United States District Court, N.D. Illinois, Eastern Division
THE SEGERDAHL CORP. d/b/a SG 360º, Plaintiff,
ANTHONY FERRUZZA, MICHAEL FERRUZZA, DANIELLA TUCCI, CHRISTOPHER KNOLL, ERICA KNOLL, EUGENE “CORKY” CZECH, VINCE DANTE, and AMERICAN LITHO, INC., Defendants.
MEMORANDUM OPINION AND ORDER
JOHNSON COLEMAN UNITED STATES DISTRICT JUDGE.
The Segerdahl Corp. d/b/a SG360º
(“Segerdahl”) filed an Amended Complaint against
former employees Anthony Ferruzza, Michael Ferruzza, Daniella
Tucci, Christopher Knoll, Erica Knoll, Eugene
“Corky” Czech, Vince Dante, and American Litho,
Inc., alleging violations of the Defend Trade Secrets Act
(“DTSA”), 18 U.S.C. § 1836 et.
seq., the Computer Fraud and Abuse Act
(“CFAA”), 18 U.S.C. § 1030 et seq.,
the Illinois Trade Secrets Act (“ITSA”), 765
Ill.Comp.Stat. 1065/1 et seq., breach of fiduciary
duty, tortious interference with prospective economic
advantage, aiding and abetting breach of fiduciary duty,
conversion, unfair competition, civil conspiracy, and unjust
enrichment. Defendant Vince Dante filed a Motion to Dismiss
 pursuant to Rule 12(b)(1) and 12(b)(6) for failure to
state a claim and lack of supplemental jurisdiction. For the
reasons set forth herein, the motion is granted in part and
denied in part.
following facts are taken from Plaintiff’s Amended
Complaint (Dkt. 129). Segerdahl Corp. is a commercial
printing and multichannel direct marketing solutions
provider, headquartered in Wheeling, Illinois. (Dkt. 129 at
¶ 22). Segerdahl’s multichannel marketing services
include research, concept strategy and execution, including
but not limited to data programming, commercial printing,
direct-mail production, data analytics, distribution and
fulfillment. (Id. at ¶ 22). Segerdahl has
manufacturing operations in Broadview and Wheeling, Illinois
and sales locations elsewhere in Illinois, and also
California, Michigan, Minnesota, New Jersey, New York, and
Texas. (Id. at ¶ 22).
Vince Dante is a former employee of Segerdahl, hired in April
2000 as a color/scanning operator. He was later promoted to
Director of Infrastructure and Networking and oversaw the IT
help desk, security, and Segerdahl’s network.
(Id. at ¶ 36). All the individual defendants,
including Dante, had access to Segerdahl’s confidential
information and trade secrets, which were stored both in
paper and electronic format. (Id. at ¶ 40). The
individual defendants also developed working relationships
with Segerdahl’s customer base while assisting in the
development of new business initiatives. (Id. at
alleges that from October through December 2016, Dante used
his position and access to Segerdahl employee credentials to
login to email accounts of Segerdahl’s CEO and Chairman
of the Board and former CEO to copy confidential information.
(Id. at ¶ 62). Dante allegedly copied the
information into emails directed to his personal email
account and that of defendant Anthony Ferruzza. Dante’s
alleged misconduct also includes helping Ferruzza by
dismantling a Segerdahl-owned MacBook Pro laptop computer and
removing the internal hard drive to remove information from
the computer. (Id. at ¶ 63). Dante initially
resigned from Segerdahl in January 2017, but revoked his
resignation days later. Segerdahl terminated Dante on June
26, 2017. (Id. at ¶ 53). Unlike the other
individual defendants, Dante is not employed by
Segerdahl’s competitor defendant American Litho.
(Id. at ¶ 53).
party moves to dismiss based on lack of subject matter
jurisdiction pursuant to Rule 12(b)(1), the district court
must accept all well-pleaded facts within the complaint as
true, but may also consider evidence outside of the pleadings
to ensure jurisdiction is proper. Evers v. Astrue,
536 F.3d 651, 656-67 (7th Cir. 2008) (citing St.
John’s United Church of Christ v. City of Chicago,
502 F.3d 616, 625 (7th Cir. 2007)).
motion to dismiss under Rule 12(b)(6) challenges the
sufficiency of the complaint, not its merits. Fed. R. Civ. P.
12(b)(6); Gibson v. City of Chicago, 910 F.2d 1510,
1520 (7th Cir. 1990). When considering the motion, the Court
accepts as true all well pleaded facts in the
plaintiff’s complaint and draws all reasonable
inferences from those facts in the plaintiff’s favor.
AnchorBank, FSB v. Hofer, 649 F.3d 610, 614 (7th
Cir. 2011). To survive a Rule 12(b)(6) motion, the complaint
must not only provide the defendant with fair notice of
claim’s basis but must also be facially plausible.
Ashcroft v. Iqbal, 556 U.S. 662, 678, 129 S.Ct.
1937, 173 L.Ed. 2d 868 (2000); see also Bell Atl. Corp.
v. Twombly, 550 U.S. 544, 555, 127 S.Ct.1955, 167 L.Ed.
2d 929 (2007). “A claim has facial plausibility when
the plaintiff pleads factual content that allows the court to
draw the reasonable inference that the defendant is liable
for the misconduct alleged.” Iqbal, 556 U.S.
moves to dismiss the Amended Complaint entirely, arguing that
Counts I-VII fail to state a claim, Counts IV-X are preempted
by ITSA, and that the Court should decline to exercise
supplemental jurisdiction after dismissing the federal claims
in Count I (DTSA) and II (CFAA). The Court will begin by
examining the trade secret claims.
Counts I and III: Defend Trade Secrets Act Claim and Illinois
Trade Secret Act
argues that this Court should dismiss Segerdahl’s trade
secret misappropriation allegations for failure to state a
claim. Dante asserts that Segerdahl has not specifically
identified the trade secrets at issue and that the complaint
lacks allegations that the trade secrets are used in commerce
or for the defendant’s business. Both statutes at issue
define trade secrets.
creates a private cause of action in favor of the
“owner of a trade secret that is
misappropriated…if the trade secret is related to a
product or service used in, or intended for use in,
interstate or foreign commerce.” 18 U.S.C. §
1836(b)(1). Under the DTSA, the term “trade
all forms and types of financial, business, scientific,
technical, economic, or engineering information, including
patterns, plans, compilations, program devices, formulas,
designs, prototypes, methods, techniques, processes,
procedures, programs, or codes, whether tangible or
intangible, and whether or how stored, compiled, or