Latvia Court Dismisses Trade Secret Case Against OnAir

In a significant legal ruling, a Latvia court has dismissed a trade secret lawsuit filed by OnAir Entertainment against whistleblower Ivan Ivanovs. This decision marks a major win for whistleblowers, emphasizing the rights of employees to showcase their professional achievements without being accused of revealing confidential information.

Latvia Court Dismisses OnAir Entertainment’s Trade Secret Lawsuit Against Ex-Employee

In a landmark decision, the Riga City Court has dismissed a €10,800 trade secret lawsuit filed by RealTime SIA, the parent company of OnAir Entertainment, against a former employee. The ruling, handed down on October 18, found that the information shared by Ivan Ivanovs, a former IT project manager, did not constitute trade secrets under Latvian law.

Key Points:

1. Lawsuit Dismissal: The court ruled that the details Ivanovs shared about his work on various roulette games and US market projects were not confidential.
2. Public Information: The court noted that much of the information was already public, with OnAir Entertainment disclosing its US expansion plans in October 2022.
3. Whistleblower Retaliation: Ivanovs argued that the lawsuit was retaliatory, following his 2023 complaint regarding denied annual leave.

OnAir Entertainment had accused Ivanovs of disclosing trade secrets after he posted about his achievements on LinkedIn, specifically regarding his work on roulette games developed for the US markets, including New Jersey, Michigan, and Pennsylvania. The company claimed that the post revealed confidential business strategies that could benefit competitors. However, the court ruled in Ivanovs’ favor, determining that the information shared was either publicly available or not protected under trade secret laws.

Public Information and Industry Knowledge

Judge Mikulane highlighted that much of the information regarding OnAir Entertainment’s US market plans had already been made public through corporate announcements and industry news outlets. OnAir had announced its intention to launch in regulated US states as early as October 2022, months before Ivanovs’ LinkedIn post.

The judge also emphasized that companies cannot broadly classify all workplace information as trade secrets, particularly when it involves an employee’s acquired experience and skills. The ruling further clarified that game titles and features mentioned by Ivanovs were accessible through various gaming websites and regulatory documents.

Whistleblower Claims Retaliation

In his defense, Ivanovs argued that the lawsuit was retaliation for his previous complaint to the State Labour Inspectorate about denied annual leave entitlements. He maintained that the details shared in his post were necessary to demonstrate his professional experience to potential employers and did not reveal any protected information.

Ivanovs is best known for his role as the whistleblower who exposed OnAir’s alleged access to an internal environment at Playtech, a direct competitor in the live casino space. Although this case was unrelated to the lawsuit, it has drawn significant attention, with Playtech filing infringement proceedings in the UK High Court.

A Major Win for Whistleblowers

This ruling is a key victory for whistleblowers and employees, reinforcing the notion that workplace achievements and professional experience cannot always be classified as confidential information. It also serves as a reminder to companies that overreaching claims of trade secret violations can backfire, especially when much of the information is already public.

The dismissal of OnAir Entertainment’s lawsuit against Ivan Ivanovs underscores the importance of balancing employee rights with corporate confidentiality. As this case illustrates, companies must be careful when classifying information as trade secrets, especially when it pertains to an employee’s skills and experience. This ruling also highlights the significance of public information and how it can impact legal claims related to intellectual property and trade secrets.