LOS ANGELES--(BUSINESS WIRE)--Jeannie Gallucci of Bailey Duquette P.C. and David Schecter and Colin Rolfs of Miller Barondess, LLP secured a $2 million defense settlement on the eve of a federal court jury trial on behalf of defendants COY Creator (“COY”), Jessica Bartlett, Thomas Drew, and Corey Lewis.
In 2020, influencer Jessica Bartlett created COY to empower digital creators with a platform to sell and control their content. Together with Thomas Drew and Corey Lewis of 1AND1 Life, Jessica co-founded COY as an alternative to a historically exploitative industry. COY hired subscription-based website developer McCandless Group LLC (“MG”) to build the first iteration of the COY websites for its roster of influencers.
Eight weeks after COY’s launch, MG terminated the contract and later filed suit alleging misappropriation of trade secrets under the Defend Trade Secrets Act, 18 U.S.C. § 1832, unfair competition under California Bus. Prof. Code § 17200, breach of contract, and fraud, and requested preliminary injunctive relief.
COY’s lawyers at Bailey Duquette P.C., led by Jeannie Gallucci, defeated MG’s motion for preliminary injunction. COY then secured dismissal of MG’s claims. MG re-filed its complaint alleging alternative theories and COY counterclaimed seeking damages for intentional interference with contractual relations, cyberpiracy, and infringement of rights based on copyright law, the Lanham Act, and rights of publicity. After three years of litigation, the parties settled on the eve of trial. MG agreed to pay defendants $2 million. The parties have dismissed all claims without admitting liability.
Defeating MG’s request for injunctive relief consumed COY’s limited resources, causing Jessica Bartlett to pivot and launch a talent management company, Verge Agency. Bartlett continued managing talent and growing her client base for Verge Agency while still working with COY to defeat MG’s claims.
COY hired a new CEO with extensive experience developing web-based software products, veteran tech entrepreneur, Matt Silk. Prior to its 2017 acquisition by Upland Software, Inc., Matt was head of strategy for Waterfall International, Inc., which he also co-founded.
Silk has led the development of a new, full-service platform for digital creators, COY Creator, which has just launched. Former Endemol Shine entertainment executive Will Keenan recently joined as its Chief Revenue Officer.
Responding to the settlement, Jessica Bartlett said: "I'm thrilled to see COY thriving. I founded COY and later Verge Agency to protect and support creators by offering them talent-first solutions to monetize and leverage their brands. I'm looking forward to Verge and COY working together to continue this shared mission. I am deeply grateful to Bailey Duquette and Miller Barondess for securing this victory for us."
About COY Creator:
COY Creator is a creator-first monetization platform, offering talent 100% ownership and control of their exclusive content and fan engagement on their own URL.
About Verge Agency:
Verge Agency is a full-service talent management company with a talent-first focus that manages models, influencers, and opinion leaders alike.
About Jeannie Gallucci:
Jeannie Gallucci is a trial lawyer in Chicago and New York advocating for hospitality, entertainment, and technology clients in connection with resolving federal and state court actions and appeals, concerning business, intellectual property, and bet-the-company disputes, as well as defending regulatory investigations, and providing crisis management.
About David Schecter:
David Schecter is a partner with Miller Barondess, LLP, a Los Angeles-based litigation firm. David handles complex commercial litigation, including business, entertainment, and intellectual property matters. He is recognized by Best Lawyers in America: ONES TO WATCH® in Entertainment and Sports Law.
About Colin Rolfs:
Colin Rolfs is a partner with Miller Barondess, LLP, a Los Angeles-based litigation firm. Colin handles complex commercial litigation, including business, entertainment, real estate, finance, and employment matters. He is recognized by Best Lawyers in America: ONES TO WATCH® in Commercial Litigation and Litigation–Banking and Finance.
About Bailey Duquette P.C.:
Bailey Duquette is a New York-based corporate, litigation, and intellectual property law firm of experienced counsel from leading international law firms with offices in New York, Austin, Ft. Lauderdale, Philadelphia, Seattle, and Westfield, New Jersey. They represent clients ranging from institutional investors, private equity funds, and multinational companies, to family offices, start-up clients, and individual artists. The firm’s practice groups include: litigation, trial, and appellate advocacy before state and federal tribunals, and arbitration panels; corporate law and commercial transactions, advising on mergers & acquisitions, equity and debt financing, fund formation and compliance, employment and executive compensation; and intellectual property advice on copyrights, trademarks, patent prosecution, IP transactions, digital payments, cyber, social media, and privacy law concerns.
About Miller Barondess, LLP:
Miller Barondess is a Los Angeles-based law firm specializing in litigation, including trial, arbitration, and appellate proceedings in California and around the country. The firm represents clients in a wide range of sectors and disputes, including intellectual property, patents, licensing and branding, technology, real estate, healthcare, entertainment and music, sports, consumer products, insurance, retail, environmental, securities, private equity, financial services, and government. The firm is ranked among U.S. Best Law Firms® 2024.