ChargePoint, Inc. v. Claborne

CourtDistrict Court, N.D. California
DecidedOctober 25, 2022
Docket5:21-cv-08050
StatusUnknown

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

Bluebook
ChargePoint, Inc. v. Claborne, (N.D. Cal. 2022).

Opinion

1 2 3 4 UNITED STATES DISTRICT COURT 5 NORTHERN DISTRICT OF CALIFORNIA 6 SAN JOSE DIVISION 7 8 CHARGEPOINT, INC., Case No. 5:21-cv-08050-EJD

9 Plaintiff, ORDER GRANTING MOTION FOR DEFAULT JUDGMENT 10 v.

11 OVERTON CLABORNE, et al., Re: Dkt. No. 13 Defendants. 12

13 Plaintiff ChargePoint, Inc. (“ChargePoint”) initiated this suit against Overton Claborne, an 14 individual, and Overton Instruments, a business organization, asserting claims for breach of 15 contract, misappropriation of trade secrets under California Civil Code section 3426.1, and 16 misappropriation of trade secrets under 18 U.S.C. section 1836. Dkt. No. 1. On January 19, 2022, 17 the Clerk of Court entered default against both Defendants. Dkt. Nos. 10-11. 18 Before the Court is ChargePoint’s motion for default judgment. Dkt. No. 13. This motion 19 is suitable for disposition without oral argument pursuant to Civil Local Rule 7-1(b). For the 20 reasons stated below, ChargePoint’s motion for default judgment is granted. 21 I. BACKGROUND1 22 ChargePoint was and is a Delaware corporation and is authorized to conduct business in 23 California. Complaint (“Compl.”), Dkt. No. 1, ¶1. It is one of world’s largest operators of electric 24 vehicle (EV) charging station networks in North America and Europe. Id. ChargePoint designs, 25 builds, and supports all the technology powering its network. Id. ¶ 10. 26

27 1 The Background is a summary of the allegations in the Complaint. 1 ChargePoint alleges on information and belief that Defendant Overton Claborne 2 (“Claborne”) is an individual residing in Martinez, California. Id. ¶ 2. He is sued in his capacity 3 as an individual and as an agent of Defendant Overton Instruments, which is a business 4 organization, form unknown, with a principal place of business in Milpitas, California. Id. ¶¶ 2-3. 5 Claborne is the “owner/manager” of Overton Instruments. Id. ¶ 21. 6 Claborne worked for ChargePoint as a consultant from about June 16, 2020, to about July 7 16, 2021. Id. ¶ 18. As a condition of his performing consulting work for ChargePoint, Claborne 8 signed and agreed to be bound by ChargePoint’s Employee Proprietary Information and 9 Inventions Agreement (“Confidentiality Agreement”), a copy of which is attached to the 10 Complaint. Id. ¶ 18. 11 Overton Instruments was one of ChargePoint’s authorized vendors. In connection with 12 becoming an authorized ChargePoint vendor, Overton Instruments, by its owner/manager 13 Claborne, signed and agreed to be bound by ChargePoint’s Mutual Nondisclosure Agreement 14 (“NDA”), a copy of which is attached to the Complaint. 15 On July 16, 2021, ChargePoint terminated Claborne’s consulting agreement. Id. ¶ 23. 16 On or about July 16, 2021, ChargePoint sent Claborne a confirmation notification that his 17 consulting services had been terminated. Id. ¶ 24. This notification included a Termination 18 Certification through which ChargePoint reminded Claborne of his obligations under the 19 Confidentiality Agreement. Id. The Termination Certification also required Claborne to certify 20 that he returned and does not have any of ChargePoint’s property in his possession. Id. On 21 August 12, 2021, ChargePoint sent Claborne a confidentiality obligation reminder letter. Id. ¶ 25. 22 The next day, Claborne signed and returned ChargePoint’s Termination Certification. Id. ¶ 26. 23 On about October 4, 2021, one of ChargePoint’s vendors, C.C.P. Contact Probes 24 (“C.C.P.”), informed ChargePoint that Claborne and/or Defendant Overton Instruments sent an 25 email that included a portion of one of ChargePoint’s technical drawings of its Blind Mate 26 Connector. Id. ¶ 27. Claborne and Overton Instruments (collectively “Defendants”) requested 27 C.C.P. send them certain technical information on the connector. Id. C.C.P. sent ChargePoint a 1 copy of the email. Id. ¶ 28. Upon receipt, ChargePoint confirmed that Defendants had sent C.C.P. 2 a portion of one of ChargePoint’s technical drawings of its Blind Mate Connector. Id. ¶ 29. The 3 information in the technical drawings is highly confidential and ChargePoint considers it a trade 4 secret. Id. 5 ChargePoint alleges that Defendants’ possession of the technical drawings violated the 6 Confidentiality Agreement, the NDA, and Claborne’s representations in his Termination 7 Certification. Id. ¶ 31. Further, ChargePoint alleges that Defendants’ use of ChargePoint’s 8 information regarding the Blind Mate Connector violated the Confidentiality Agreement and the 9 NDA. Id. ¶ 32. 10 Defendants allegedly conspired and aided and abetted each other to commit the alleged 11 unlawful acts. Id. ¶¶ 4, 5. Defendants also “were the partners, engaging in a joint venture, agents, 12 employees, alter egos, and representatives of each other,” when committing the alleged unlawful 13 acts, acting within the scope of their respective authorities as agents, employees and 14 representatives. Id. ¶ 5. Therefore, Defendants are jointly and severally liable to ChargePoint. Id. 15 Based on the foregoing, ChargePoint asserts breach of the Confidentiality Agreement 16 against Claborne; breach of the NDA against Overton Instruments; misappropriation of trade 17 secrets in violation of the California Uniform Trade Secrets Act (“UTSA”), California Civil Code 18 § 3426.1, against Defendants; and violation of the Defend Trade Secrets Act (“DTSA”), 18 U.S.C. 19 § 1836, against Defendants. ChargePoint seeks an order enjoining Defendants from utilizing 20 ChargePoint’s confidential, proprietary and/or trade secret information, and “requiring Defendants 21 to return to ChargePoint all of its confidential, proprietary, and trade secret information, and any 22 other property they have converted or misappropriated or otherwise have in their possession, 23 custody, or control that ChargePoint has not authorized them to possess.” Id. at 16. ChargePoint 24 also seeks an award of reasonable attorneys’ fees and costs. Id. 25 ChargePoint served Defendants on October 19, 2021. Dkt. Nos. 8-1, 9-1, 13-1. 26 ChargePoint requested the Court enter their defaults on January 19, 2021. Dkt. Nos. 8 and 9. The 27 Clerk of Court entered defaults against Defendants on January 24, 2022. Dkt. Nos. 10 and 11. 1 ChargePoint filed and served the instant motion for default judgment on March 24, 2022. Dkt. 2 Nos. 13, 14. 3 II. STANDARDS 4 Default judgment may be granted when a party fails to plead or otherwise defend against 5 an action for affirmative relief. Fed. R. Civ. P. 55(a). Discretion to enter default judgment rests 6 with the district court. Aldabe v. Aldabe, 616 F.2d 1089, 1092 (9th Cir. 1980). When deciding 7 whether to enter default judgment, the court considers:

8 (1) the possibility of prejudice to the plaintiff, (2) the merits of plaintiff's substantive claim, (3) the sufficiency of the complaint, (4) 9 the sum of money at stake in the action, (5) the possibility of a dispute concerning material facts, (6) whether the underlying default was due 10 to excusable neglect, and (7) the strong policy underlying the Federal Rules of Civil Procedure favoring decisions on the merits. 11 12 Eitel v. McCool, 782 F.2d 1470, 1471-72 (9th Cir. 1986) (citing 10 Moore’s Federal Practice § 13 55). In evaluating these factors, all factual allegations in the complaint are taken as true, except 14 those relating to damages. TeleVideo Sys., Inc. v.

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ChargePoint, Inc. v. Claborne, Counsel Stack Legal Research, https://law.counselstack.com/opinion/chargepoint-inc-v-claborne-cand-2022.