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In a major development in a long-running legal battle, an Arkansas federal jury has awarded Zest Labs Inc. nearly $223 million in damages, concluding that Walmart Inc. misappropriated the startup’s proprietary shelf-freshness technology. The ruling marks a significant moment in the ongoing Walmart $223M verdict trade secrets legal dispute.

According to the verdict delivered Tuesday, the jury determined that Walmart’s actions were willful and malicious, affirming Zest Labs’ claim of trade secret misappropriation. The award includes $72.7 million in compensatory damages and $150 million in exemplary damages.

“This is a resounding victory for innovation and fair competition,” said Patrick M. Ryan, lead trial attorney for Zest Labs. “The jury carefully considered the evidence and found that Walmart unlawfully used Zest’s revolutionary technology, publishing a patent that destroyed the trade secret. The size of the award reflects the seriousness of Walmart’s misconduct and sends a strong message to large corporations considering unethical behavior against smaller innovators.”

Walmart has publicly disagreed with the outcome. In a statement, the company said:

“Zest Lab’s unethical behavior has compromised the integrity of this case from the start. We expect our suppliers to uphold the highest ethical standards and will continue to advocate for fairness and justice, including pursuing an appeal and post-trial motions.”

This verdict follows a prior trial in which Zest Labs was awarded $115 million. That ruling was set aside by U.S. District Judge James Moody Jr., who ordered a new trial after determining Zest had failed to disclose that it had discovered Walmart’s related patent filing.

In the first trial, Walmart had been found liable for violating a 2015 nondisclosure agreement signed during a demonstration of Zest’s shelf-management system. The earlier jury had awarded $60 million in damages, $50 million in exemplary damages, and an additional $5 million for the NDA breach.

The case, Zest Labs Inc. et al. v. Walmart Inc., case number 4:18-cv-00500, was heard in the U.S. District Court for the Eastern District of Arkansas.