Tuesday, October 11, 2011

Business Espionage: Hooters v. Twin Peeks - Battle of the...

(stop snickering)
The AP is reporting the Hooters of America restaurant chain filed a federal lawsuit in Atlanta this week claiming that a former executive swiped mounds of documents to help an upstart competitor that plans to expand the Twin Peaks franchise.

The lawsuit filed in U.S. District Court in Atlanta on Wednesday said former Hooters vice president Joseph Hummel downloaded reams of “sensitive and highly confidential business information” to help La Cima Restaurants, an Atlanta-based firm that plans to help build 35 Twin Peaks stores across the Southeast.

Both chains are known for scantily clad women serving casual food... “The casual dining industry operates on extremely thin profit margins,” it said. “As a result, every operational advantage … is a jealously guarded business secret.”

...Even after his last day, Hummel was still able to download documents from company servers and transmit them through his personal email account because the company forgot to block his access, it said.

All told, the lawsuit said, Hummel took “well over 500 pages of highly sensitive business information and trade secrets” from Hooters. (more)