“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.