A Sudden Reversal
But the relationship soured abruptly. BondIT alleges that once a key Chase executive championing the deal left, his replacement ordered subordinates to “disengage” from small companies like BondIT. Despite the shift, Chase allegedly continued to use the startup’s intellectual property, while delaying negotiations and introducing aggressive new terms, including exclusive rights to BondIT’s proprietary technology.
The lawsuit claims that Chase ultimately walked away, citing a third-party “financial health score” to question BondIT’s stability — even after the fintech provided what it called “unassailable financial assurances.”
Alleged IP Misuse After the Deal Collapsed
BondIT further accuses Chase of using its proprietary technology to build and enhance products across the JPMorgan enterprise after the partnership talks collapsed, effectively profiting from stolen trade secrets.
In a fiery statement, BondIT CEO Etai Ravid condemned the bank’s actions:
“No company should be able to induce another into expending its resources and sharing its IP for years under binding agreements and promises, only to flout legal obligations and walk away with the other enterprise’s technology without consequence.”
Ravid warned that unchecked corporate exploitation could “stifle innovation across the fintech ecosystem” and chill technological progress.
