Following the jury verdict, U.S. District Judge Sidney H. Stein announced his intention to enter a permanent injunction against defendants, and ordered the parties to come up with the precise terms for an injunction in the next few days. A preliminary injunction entered in May 2018 is on appeal to the U.S. Court of Appeals for the Second Circuit.
Broker Genius charges ticket brokers to use its autopricing software, promising it will boost sales by keeping them competitive as prices change. Its website says it has assisted in pricing some $2 billion of ticket inventory since its 2013 launch. It has now prevailed in three lawsuits, all before Judge Stern, targeting competitors that have introduced similar autopricing applications.
The suit targeting Seat Scouts is the only one to have gone to trial. Sherman told the jury of five men and three woman that the poaching began in May 2016 when Gainor signed up at Broker Genius, stole information and launched a competitor on the cheap in late 2017 to undersell him.
Seat Scouts denied the allegations but the jury accepted them, seemingly in their entirety: The $4.5 million verdict matched the amount of money Sherman’s team told the jury that it had cost Broker Genius to launch and improve its “AutoPricer” product over roughly three years.
Defendants are expected to appeal.