$58.9 Million Verdict Against Garbage Truck Maker in Trade Secrets Dispute

Sonrai Systems LLC, a fleet management technology company, alleged in its lawsuit that garbage truck manufacturer The Heil Co. misappropriated its proprietary vehicle monitoring system after a failed acquisition attempt. Central to the case was Heil’s recruitment of Tony Romano, a former executive vice president at Sonrai, who was accused of stealing trade secrets to help Heil develop a competing system.

Sonrai’s Vector system allows real-time monitoring of truck chassis and collection bodies, aimed at optimizing fleet operations. The company claimed that Heil initially partnered with Sonrai to integrate this system into its trucks, but after Sonrai’s CEO declined Heil’s offer to buy the company, Heil pivoted to building its own version of Vector, with Romano’s help.

The Trial

During trial proceedings, the jury heard that Romano had been covertly aligning with Heil since December 2015, months before resigning from Sonrai. He allegedly downloaded proprietary data from Sonrai over a 22-hour period before wiping his corporate laptop. This destruction of evidence led the judge to instruct jurors to assume the deleted information would have negatively impacted Romano’s defense.

Sonrai’s legal team, led by Jonathan T. Suder of Friedman Suder & Cooke PC, described Romano as a “pawn” in Heil’s strategy to develop a copycat product. Attorney Raymond Niro emphasized the opportunity the case presented to send a deterrent message to corporations. "This is your chance to tell them loud and clear, in the only language they understand, that we all live by the same rules," Suder told the jury.

In response, Heil's attorney James Thompson of Lynch Thompson LLP countered that Heil had only briefly discussed the sensitive information Romano provided and never explicitly solicited it. He insisted Heil’s conduct was isolated and limited, adding, “Those are all one-time, short-duration things.” Thompson also argued that the $28.9 million awarded in compensatory damages had already sent a strong enough message.

The Verdict

The jury initially awarded Sonrai $28.9 million in compensatory damages after finding that Heil had unfairly used Sonrai’s trade secrets. The following day, they added $30 million in punitive damages against Heil, more than doubling the initial award. Romano, though found to have destroyed crucial evidence, was ordered to pay only $1 in punitive damages—an outcome Sonrai's counsel said reflected his limited role.

Niro celebrated the outcome, “The court system worked in this case and protected American innovation. The punitive damage award will hopefully discourage this type of misconduct in the future.”

What’s Next

Heil has not publicly commented on the verdict and may consider post-trial motions or appeals. For Romano, his counsel urged the jury to see him as a non-central figure, arguing, “Characterizing him as a pawn is not the description of someone who needs to be ... punished in a punitive setting.”

While it remains to be seen if further litigation will follow, the $58.9 million total award reflects the jury's belief that Heil’s actions warranted both compensation and punishment. This case may serve as a benchmark for future disputes involving corporate misappropriation of proprietary technologies.

The Law Firms Involved

Sonrai Systems was represented by Raymond P. Niro Law LLC, Friedman Suder & Cooke PC, and Joan M. Mannix Ltd.. Heil Co. was represented by Lynch Thompson LLP and Winston & Strawn LLP.