Brocade Drops Trade Secrets Suit Against Ex-Employee

Law360, New York (June 14, 2012, 8:05 PM EDT) -- Brocade Communications Systems Inc. agreed Wednesday to drop claims against a former employee accused of sharing trade secrets with a former boss who started rival A10 Networks Inc., after a hearing revealed that Brocade's attorneys had used inadmissible testimony obtained in a confidential settlement meeting to amend the complaint against the employee.

Brocade and ex-employee David Cheung, who in May filed for sanctions against Brocade for forcing him to defend himself against a groundless lawsuit, agreed in federal court in California to dismiss all claims without prejudice.

In a June 8 hearing over Brocade's opposition to Cheung's motion for sanctions, U.S....

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