Mach18 Design Inc., an award-winning Los Angeles-based interactive agency and mobile product startup, has filed suit against WPP-owned IconMobile, LLC in Los Angeles Superior Court. The lawsuit alleges that after Mach18 approached IconMobile as a potential vendor and development partner, IconMobile ignored its contractual confidentiality and non-circumvention obligations to Mach18 and exploited Mach18's ideas and business relationships to its own advantage. Mach18's suit includes claims for breach of contract, misappropriation of trade secrets, and interference with prospective economic advantage, and seeks a court order prohibiting IconMobile from using Mach18's trade secrets. The suit also seeks actual and punitive damages.

The lawsuit, brought by Dykema Gossett, LLP on behalf of Mach18, is related to Mach18's development of a technology platform intended to drive the future of global in-car experience. The complaint alleges that Mach18 approached IconMobile in late 2012 and early 2013 to solicit an agency bid for development of a prototype for Mach18's next generation in-car platform ARIVE, and required IconMobile to execute a nondisclosure and non-circumvention agreement (NDA) preliminary to those discussions. Following its execution of the NDA and review of Mach18's proprietary 'first to world' partner/investor presentation, IconMobile initially expressed enthusiasm about the possibility of forming a long-term strategic partnership with Mach18 and provided a preliminary quote for development and production of an initial prototype. As alleged in the Complaint, Mach18 soon found its calls going unanswered, and subsequently learned that IconMobile had begun working on a copycat pitch to several of Mach18's actual and potential business partners shortly after reviewing Mach18's proprietary presentation. IconMobile is also alleged to have dissuaded other consultants and advisors from doing business with Mach18 in an attempt to disrupt Mach 18's business opportunities.

"Mach18's experience is what every innovator fears," commented S. Christopher "Kit" Winter, a partner at Dykema and Mach18's lead counsel. "A potential partner's confidentiality obligations must be sacrosanct, especially when the disclosing party is a startup. The fact that IconMobile is Goliath to Mach18's David should not mean that IconMobile can ignore its obligations with impunity. Mach18 is prepared to act vigorously to protect its intellectual property and to enforce its contractual rights."

View a copy of the filed complaint here.

IconMobile Group has yet to respond to the filing.

About Mach18

Mach18 was founded in 2000 as a premiere, award winning interactive agency specializing in Internet Advertising & Development, Content Management, and Brand ID. Mach18 creates major Online destinations, functional business tools and targeted Internet Advertising Campaigns for organizations in Food Service, Hospitality, Entertainment, Real Estate & Construction, High-end Consumer Manufacturers, Financial Services and Travel & Tourism industries. Clients include AEG Worldwide, Paramount Studios, FX Networks, Sprint, Warner Bros. Pictures and Hard Rock Hotel & Casino. Most recently, Mach18 Media serves as a startup for next class 'first to world' mobile products and platforms similar to what the company conceived with ARIVE.

The Rose Group
c/o Mach18 Media Group
Tracy Mallozzi and Molly Pross
310-280-3710
tracy@therosegrp.com
molly@therosegrp.com