Ohio-based startup TuffAir has sued Amazon over claims related to intellectual property.
TuffAir, a regional air freight provider, filed a complaint in the Northern District of Ohio on July 1, in which it alleges that Amazon “expressed interest in a potential partnership or acquisition, requested detailed disclosures from TuffAir, and engaged in multiple rounds of communication with key executives,” then walked away from discussions and built its own version of the air logistics services model it had discussed with TuffAir.
“After securing access to TuffAir’s materials, Amazon abruptly ceased communications, only to unveil a remarkably similar regional air cargo model within months, based on the same technical, operational and strategic elements TuffAir had disclosed,” the company alleged in its legal filing.
According to Yahoo Finance, TuffAir contends that Amazon lacked “pure intent” in contacting TuffAir or requesting further information about its proprietary services. The startup alleges that instead “Amazon’s true intent was to obtain confidential business intelligence from TuffAir without paying for it and to use it in its own competing initiative.”
TuffAir further alleges, according to Yahoo, that Amazon “did not share any prior plans for such an air cargo network during talks, which leads TuffAir to believe the company used its trade secrets to develop its own version of a similar model.”
Such information purportedly included “regulatory pathways, aircraft routing strategies, facility optimization models and proprietary operational forecasts.”
TuffAir argues that its strategy is unique and is designed to facilitate cheaper, faster regional air transit for freight.
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“TuffAir spent years developing a confidential business plan and technical models for a scalable regional air cargo system leveraging Ohio’s airspace corridors, infrastructure, and regulatory partnerships,” counsel for TuffAir wrote in the complaint. “TuffAir’s strategy was novel, integrating small-aircraft logistics, FAA exemptions, Ohio-based test zones and proprietary software and flight routing technology.”
While the complaint says the company has “spent years” on its business, TuffAir’s site states that it plans to launch in the fall, “with high performance aircraft, lean operations and a scalable model to connect overlooked freight corridors across the Midwest.” The site also says the company focuses on ensuring veterans can receive medical care via ground and air transit.
“TuffAir isn’t just a cargo startup, it’s a movement for impact, logistics and equity,” its site states.
No comment as yet on the suit from Amazon.
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