Ninth Circuit Rejects Boeing's Bid to Rehear Trade Secret Loss

Boeing's bid to rehear an appeal in its trade secret loss has been rejected by the Ninth Circuit. The court held that Boeing's patent-inventorship counterclaims were permissive, not compulsory, and therefore did not strip the Ninth Circuit of jurisdiction over the trade secret dispute.

The case involves electric-aircraft startup Zunum Aero, which sued Boeing in Washington state court in 2020 for misusing confidential information. A jury verdict awarded Zunum more than $92 million in damages.

Boeing had removed the case to federal court based on its patent-law counterclaims and was granted summary judgment on those claims. However, the Ninth Circuit later reversed a district court's order vacating the verdict, leaving the original award intact.