The former National Fish and Seafood executive who is accused of stealing trade secrets has denied the allegations.
For the first time, Kathleen Scanlon, the former head of research, development, and quality assurance for NFS, a Pacific Andes-owned firm, has publicly denied allegations that she funneled information on NFS’s clam production process and other proprietary information to Tampa Bay Fisheries.
Earlier this summer, Tampa Bay agreed to hire Scanlon for a quality assurance executive position, but a federal judge ordered her not to begin working at Tampa Bay soon after the trade secrets case was filed.
In Scanlon’s response to NFS’s allegations, filed in U.S. District Court in Boston, Massachusetts on 10 October, Scanlon denied that she stole trade secrets or committed any wrongdoing.
“Scanlon acted in good faith and exercised appropriate judgement with respect to her interpretations, decision, determinations, and other actions and is therefore entitled to immunity from the claims asserted to in this action,” Scanlon’s attorney, Beth A. Deragon, wrote in the document.
Plus, NFS has “not suffered an injury and has no damages,” Deregon wrote. NFS’s damages were caused by others that Scanlon had no control over, according to Dergeon.
“The plaintiff is precluded from recovery as Scanlon did not engage in any unfair or deceptive trade practices,” Deregon said.
Tampa Bay has also denied NFS’s trade secrets claims. In a recent court document, Tampa Bay asked the U.S. District Court in Boston to deny NFS’s request for a preliminary injunction, saying it primarily focuses on products that are more profitable than stuffed claims.
“Plaintiff National Seafood seeks an unsupported, unjustified injunction based on a fish tale about 'the one that got away,’” Tampa Bay said in the complaint. “In plaintiff’s account, Kathleen Scanlon – a churchgoing, 59-year-old quality assurance manager with no technical skills whatsoever – masterminded a plot to bring to Tampa Bay Fisheries, Inc. documents about an unprofitable product that Tampa Bay has no interest in, in exchange for a reduction in salary.”
In an email to SeafoodSource, NFS President Todd Provost disputed Scanlon's and Tampa Bay's denials.
"It is undisputed that Ms. Scanlon copied a vast amount of NFS confidential business information, and that she did so with assistance from Tampa Bay, after accepting an offer to serve as Vice President of Tampa Bay, and prior to providing notice to NFS of her resignation," Provost said. "It seems very hard to believe that these actions were innocent and that Ms. Scanlon acted alone and without the encouragement of and assistance from the other Defendants."
Tampa Bay has not directly addressed conflict of interest allegations between it and NFS. Tampa Bay’s parent company, Vernon, California, U.S.A.-based Red Chamber, attempted to buy NFS last year, according to a recent court filing in the trade secrets case.
Tampa Bay’s recruitment of Scanlon represented a breach of the non-disclosure agreement signed between Red Chamber and NFS, according to the document.
In a previous email to SeafoodSource, NFS President Todd Provost confirmed Red Chambers’ prior interest in acquiring his company.
“Red Chamber was one of many parties who had expressed interest in potentially acquiring NFS, but we are no longer in communication with them about this possibility, and we are in active discussions with other parties,” he said.
Photo courtesy of Matlaw's/National Fish and Seafood