Sunday, January 19, 2014

Business Espionage: Bratz Bitch Slaps Barbie Over Spying to the Tune of $1 Billion

MGA Entertainment Inc. (MGA) filed a major trade secret theft lawsuit against Mattel Inc. on over reportedly stealing information at industry trade shows, and is seeking damages of at least $1 billion. This is the latest in a long-running battle between the two competing doll makers.

MGA claims that throughout a period of years, Mattel instructed its employees to engage in acts of "espionage and fraud" to steal MGA's trade secrets...
The Bratz doll makers claim that for a number of years, Mattel employees used a "Market Intelligence Department" to steal MGA's trade secrets under the aspices of an 11-page "How-to-Steal" manual. Mattel also reportedly set up "spies," who created false identities by printing fake business cards and used Mattel's accounting department to create mocked-up invoices to back up their fictional businesses in to better gain access to MGA's private showrooms. 


MGA also claims that Mattel employees purchased small video recorders (paid for by Mattel) and cameras to photograph and videotape what they saw in private showrooms and industry trade shows. As a result, Mattel obtained highly confidential information about MGA's designs, price lists and marketing plans for unannounced future products in the highly popular Bratz line, according to MGA. (more)