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Published On: August 27, 2013Categories: Antitrust, Fraud

Defendants in Multimillion Conspiracy with Former Employee to Steal Clients Agree to Pay Up

The parties in Pipeline Services LP v. Crosstex Energy Services LP et al., case number DC-11-00528, in the 116th Judicial District Court of Dallas County, Texas, settled their case on the courthouse steps. The amount is confidential.

Crowley had worked for Pipeline Services for years, working as a survey manager when he opened his own firm, thanks in part, allegedly, to backing from Crosstex, a former Pipeline Services client that Crowley took along with him, including Atmos Energy, among others. 

Pipeline Services lost its trade secret, and breach of contract claims, but was heading towards trial on its breach of fiduciary duty and tortious interference claims. In Texas, an employee has a fiduciary duty to one’s employer not to divert or steal business–and one who aids another in breaching a fudicary duty is also liable for the breach.