The Jury Trial That Sparked the Fight
The underlying trial, held in May 2024, saw jurors side with Zunum on 11 of 19 trade secret claims. They also found Boeing breached an investor rights letter and interfered with business opportunities, awarding the startup $72 million in damages.
Zunum alleged that Boeing invested seed money in its technology while secretly plotting to misappropriate its designs for electric jet propulsion systems. The startup further accused Boeing of using its industry clout to scare away Safran, a key investor, and ultimately drive Zunum out of business.
District Court Wipes Out Verdict
In August 2024, U.S. District Judge James L. Robart granted Boeing’s motion for judgment as a matter of law, finding Zunum’s evidence “vague and amorphous.” He also conditionally granted a new trial two months later, declaring the damages excessive and the verdict unsupported by the weight of the evidence.
But in August this year, a Ninth Circuit panel revived Zunum’s victory, citing testimony and documents that suggested Boeing indeed altered its in-house designs using Zunum’s trade secrets. The panel also reassigned the case to a new judge after learning Judge Robart’s wife bought Boeing stock during the proceedings.
