Just days after Dealer Services Corp. moved its operation to Carmel, Ind., following state and city incentives, a cross-town rival has accused the auto dealer finance firm of unethical practices in a lawsuit filed Thursday.
Automotive Finance Corp., a division of Adesa Corp., alleges that Dealer Services executive John E. Fuller recruited workers from them and stole computer data, according to The Indianapolis Star. Fuller founded of AFC, but left the company a few years ago.
Dealer Services employs 23 former AFC employees who are named in the lawsuit for computer trespass for taking information from AFC’s electronic systems.
According to Dealer Services’ general counsel John Wick, the company requires that all employees sign a document stating that they did not bring with them any insider information or property from their previous employer.
Similarly, AFC says its workers sign loyalty pledges stating they will not disclose company secrets or take data or records with them.
AFC claims that some of its dealer customers reported receiving phone calls from Dealer Services representatives that knew about business details between AFC and its customers.
AFC is seeking unspecified damages for alleged misappropriation of trade secrets, interference with business relationships, breach of contract and computer trespassing.
Meanwhile, Dealer Services is receiving nearly $830,000 in state tax breaks and worker training grants, plus local property tax breaks for setting up shop in Carmel.