/T SERVICES, LLC; SPARK SERVICES, LLC; AND GREGORY D. STEINIG, Appellees

On Appeal from the 96th District Court Tarrant County, Texas Trial Court No. 096-351798-24

Before Birdwell, Womack, and Wallach, JJ. Memorandum Opinion by Justice Birdwell MEMORANDUM OPINION

Appellant Austen Consultants, LLC, in two issues, appeals the trial court’s grant

of a traditional and no-evidence summary judgment as to all of its claims against

Appellees Spark I/T Services, LLC and Gregory Steinig1 and the trial court’s attorney’s

fee award to them as prevailing parties under the Texas Theft Liability Act. We will

affirm.

I. BACKGROUND This appeal arises initially from an alleged breach of a contract, titled

“Confidentiality, Non-disclosure, Non-solicitation and Non-compete Agreement,”

between Austen and Steinig (the “Steinig Agreement”). The Steinig Agreement includes

several clauses, including, relevant here, a nondisclosure clause.

A. Underlying Dispute Austen and Spark are both telecommunications and information technology

companies. Both are customers of 3CX, a company which provides software and

network services to allow organizations to operate telephone systems using Voice Over

Internet Protocol (VOIP) services. 3CX sells licenses to resellers like Austen and Spark,

1 Although Austen’s petition listed both Spark I/T Services, LLC and Spark Services, LLC, Austen served only the former and Steinig. Spark I/T Services, LLC and Steinig (hereinafter collectively referred to as Appellees) answered only on behalf of the two served parties. The parties do not challenge the finality of the judgment and Austen did not indicate an intent to serve additional parties. Based upon this record, the judgment is regarded as final for purposes of appeal. See M.O. Dental Lab v. Rape, 139 S.W.3d 671, 674–75 (Tex. 2004); Youngstown Sheet & Tube Co. v. Penn, 363 S.W.2d 230, 232 (Tex. 1962).

2 and it maintains a public-facing website that lists 3CX pricing data and links to the

resellers’ web pages arranged in tiers based on sales volume and geographic location.

Both Austen and Spark are listed on the public website as resellers of 3CX’s service.

Austen’s customer base generally includes schools and governmental entities.

Steinig was a vice-president of sales for 3CX for five years. As a 3CX employee,

he had information about resellers and their customers, including about Austen and its

customers. Steinig ended his employment with 3CX in November 2022. Austen then

hired him in a sales capacity.

Austen’s Chief Intelligence Officer, Matt Ussery, specifically recruited and hired

Steinig because of the professional contacts and experience he had gained through

working for 3CX, including information about Austen’s 3CX customers. In February

2023, Steinig executed new-employee documentation, including the Steinig

Agreement.2

During Steinig’s tenure at Austen, Austen entered into a referral agreement with

AMCOM, a provider of services and equipment related to AT&T VOIP telephone

service. Also in 2023, Austen began providing its own VOIP telephone service and

marketing it as Austen Consultants Switch (ACS).3 During his employment with

Steinig worked for Austen from November 2022 until February 2023 before he 2

executed his new-employee paperwork, including the Steinig Agreement. In February 2024, Austen also began branding its proprietary VOIP services as 3

AustenTel.

3 Austen, Steinig was unimpressed with ACS as a service and felt Austen was “pushing

people into a product that [didn’t] work.”

Steinig worked for Austen until September 2023. A few weeks before his

employment ended, Austen provided Steinig with a company-owned laptop to use.

Austen contends that Steinig made no sales and recruited no customers during his

tenure at Austen. After his employment with Austen ended, Steinig began working for

Spark and, shortly thereafter, formed a vendor relationship with AMCOM.

In January 2024, hackers used ransomware to lock Austen out of its computer

systems. The attack deprived Austen’s customers of telephone service for six to seven

days.

On February 1, 2024, Steinig emailed several Austen customers stating that he

had heard from others that ACS may be down and offered to assist those who intended

to find service elsewhere. With the emails, Steinig intended to solicit the customers’

business for Spark.

One Austen customer, Grapevine Faith Christian School, called Spark to request

a quote for service. After the call, Grapevine Faith terminated its service with Austen.4

B. Lawsuit On April 9, 2024, Austen sued Appellees, alleging breach of the Steinig

Agreement, common law misappropriation of trade secrets, statutory misappropriation

According to Ussery, at the time of his deposition, Grapevine Faith still owed 4

the balance of its contractual payments to Austen.

4 of trade secrets, and tortious interference with the Steinig Agreement, and sought

attorney’s fees and temporary and permanent injunctions. The trial court granted a

temporary injunction.

Around April 2024, one of Austen’s customers, Beaumont Independent School

District (BISD), solicited Spark for a quote for service. BISD had purchased and

prepaid for several years of service from Austen. A receptionist transferred the call to

Steinig. Steinig spoke to the representative, informed him that Steinig could not help

with BISD’s 3CX issues, and then sent the recording to Spark’s owner and to its

attorney. Steinig became aware later that BISD chose to purchase service from Spark,

but he did not know the details and did not otherwise participate in the sale.

It is Austen’s business practice to lease, rather than sell, 3CX licenses to clients.

BISD changed the designated partner listed with 3CX to manage the license that it had

leased from Austen so that Spark could provide the service. Spark later sold BISD a

new license. Austen claims that it was damaged by BISD’s changing the provider name

on its license, although BISD did not terminate its contract with Austen and had prepaid

the entire amount due, which, at the time of Ussery’s deposition, Austen had not

refunded or returned.

In October 2024, Austen amended its pleadings to allege causes of action for

conversion, civil conspiracy, and violation of the Texas Theft Liability Act (TTLA).5

5 See Tex. Civ. Prac. & Rem. Code § 134.001.

5 Austen alleged that Steinig had wiped the memory of and “factory reset” the laptop it

sent him in November 2023 and that he or Spark had changed the status of the BISD

3CX license.

During discovery, the parties deposed Steinig and representatives from both

Austen and BISD. Steinig testified that Austen’s sales were conducted through public

bidding processes and so the price structures were public, nonconfidential information.

Steinig stated that he knew “what [Austen] charged before [he] ever went to work for

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Austen Consultants, LLC v. Spark I/T Services, LLC; Spark Services, LLC; And Gregory D. Steinig, Counsel Stack Legal Research, https://law.counselstack.com/opinion/austen-consultants-llc-v-spark-it-services-llc-spark-services-llc-txctapp2-2026.