The trial that pits Mike Harris, the former CEO of Malvern’s Zonoff, and home-automation platform development company Ring against home and business electronic security giant ADT has had its first day in court, writes Julie Jacobson for Security Sales & Integration magazine.
ADT had invested more than $36 Million in Zonoff before it was acquired by Ring in March. Now ADT claims that Ring acquired Zonoff’s intellectual property unlawfully during a “clandestine” meeting.
Jamie Siminoff, CEO of Ring, said earlier in the year that “there was nothing illegitimate about what we did.”
In court, Siminoff said that his company paid Zonoff $1.2 million to develop Internet of Things (IoT) technology, making it the property of Ring.
“We spent a significant amount of money,” he said. “It was the collapse of Zonoff that led us to do this.”
However, the affected parties still question why ADT wants to hinder Ring’s acquisition of Zonoff as it is no longer interested in the platform. Additionally, Ring had offered to settle with ADT for $12.5 million, but the offer was rejected.
A decision is expected in a few weeks.