A former employee of a major pharmaceutical company is accused of misappropriating trade secrets and breaching contractual obligations to unfairly compete against his previous employer.
Hercules Pharmaceuticals, Inc. filed a complaint in the United States District Court for the Eastern District of New York on August 14, 2024, against Brant Cherne, alleging multiple violations including breaches of confidentiality and non-compete agreements.
According to the complaint, Brant Cherne resigned from Hercules Pharmaceuticals on August 1, 2024, and subsequently joined NDC Distributors LLC, a direct competitor. The plaintiff claims that Cherne violated his contractual obligations by taking confidential business information and trade secrets to his new employer. Specifically, it is alleged that shortly before his resignation, Cherne emailed sensitive business data from his work email to a private account with the intent to use this information at NDC Distributors.
Hercules Pharmaceuticals asserts that Cherne's actions constitute violations under the Defend Trade Secrets Act (DTSA) and New York common law. The complaint details how Cherne was exposed to critical aspects of Hercules' operations during his tenure as Director of Business Development. This included sales policies, marketing strategies, supplier pipelines, and proprietary methods for maximizing profit margins in a highly competitive market dominated by three major players: AmerisourceBergen, Cardinal Health, and McKesson.
The plaintiff alleges that the stolen information includes detailed pricing charts and usage data for specialty drugs like lenalidomide—a drug with significant regulatory requirements due to its potential risks. Hercules contends that this data is not publicly available and holds substantial value in maintaining their competitive edge. The company fears irreparable harm if this information is used by NDC Distributors.
In addition to seeking preliminary and permanent injunctive relief to prevent Cherne from using or disclosing any confidential information or working for NDC Distributors until August 1, 2025, Hercules Pharmaceuticals also seeks compensatory damages for lost profits and punitive damages for unfair competition. The company is asking the court to enforce non-compete clauses and other contractual obligations while also requesting forensic examination of Cherne’s personal devices to ensure no further misuse of confidential information.
The case is being handled by attorneys Laurent S. Drogin, Richard C. Schoenstein, and Brittany K. Lazzaro from Tarter Krinsky & Drogin LLP. The presiding judge has yet to be named in Case ID: 24-cv-5659.