Tech Pharmacy gets $24 million judgment after trial in Eastern District of Texas

On March 8, 2018, the Honorable Judge Amos L. Mazzant entered a Final Judgment awarding damages and attorneys’ fees of more than $24,000,000.00 to Plaintiff Tech Pharmacy Services, LLC and against Defendants Alixa Rx LLC, Golden Gate National Senior Care, LLC d/b/a Golden LivingCenters, and Fillmore Capital Partners LLC. This Final Judgment comes after a three-week jury trial in August and September 2017 in Sherman, Texas.

Tech Pharmacy provides remote packaging and dispensing technology for long term care facilities. The case arose out of Tech Pharmacy’s multi-year business arrangement with the Defendants, who are involved in the nursing home industry.

Tech Pharmacy accused the Defendants of breaching one of the confidentiality agreements between the parties and using confidential information of Tech Pharmacy to set up competitor Defendant Alixa Rx LLC.

Following the three-week trial, the eight-person jury unanimously returned a verdict in favor of Tech Pharmacy and found that Defendants breached their confidentiality agreement with Tech Pharmacy. The jury awarded $15 million to Tech Pharmacy for damages from the Defendants’ breach of contract and an additional $2 million to Tech Pharmacy for its attorneys’ fees.  In addition, the jury rejected the Defendants’ claims that Tech Pharmacy’s four patents-in-suit were invalid and that Tech Pharmacy’s claims were barred by limitations.  On December 22, 2017, Judge Mazzant awarded additional attorneys’ fees of $5,304,454.15 to Tech Pharmacy.

Tech Pharmacy was represented at trial by Maria Wyckoff Boyce (as lead counsel), Cristina Espinosa Rodriguez, Jeff Whittle, Jay Yates, and Jennifer Fleury of Hogan Lovells in Houston and Mike Jones of Potter Minton in Tyler, Texas. Defendants were represented at trial by Tom Melsheimer (as lead counsel), Brett Johnson, Michael Bittner, and Danielle Williams of Winston Strawn in Dallas and Charlotte, N.C., and Wesley Hill of Ward, Smith & Hill in Tyler, Texas.

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